It’s likely that some of us can hold our hands up and say that preparing for the unexpected is not made as much of a priority as it should be. Living in the busy, interconnected world of today means that it can be difficult to find time to consider the future, but that’s not a good enough to excuse to put it off.
Surely, we should approach potential difficulties in life head-on and have a contingency plan should the worst happen? Well, the Covid-19 pandemic has more than highlighted a need for this to be the case when even the most unforeseen of circumstances arise.
It’s been reported that life insurance has experienced a rise in interest since the start of the global health crisis[1]. The temporary slow-down in the financial protection market that occurred during H1 2020 is expected to make a full rebound come 2022, with the aid of vaccines and new, more efficient ways of processing applications[2].
What has become clear for many, is that financial protection can provide support at those times in life when you need it the most.
But what is Financial Protection?
It’s different types of insurance to protect you and your family against loss of earnings in the event you are no longer able to work due death or illness. It can encompass many areas but most commonly refers to: critical illness cover, income protection, life assurance/insurance and private medical insurance. These are usually paid for through monthly or annual premiums, the amount of which can depend on a variety of factors, such as age, lifestyle and length of cover needed.
- Critical illness cover pays out a tax-free lump sum, should you fall ill with a condition listed in your insurance policy during your insurance term.
- Income protection pays a proportion of your salary if you find yourself having to take an extended period off from work due to illness, an accident, or losing your job through no fault of your own.
- Life insurance and life assurance pay a lump sum to beneficiaries in the event of your passing. They’re similar but the main difference is that life insurance normally involves payments being made for a fixed term and cover is provided for that period. Life assurance tends to be a policy for life that will pay out at any time and due to this, the premiums are usually higher.
- Private medical insurance covers the cost of private healthcare. Private healthcare can often be a faster route for treatment and private medical insurance normally covers some or all of the cost.
How can we help?
Here at Brunsdon Financial, we pride ourselves on achieving the best results for all our clients. We understand that it’s never nice talking about worst-case scenarios, but we also believe that these are some of the most fundamental conversations you may have to secure yours and your family’s future.
We aim to make our service as individual as you are. Whether you are a long-standing client or completely new to our offerings, we will assess your individual personal circumstances to ensure you get the most suitable cover for your needs.
