Fixed Term Life Insurance Explained

The importance of having adequate life cover should never be underestimated. The solution may be taking some time to cover life insurance

But above all, why is life insurance so important? Unfortunately, many people see it as an unnecessary expense, thinking that after you die, why would they need money? However, life insurance provides financial protection for loved ones left behind.

For example, if you died tomorrow, would your partner be able to meet the monthly mortgage payments, and from day to day bills on one salary alone? Will I be able to live the same lifestyle without a salary? Or would they need to sell and cut, possibly uprooting your children in the process?

Is unlikely to be able to cope financially on just one salary only. Nor would they want to put under financial stress, and coping with grief

Is positive news is that life insurance need not be costly. And fixed term life insurance can be quite cheap

Fixed term life insurance is coverage that pays a lump sum should the life insured (eg police) dies during the term of the policy. It's easy and probably the most inexpensive form of life insurance cover available.

This is because if the insured (or insured in case of a joint life policy) survives the term of the policy, and points out without paying. As a lump sum payment only to the death of the insured, it makes life insurance premiums less expensive than other life insurance plans.

Fixed term life insurance can also have additional benefits as a lump sum payment upon diagnosis of terminal illness (like cancer) during the period of insurance.

The term will normally fixed to align their personal financial circumstances for example, if you have twenty years to go on the mortgage, then you need life insurance to cover at least the period until the mortgage is paid off. Or you May want to start to plan to retire.

As with all insurance, shop around to find the right deal for you. You'll be surprised how much prices can vary from insurer to insurer, even though they are offering the same level of coverage and benefits

Finally, if you are unsure about any aspect of your chosen cover, then speak to your provider of life insurance or seek independent financial advice.