If this doesn’t make you think, nothing will…

Quite simply…

Without life insurance:

1. You die. Family grieves
   2.    Family must find money for your burial/cremation
   3.    Family must find money to pay off mortgage and any other debt
   4.    Family might have to deplete any savings or take on more debt to pay off debt or downsize to do this
   5.    Family suffers financial anxiety and rely on state and family hand outs
   6.    Family pride takes a hit
   7.    Family struggles to make ends meet
   8.    Family lifestyle destroyed

With life insurance:

1. You die. Family grieves
   2.    Family has money to bury you and give you a great send off
   3.    Family can focus on grieving and healing and has nothing to worry about financially
   4.    Family financial pressure removed

Which situation would you rather leave your family in?

You might not like to hear it, but every person has problems that only life insurance can solve. In the young person’s case, the problem is to create cash; for the older person, to conserve it and to pass it on. If you fall into the second category and have already accrued wealth, then taking the prudent steps to underpin what has taken a lifetime of sacrifice and hard work to build is much easier to fund.

I have calculated that for most people, all they must do is simply redirect just between 0.5% and 1% of their wealth to protect 100% of what they have built up over the years.
Just redirecting a very small regular amount of your savings or investments will protect your lifetime’s accumulation of wealth for your family. How can this not make financial sense?
It is unlikely to have any effect on your day-to-day standard of living because the amount required for peace of mind is so proportionately small but so significant in returns.

The basics of life insurance are really quite simple; you pay a small regular amount into an account and the life insurance company immediately pay a very significant tax-free amount into their account. When you die the accounts are immediately swapped. That’s it.

Business Owners

If you are a business owner, you should be insuring the key people in your business. Those individuals that help your business keep the cash coming in, they are your cashpoint because without them the business suffers financially. If you, the business owner dies, then in walks the bank and creditors, and then come the vultures looking to buy your business which has taken years to build for a fraction of what it is worth.
Spouses and family are naturally particularly vulnerable when dealing with the death of a loved one. Business protection life assurance buys your spouse and family time to get good counsel and protects the business against a ‘fire sale’ and the sharks out there trying to take advantage. Business protection life cover premiums are tax deductible as an expense against the business, so the premiums cost less.

Everyone likes ‘sunny day’ planning (the expectation and luxury of having the time and the money to do what you want when you want) but most people hate ‘rainy day’ planning (what if the worst was to happen?) It is against human nature to consider our own mortality and the big ‘what if this happens’ questions. With enough time, money, and planning, we get the outcomes and security we all want, and our families need. You simply cannot put a price on peace of mind.

We work all our lives to save enough money to secure an independent and dignified retirement. Given the choice, I am quite sure we’d rather receive a substantial tax-free lump sum to support us than having to use our life savings to sustain us or to rely on state financial support or family assistance. Newsflash! You don’t want to rely on any support from the state because it will be nowhere near what your family will need. Our life savings should be our playtime money, not money me must now use to make ends meet.

The good news is that you can deal with all the above. Life insurance and critical illness cover is not as expensive as you might think. We have access to every insurer in the UK to make sure you never pay any more than what you need. We secure all our clients’ the lowest rates available. Sure, there will be some medical questions because the insurer needs to be sure that you look as good on the inside as you do on the outside. You may already have some cover in place. If you have, ask yourself these questions:

1. Have I reviewed it recently?
2. Have my circumstances changed since I took my policies out; got married, had children, took on a bigger mortgage over a longer term etc? These things are often and easily overlooked.
3. Could I get a better value policy for what I am already paying? We will do the research for you. If it cannot be bettered, you simply stick with what you have.
4. Do I now need any cover at all?

If you believe that the ‘Nanny State’ will look after my family, think again. They only provide the bare minimum and don’t forget about the taxman and possible inheritance tax on the wealth you leave behind. Did I mention the astronomical costs of long-term care?

Should this raise its ugly head the costs can quickly erode wealth and destroy any legacy you were thinking of leaving? The bottom line is that the only way you can protect you family and business and leave a guaranteed tax-free legacy to your loved ones is to insure against it.

If any of these issues hit a nerve, please get in touch, and remember that life insurance is for the living, not the dead.