Howden Life & Health
Ensures your family’s lifestyle is protected and provides for them when you no longer can
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Why choose Howden Life & Health for your Life Insurance
Life Insurance allows you to make sure your family or dependants are financially protected in the event of your death. Policies leave your loved ones with a lump sum or monthly payments over a specified period. Immediate financial commitments (mortgages & loan debts) as well as those in the future (university fees) are then covered and you relieve them of financial worry. Life insurance can also allow you to ensure your family can sustain the lifestyle you have already provided for them. If your children enjoy dance classes, or going on holiday, the payment from a life policy will mean they can continue these activities when you’re no longer there.
The benefits of Life Insurance
- Protection for your family’s future
- Protection for your home or mortgage
- Maintain your children's lifestyle
- Relieves the financial burden for your family
- Pay premiums for a specified time or your whole life
- Option of adding Critical Illness Cover
- Policies for funeral expenses
Choosing the amount and length of cover
Usually, the amount of cover you need is at least enough to pay off the remaining balance of your mortgage and then enough on top to help pay off any debts or loans whilst also leaving a lump sum for your family to help with bills in your absence.
The length of your cover should correlate with what is left of your mortgage term. If you don't have a mortgage but have children, your term should take your youngest child up until they are fully independent.
Compare cheap Life Insurance quotes
Assured Futures can help you save time and money. With just a few details, we'll find you the cheapest life insurance quote from our selected life insurance companies.
Decreasing term Life Insurance:
Decreasing term life insurance is normally taken out alongside a mortgage because the level of cover decreases in line with the mortgage payments that are made. This type of cover can be referred to as mortgage life insurance. Due to the cover decreasing throughout the term of the policy, this cover is usually cheaper than level term life insurance but it is important to note that the premium will stay the same throughout the length of the policy.
Do you need Life Insurance?
Life insurance is not a legal requirement but if you have a mortgage or any dependents, it is strongly advised that you should have some cover in place. These policies help provide financial support to your family and loved ones if you were to pass away. It is really important to consistently review your life insurance requirements throughout your life as your needs will always be changing, for example, you may have a mortgage or a young family but as you get older, you may not have a mortgage anymore but want to protect your funeral costs.
How does Life Insurance work?
Life insurance will pay out a lump sum on the death of the policyholder. The cover amount will be agreed upon when taking out the policy, if you had a level term or whole of life insurance, the pay-out will be fixed throughout the term, however, if you had a decreasing term life insurance then the pay-out will reduce over time.
It is important to remember that life insurance will only payout on death, although some policies will pay out if you were to be diagnosed with a terminal illness and given less than 12 months to live. If you want a policy to pay out if you were diagnosed with a specific illness or are unable to work due to accident or sickness, you may want to look into other forms of income protection such as a critical illness policy or accident, sickness and unemployment cover.
How much does Life Insurance cost?
The five main factors that calculate how much your life insurance costs are:
- How much cover you need.
- The term you need the cover for.
- What type of policy you need. (Level term life insurance, decreasing term life insurance, family income benefit or whole of life)
- Your current state of health and any pre-existing medical conditions you may have.
- Whether you are a smoker or not.
Below is a simple comparison of monthly premiums for Level term life insurance for a non-smoker and a smoker of differing ages looking for £250,000 of cover. The term of the policy is 20 years and in this example, the client has no pre-existing or current medical conditions that will affect the price.
Age 30 - £8.62 (non-smoker) £14.65 (smoker)
Age 40 - £16.71 (non-smoker) £33.90 (smoker)
Age 50 - £37.75 (non-smoker) £92.03 (smoker)
The quotes shown represent the best life insurance quotes from across the entire UK market, as of April 27th, 2020.
Level term Life Insurance:
Level term life insurance pays out a sum which is agreed when you first take out the insurance cover over a set number of years. As long as you die during the term, the policy will pay out once a claim is made.
Over 50's Life Insurance:
This type of policy is aimed at people between 50 and 80 years old. You are guaranteed to be accepted if you are in that age range and there are no medical questions to be answered. Depending on the insurer you choose, your premiums will stop at 85 or 90, however, with some insurers the premiums are payable until death. Each policy comes with a qualifying period which ranges from 12 to 24 to 36 months. If you were to pass away during the qualifying period, the full sum assured wouldn't be paid but the premiums you have paid so far will be returned.
Roughly cover ten times the annual income of the highest earner until your children have finished full-time education
When choosing how much life insurance to take out, there’s a commonly used thought that says to cover ten times the salary of the main earner of the family. If you are unable to afford that level of cover, work out what you can afford and work from that.
When working out what level of cover you need, make sure to cover...
- Your mortgage and any other outstanding debts that need to be paid off.
- Funeral costs.
- Potential university fees or private education costs.
It is also worth remembering that inflation will reduce the value of your life cover and unless the policy is put into a trust, your family may have to pay 40% inheritance tax on the lump sum if your total assets exceed the current inheritance tax threshold.
Single or joint Life Insurance?
A single life insurance policy covers just one person with one pay-out being made. A joint life insurance policy covers two people (usually a couple) but there will still only be one pay-out made. Most policies will be on a 'joint life first death' basis which means that the pay-out will be made on the first death of either person covered. Once the pay-out is made, the surviving partner's cover will end. Normally, joint life insurance is cheaper than having two individual policies and whilst this may work if you have a mortgage, it might not be the best option if you have dependent children because if you were both to die at the same time, there would only be one pay-out.
What are the main types of Life Insurance cover?
There are many different types of life insurance available. Here are some of the most common;
- Level term life insurance pays out as a lump sum to your beneficiaries when you die and the amount of cover stays the same throughout the policy term. This money could then be used to help the family pay for regular bills, any debts and to allow them to continue their normal way of life.
- Decreasing term life insurance will also pay out a lump sum to your beneficiaries when you die, however, the level of cover will reduce in line with payments on a mortgage. It is usually cheaper than level term life insurance because the level of cover reduces over time and should only be taken to protect a mortgage.
- Whole of life insurance covers you for the whole of your life and will pay out a lump sum when you die, as long as you have kept up to date with your monthly premiums. It can be used to help leave money behind for funeral costs or to offset the cost of inheritance tax.
- Joint life insurance is where two people are covered on the policy, usually a couple. If one of the policyholders were to die, the pay-out would be made and then the cover on the remaining policyholder would stop. This type of cover can be taken out on both a decreasing or a level basis.
- Over 50's life insurance is a type of whole of life insurance and usually offers smaller levels of cover as it is mainly taken out to protect funeral costs or to leave a small amount of money behind to family. As long as you are between the ages of 50-80, you can apply for cover without answering any medical questions and is very popular for this reason. It is important to know that if you live for a long time, you may pay more in premiums than your cover amount.
What do you need to get a quote?
If you are looking to get a life insurance quote, you will be asked for the following information:
- Your age and occupation (the younger you are, the cheaper it is likely to be).
- Yours and your families health and medical history.
- Details about your lifestyle and habits, for example, whether you smoke or not and how many units of alcohol you drink a week.
You will also need the above information for your partner if you are looking to get a joint life insurance quote.
What does it mean to put a Life Insurance policy in trust?
There are many benefits to putting your life insurance into trust, the main one being that the pay-out is separate from the rest of your estate after you die. This avoids potential inheritance tax as the money is paid to your beneficiaries without it being included as part of your estate. Currently, the inheritance tax threshold is £325,000 and your beneficiaries would have to pay 40% tax on any amount above that threshold.
What happens to your Life Insurance policy if you miss payments?
If you miss a monthly premium for your life insurance, the insurer may not necessarily stop your cover but you could fall into arrears and may need to make up the missed payments. It will depend on the insurer as to how many missed payments you can have until they cancel the policy so if you feel you may be unable to pay a monthly premium, you should contact your life insurance company immediately, to discuss what options are available.
It is worth checking your policy wording as some insurers may cancel your policy if you miss one payment which can also affect your credit rating.
What is Life Insurance?
Life insurance will pay out a lump sum of money to your loved ones if you were to die at any point during the term of the policy. The monthly premiums you pay are initially calculated by the length and amount of cover you request, your age and whether you smoke or not. You will then need to complete a medical application where they will take into account your lifestyle and medical history, after this, the insurer may increase the initial premium if you present a higher risk. The pay-out from a life insurance policy can be used to help pay off a mortgage, pay any outstanding debts, replace an income and cover any future financial commitments such as school or university fees for your children.
Frequently Asked Questions
A colleague told me our employer provides cover. Can I rely on that instead?
Some employers include "death-in-service" cover for their employees, typically this would pay out a percentage of their salary if they were to pass away whilst employed at the company. Although this may be seen as a good level of protection, we would recommend against solely relying on this cover. You may leave that employer and if your new employer didn't offer this benefit, you would have no cover in place. It is also worth remembering that if you have had any health problems whilst at your previous job, you could find it difficult to get any cover in place.
Can I change my Life Insurance cover if my circumstances change?
Some providers offer a guaranteed insurability option which would allow you to increase your cover without the need for further medical underwriting. This would only cover significant life events such as getting married, having children or increases to your mortgage or salary. We would recommend checking your policy documents to see if this option is available to you.
Can I complain if I get advice and it leads me to the wrong policy?
For intermediaries (brokers) to sell life insurance, they must be regulated by the Financial Conduct Authority (FCA) which means you can complain if things go wrong. Some intermediaries offer advice and some are non-advised, it is always beneficial to be advised because the broker becomes responsible for ensuring the product you buy is suitable for your needs. If you buy from a non-advised broker or online its is up to you to check that this is the right policy to have and relies upon your level of knowledge. You can complain to any FCA regulated insurance broker and there are strict guidelines and procedures they must follow - why not ask for a copy of their complaints procedures. If you remain unhappy you then have the right to refer your complaint to the Financial Ombudsman Service, an industry complaints adjudicator. All firms are legally obliged to adhere to the Ombudsman's decision.
Can I have more than one Life Insurance policy?
Yes, you can have multiple policies to protect different things, such as your mortgage or family. However, it may be more cost-effective to have one policy that’s covers everything you need.
Can you claim on your Life Insurance policy for terminal illness?
Most insurers will pay a claim if you have been diagnosed with a terminal illness and given less than 12 months to live. This pay-out could help with things such as medical expenses, paying off your mortgage and would allow you to spend your final months with your friends and family.
Can you get Life Insurance if you have a pre-existing medical condition?
Each insurer has its medical questionnaire that needs to be completed which allows them to underwrite each applicant individually.
If you have a pre-existing medical condition, the insurer may want to write to your GP to get further information and in some cases, would increase your premium whilst offering the same level of cover.
It is vitally important you are honest on your application and declare any pre-existing condition you have because if you don't, it could result in a claim being rejected.
Critical Illness Cover:
Critical illness cover is an add-on to a life insurance policy. It will cover you and pay-out if you are diagnosed with one of the critical illness conditions listed in the policy. This money can be used to help pay for any medical treatments you may need, bills and other monthly expenses and potentially a portion of your mortgage.
Deciding what type of Life Insurance you need
Before choosing the best life insurance cover, it's useful to understand the different types of life cover available and the benefits.
Level term life insurance: the amount you're covered for stays the same throughout the entire term of your policy. Should you die before the policy ends, a lump sum will be paid out to your dependents.
Decreasing term life insurance: this is also known as decreasing term insurance and covers the outstanding balance of your repayment mortgage. The amount of cover reduces over time in line with your mortgage.
Critical illness cover: if you are diagnosed with a critical illness, such as cancer or a stroke, during the term of the policy you will be paid a tax-free lump sum to use for private medical treatment, monthly household expenses or to top up your income. It's worth checking with your provider the types of illnesses covered.
Joint life insurance: life insurance that covers you and a partner. This joint life insurance cover only pays out once. Should both policyholders die at the same time, there would only be one pay-out. It is normally cheaper than buying two single life insurance policies, but it means the remaining person will no longer be covered and it may be more expensive to take out a new whole life insurance plan due to your increased age.
Over 50’s life insurance: life insurance cover available to UK residents aged 50 to 80. Requires no medical, so acceptance is guaranteed. Over 50's life insurance can be used to help cover funeral costs, household bills or as a financial gift to those closest to you.
Our dedicated team of trained and qualified advisers are here to help you with the various life insurance options.
Do I get any money back if I don't die by the end of the policy term?
No, if you outlive the term of your policy, the cover will end and your premiums will stop.
Do I need to write my Life Insurance policy into trust?
Putting your life insurance policy in trust is a smart thing to do, it means that if a claim were to be made, the money would be paid directly into the trust where your beneficiaries can access it easily, if it is not put in trust then your beneficiaries may need to pay inheritance tax on the pay-out, depending on the value of your estate.
Do you need Life Insurance to take out a mortgage?
No, however, most mortgage lenders do ask that appropriate life insurance is taken out to protect the mortgage but it doesn’t need to be taken through your lender.
Fixed or ‘term’ Life Insurance:
This type of policy has a set term, for example, 15 years. A claim can be made if you pass away during this term and if not, the cover will end. The term you choose should always link to either your mortgage when your dependents reach a certain age or even when you want to retire.
Guaranteed insurability option:
Guaranteed insurability is available on some policies, it allows the policyholder under certain circumstances to increase their insurance pay-out without needing to provide any further medical evidence. Circumstances include having a child, getting married or increasing your mortgage. Make sure to check your policy documents to see if this option is available to you.
How are policy premiums calculated?
The premiums for life insurance are calculated based on the term of the policy, the amount of cover requested and what add-ons you may have, for example, critical illness cover or waiver of premium. Each insurer has its own criteria on how the premium will be calculated.
To be accepted for life insurance, each insurer has their own set of questions which need to be completed and depending on the risks presented, there may be an increase in the premium to justify the higher risk.
It is worth comparing different insurers as one may increase your premium based on your disclosures where another may not.
How do I buy Life Insurance?
It is worth comparing different insurers to make sure you get the right life insurance for you. Some insurers may offer a cheap initial quotation but then increase your premium because of your medical disclosures. Assured Futures have access to the widest panel of Life & Health insurers in the UK and will be able to help advise the best insurer and policy for your needs. They also work in partnership with Comparethemarket.com, GoCompare and Moneysupermarket.
Just complete our short form which includes what type of cover you are looking for, your date of birth, postcode and some simple contact details to get the process started.
How long should the term be?
If you are looking to protect a mortgage, the term should match how many years you have left to pay on your mortgage.
If you are looking to protect your family and any children you may have, the term should be at least until your youngest child is fully dependent although you may want to extend that and cover yourself until you retire.
Increasing Life Insurance:
As life moves on, you may wish for your life insurance to keep pace with inflation, because £100,000 is likely to buy a lot less in 10 years than it does today. Increasing life insurance links the cover to usually the retail price index (RPI) or the consumer price index (CPI) and both the amount of cover and the premium go up each year.
Is Life Insurance available for over 50's and over 60's?
Over 50’s or over 60’s life insurance is available from many life insurance companies and can be used to support your family or dependents with any financial worries they may face, such as funeral costs or outstanding bills. Alternatively, the money from your life insurance can be used as a gift to loved ones in the event of your death.
Is Life Insurance compulsory for a mortgage?
No, you don't have to purchase life insurance to get a mortgage, however, it is recommended by most mortgage brokers and financial advisers.
How would your family be able to pay the mortgage if something happened to you? Would they need to sell the house and downsize?
Life insurance helps protect your family financially if the worst were to happen.
Is Life Insurance guaranteed to payout?
Yes, as long as you pass away during the term of the policy and your claim is valid.
Is Life Insurance taxable?
Life insurance is compensation for a loss so is not subject to income tax or capital gains tax. However, the payout from your life insurance is considered to be part of your estate and if your estate totals more than £325,000, you will be taxed 40% on anything above that figure. Putting your life insurance into trust avoids having to pay inheritance tax, this means your beneficiaries will receive the full amount, tax-free.
Is there anything that might stop the policy paying out?
Each insurer will have some exclusions to their life insurance which means they may not pay out when a claim is made. Exclusions could include suicide, alcohol and drug abuse or deliberately exposing yourself to danger.
I've heard that Family Income Benefit may be a cheaper option. Is that right?
A family income benefit (FIB) policy provides a regular income for your family for a set time, rather than a lump sum in one go.
In some circumstances, family income benefit can be cheaper than a level term policy and in other cases, it won't, it all depends on when you pass away.
This type of cover is typically aimed at young growing families because a regular income can sometimes be more beneficial than a lump sum of money.
You must get the right advice if you are interested in taking out a family income benefit policy so speak to one of our advisers today and we will be able to help.
Level or decreasing Life Insurance?
With life insurance, there are two main types, level term life insurance and decreasing term life insurance. Both last for a set length of time, referred to as the 'term'. With both types of cover, your family can claim if you die within the set term of the policy.
Level term life insurance
Level term life insurance is mainly used to offer protection for family members or dependents, this is because the level of cover stays the same throughout the length of the policy. It can also be used to cover an interest-only mortgage (where you only pay the interest on the loan and the debt remains the same). You select the amount of cover e.g. £200,000 over a set time such as 30 years and if you were to die at any time during those 30 years, the policy would pay out £200,000 to your loved ones.
Decreasing term life insurance
Decreasing term life insurance is mainly used to protect a repayment mortgage because the level of cover decreases in line with your monthly mortgage repayments. Consequently, your monthly premiums will be cheaper than level term life insurance.
Level term Life Insurance pays out a set amount if you die within a fixed term
Level term life insurance will always pay-out a pre-determined amount as long as you die within the term of the policy. For example, if you took out a level term life insurance policy for £175,000 over a term of 25 years, your family will receive a pay-out of £175,000 if you die within the 25 years of taking the policy out.
It is important to note that the more cover or longer the term you have, the more expensive the premium will be.
Make sure the cost is fixed each month with 'guaranteed premiums'
When taking out level term life insurance, you'll be given two options of how you can pay your monthly premiums, guaranteed or reviewable. Guaranteed means your monthly premiums will stay the same throughout the term of your policy. Reviewable means your premiums start lower but as time goes on, your insurer can increase them because you are older.
Our expert says...
"Life insurance ensures your dependents are taken care of in the event of your death. The lump sum that's paid out once a claim is made can help to pay off the mortgage, allowing your family to remain in their home, help with university fees or the cost of bringing up young children.
Comparison websites allow you to compare life insurance from leading insurers and apply online. Many common medical conditions will be accepted without submitting any medical information.
Assured Futures have access to top life insurance companies that are not found on comparison websites, so it's always best to give our sales advisers a call and we can talk you through all the options available."
Quit smoking or planning to? You could get cheaper cover
The life insurance premiums for non-smokers are a lot less than for smokers because they are less likely to contract smoking-related diseases or to die during the term of the life insurance policy. To count as a non-smoker, you need to fully nicotine-free for at least 12 months, although some insurers are now asking if you have used nicotine or any nicotine replacements in the last five years, so it is always worth checking with your adviser before applying. If you smoked when you took your policy out and have since quit, it is worth checking to see if you can get the same policy at a cheaper premium but you shouldn't cancel any existing cover until a suitable replacement is started.
When taking out life insurance, you can either choose guaranteed or reviewable premiums. If you choose reviewable then your premium is likely to be cheaper at the start of the policy and then increase as the term progresses. Most insurers review premiums every 5 years.
Should I add Critical Illness Cover?
Life Insurance policies usually have the option of adding critical illness cover to the policy. Life insurance would only pay out on death but critical illness cover will pay out the sum assured if you are diagnosed with one of the critical illnesses defined in your policy wording. The usual conditions that are covered include heart attacks, strokes and many types of cancer. These conditions represent the top three claims for critical illness. Adding critical illness cover to your policy will increase the premium as there is a higher chance of being diagnosed with a critical illness than dying. However, you need to be aware that should you suffer a serious illness it will have a significant impact on your life and your finances. Many people include this cover in their policy for peace of mind should they be diagnosed with something serious.
Switching MAY cut costs
It may be worth shopping around to save money on your existing life insurance policy but you must ensure that any new life insurance policy has the same level of cover as your existing plan. It may seem that there are policies out there that seem better value but they may not offer the same level of cover. If you purchased your life insurance policy many years ago, the likelihood is that it would be more expensive to get a like for like policy because of your increased age and risk.
The less risk you'll die, the cheaper the cover
Life insurance premiums depend on many factors. If you are young and healthy, they will be cheaper. If you suffer from a medical condition, have a risky occupation or smoke, the premiums will likely be more expensive due to the higher risk. It’s vitally important that you disclose everything honestly and accurately when completing the medical application form for life insurance. The insurance company may refuse to pay out if you don't answer their questions honestly.
Top ten UK Life Insurance companies
It is always worth researching an insurer before taking a policy out with them because some have in policy benefits that are included at no extra cost.
Assured Futures have access to the widest panel of Life & Health insurers in the UK, including some of the best and most well-known insurers like; AIG, Aviva, Legal & General, LV=, Royal London and Zurich.
Our advisers can help search the market for you to ensure that you get the right cover at the best price.
Call us today on 0808 141 1244.
We're 100% independent, working only for our customers
Assured Futures are an insurance broker and not owned by an insurance company, this means they can offer you the widest choice of Life & Health insurers with excellent value life insurance cover.
As an independent broker, we provide a bespoke advised service whilst negotiating the best insurance cover at the most cost-effective price.
What happens to my Life Insurance if I don't die before my policy ends?
If you outlive the term of your life insurance, there won't be a pay-out and the policy will end. You may want to extend the term of your life insurance which you can do with some insurers but bear in mind that as you get older, your premiums may be more expensive.
What is the best age to buy level term Life Insurance?
The best age to buy level term life insurance is as soon as you possibly can, the reason for this is because as you get older, the premiums get more expensive. However, just because it is cheaper when you are younger, it doesn't mean that you may need life insurance. For example, if you are 20 years old and do not have a mortgage or any children, then life insurance may not be suitable. If on the other hand, you do have a mortgage or any dependents, then you should cover yourself as soon as you can.
What is the difference between Life Insurance and Life Assurance?
Life insurance means you are covered for a set time, for example, 25 years, whereas life assurance means you are covered for the whole of your life. Life assurance usually has higher monthly premiums because as long as you keep up with your payments, a pay-out is guaranteed.
What is Whole of Life Insurance?
Whole of life insurance covers you for your entire life, not just a set number of years. It can often be referred to as 'life assurance' and is generally more expensive than regular term insurance because as long as you pay your monthly premiums, it is guaranteed to payout.
What to do if something goes wrong
If you need to complain about your life insurance cover, you should contact the insurer directly. If you are dissatisfied with their response, you can escalate your complaint further and contact the Financial Ombudsman, they are an independent adjudicator who can make a final decision on the complaint. This is a free service available to anyone who is not satisfied with the service they receive from a financial services provider.
What type of Life Insurance do I need?
There are many different types of life insurance available and you must choose the right one for your circumstances. Taking out life insurance can be a long term commitment so for advice on the right type of life insurance cover for you please call one of our qualified advisers on 0808 141 1244.
What’s the Risk of Passing Away?
It is well known that as you get older, your risk of dying increases. Many other lifestyle factors can affect your life expectancy, one of the main ones being whether you smoke or not. To illustrate this, take a look at the following ages and their risk of dying before the age of 65.
35 year-old non-smoker=8% chance of dying before 65
35 year-old smoker=16% chance of dying before 65
Want to find out about your risks? Visit our 'Risk Reality' calculator
What's the difference between Health Insurance and Life Insurance?
Health insurance works very differently to life insurance as it pays out a specific amount to cover any specialist consultant appointments, hospital bills and medical treatment that you have that is not part of the NHS. Life insurance will pay out a pre-determined amount if you were to die.
What's the difference between Term and Whole of Life Insurance?
The main difference between whole of life insurance and term life insurance is that whole of life insurance will payout whenever you die, no matter when that is. Premiums for whole of life insurance are usually more expensive because as long as the monthly premiums are paid, it is guaranteed to payout. Term life insurance, on the other hand, will protect you for an agreed amount of years and will only pay-out if you die within that term. After the term ends, your premiums, as well as the cover, will stop.
When should I review my Life Insurance cover?
Reviewing your life insurance is something that should be done regularly, especially when there has been a significant event in your life, for example, if you were to move home, remortgage, get married, have children or even change your job. It is also worth trying to think ahead and consider any future events that may take place such as wanting your child to go to university. The final thing to consider is inflation because if you cover yourself for 25 years for a set amount, it may not be worth the same as when you originally took it out.
Why buy Life Insurance with us?
You must get the right type of life insurance for you and your family. Assured Futures have access to the widest panel of Life & Health insurers in the UK, many of whom are not available on comparison websites. We work with each insurer to find the most suitable life insurance policy that not only fits your needs but also your budget.
Call us on 0808 141 1244 as it only takes a couple of minutes to go through your details and we can then provide you with advice and quotes.
Why do I need Life Insurance?
Life insurance helps provide financial security to your family should you pass away.
Am I protected if my provider goes bust?
If you have life insurance in place with a UK FCA regulated insurer and they go bust, the Financial Services Compensation Scheme (FSCS) will look to find another insurer who will take over the policy and if this isn't possible they will provide a substitute policy. If you have an ongoing claim or need to claim before a new insurer is found, the FSCS should cover you. It is always worth checking that your insurer is on the FSCS register for peace of mind.
Do I need Life Insurance if I don’t have dependents?
Usually, you don't need to take out life insurance if you are single and have no one dependent on you. However, if you do have a family, partner, or someone who relies on your income, you need to consider what would happen to them if you died. Would they be impacted financially? If the answer is yes, you should consider taking out a life insurance policy.