This family financial protection article is for families, seeking the best value for their loved ones, through a lump sum pay-out under a life insurance policy.
Family Protection Insurance is a type of life insurance policy that provides financial stability for family members, in the event of the primary insured person’s death. The death benefit payout can be used to cover living expenses, healthcare, education, and other bills that may arise due to their lost family income.
The product solution is called “Guaranteed Term Life Insurance” which is the most popular form of life insurance for families in Ireland.
The FAQ section at the end of this article, will answer all your policy-specific questions. But next, and throughout this blog, we will address how to get the best and most suited family protection policy, at the lowest priced price!
Family Financial Protection – Which Advisor Type
When purchasing life insurance, you can buy it directly from most insurance companies, through a financial advisor, in a bank, or use a financial broker. So, let’s outline 3 important facts:
- Going direct does not offer a lower price, than a financial broker can offer.
- Bank advisors are limited in provider choice and do not offer discounts.
- Only Financial Brokers can offer the market and have the ability to grant the highest discounts.
Takeaway Fact: In short, if you want the best and most suited life insurance policy, at the cheapest possible price, only a Financial Broker can offer it!
Family Financial Protection – Which Financial Broker
Not all Financial Brokers are created equally, but which to choose? Perhaps the big brand name that is always on TV, or your local broker that your friend used down the town.
Takeaway fact: The best financial broker is the one prepared to offer you the lowest fixed price on your chosen life insurance policy. Remember all Financial Brokers are regulated and can offer all the leading market providers.
Family Financial Protection – Securing the Lowest Price
The fastest way to get the lowest price on any life insurance policy, is to get online life insurance quotes that fully compare the Irish Life insurance market. What to look for, is the broker offering a full-term discount, against the lowest market price, matched to your best and most suited policy.
Takeaway Fact: A financial broker can control the price, by lowering the broker commission paid to them, one financial broker can therefore outdo another, with online solutions always offering the best deal.
Family Financial Protection – Getting the Best Policy
This is the really important part, as a Financial Advisor could try and lean you in the direction of one insurer over another, by blinding you with anecdotes about different policy features, but thinking more about extra commission than your best interests.
Choosing your insurer can become very confusing, so we have simplified it.
As price is an essential element of value, once you have secured the lowest fixed price, then it is about the following essential policy features, which are automatically provided by all five leading life insurance companies operating in Ireland, namely: Irish Life, New Ireland, Aviva, Zurich, and Royal London.
- Life Insurance is paid out on the death of the life assured.
- Option to include a second person on a dual cover basis.
- Option to include inflation protection.
- Option to extend the original policy term under rolling conversion.
- Option to include Serious Illness cover.
Then, the same can be said of the following automatic policy benefits:
- Free Children’s Life Cover.
- Terminal Illness Benefit.
- Accidental Death Benefit, or a free initial cover period.
Other free features may differ slightly amongst different insurers, but remember these benefits are free for a reason and not to lose sight of the real purpose of a life insurance policy, which is to have adequate protection for your partner and or dependents. These other features may include:
- A second medical opinion is provided by: Aviva, Royal London, and Irish Life only.
- Early Funeral Expense paid out is provided by: Royal London and Zurich only.
- Digital GP service offered by: New Ireland, Aviva and Irish Life.
Buying Life Insurance Online – Couples and Families – FAQ’s
Does guaranteed term life insurance last throughout life?
To keep the cost down and make it much cheaper than whole-of-life insurance, it can be maintained up to your 91st birthday, or for a maximum term of 50 years.
Does whole-life insurance not make more sense, despite the high price?
Whole of life insurance is hugely expensive and carries no flexibility, does not allow the addition of serious illness coverage, any provides no added benefits or features.
Is the price fixed throughout my policy term?
Yes, there are no price hikes allowed, the terms of the policy are set at inception.
Is a life insurance claim paid out tax-free?
Life insurance pays out a tax-free lump sum between spouses, co-habiting couples’ life insurance payouts are subject to inheritance tax.
Can I protect the value of my cover against inflation?
Yes, at policy inception you may choose to index your premium and benefits so that they both increase annually at a fixed rate,
Will I have to do a medical exam?
That depends on your age and the level of coverage you require. Typically a GP attendants report is all that’s needed.
What is the most economical way to arrange my life insurance policy?
We recommend a multiple of 8 to 10 times your annual salary on each earner, or as close as affordable, with an initial policy term to your planned retirement age and a Conversion Option to later extend the term, but reduce the cover for funeral expenses into old age.
Should I add Serious Illness Cover to my life insurance policy?
We recommend adding a multiple of 1 times your annual salary to your life insurance policy, remember this is a living benefit so it would be paid to you directly in the event of a claim. Serious Illness Cover is however much more expensive than life insurance, so ensure that it works in line with your budget.
Buying Life Insurance Online – What’s Next
As we have already pointed out in reality there is truly little key difference in the life insurance policies provided by the five leading life insurers in Ireland, so for most, it should be more about price.
However, you never know when an added policy feature might prove beneficial in some way, so here at One Quote Financial Brokers, we guarantee the best of all worlds.
We offer the most comprehensive life insurance policies available in Ireland, at the lowest cost bar none. We also offer the first month free and we are the only Financial Brokers operating in Ireland to offer the same discount percentages, regardless of health issues (Once the insurer can offer acceptance terms our leading market discount always applies).
Buying Life Insurance Online – Unbeatable Quotes
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