Life assurance is much more varied than you'd imagine. Tailor-made to suit your needs, there are several varieties of insurances available that can be linked to the life of the policyholder. Types of lifecover can be sorted into the following, Term, Decreasing, Convertible, Pension and Whole of Life.

Term assurance
This is the most common, simplest policy available. You pay a set premium and in return, the life office will upon death (within an aranged term), pay out a agreed upon sum. Should the life of the policyholder exceed the term, the policy simply lapses and no payout is made. As a rule these policies are often inexpensive to buy however they are a useful form of protection for the policy beneficiaries, for example family members, should the policyholder die.

Decreasing Cover
For many people one of the the main purpose of taking out life cover is to help pay for an outstanding mortgage after death. Decreasing cover plans are used more and more often to protect a mortgage upon which repayments are made. With Decreasing cover plans, If you should pass away before the end of the mortgage term, these policies will provide a lump sum which will pay off any outstanding balance on your mortgage.

Over term of a plan, any amount of life cover is reduced to match the outstanding mortgage loan - thus keeping the costs down because you will only ever be paying for the amount of cover necessary. This is usually the cheapest way of insuring your repayment mortgage.

Convertible Terms
Much like Level Term Cover, except that this cover has a built-in option to convert before expiry to a ‘Whole of Life’ contract, which once done would provide you with cover beyond the stated term.

Pension Terms
Again, much like Level Term Assurance, except because this cover is linked to your pension there are tax advantages applied, which impacts the amount of premium you pay for the cover.

There are certain restrictions with this type of cover, please contact us if you require further information..

Whole of Life
This type of cover, as you would expect, insures you for all of your life until you die.

Differing from a term assurance which has aspecific end date which you could surpass, Whole of Life cover pays out when you die – No matter what your age!

There are various levels of cover and your monthly payments are invested for longevity.

This type of cover can be set up for single cover, joint life first death or joint life second death, which if used in conjunction with a suitable trust is good for Inheritance Tax planning .

Critical Illness Cover Critical Illness insurance will pay you a tax free lump sum on diagnosis of any one of a wide range of critical illnesses including cancer, heart attack, stroke, brain tumour and many more. Criticall illness cover is offered as a basic or comprehensive policy. The basic plan will cover the main conditions and generally a comprehensive plan will cover many more which may include loss of sight, permanent disability, loss of hearing etc. Your quotation will include details of the cover. For more information, please contact us on 0191 488 8445 or use this email link. office@hrcgroup.net