Frequently Asked Questions.

Family income benefit pays a monthly income for the duration of the policy term if you die. For example, a 20-year policy pays your beneficiaries each month for up to 20 years.

No. Pay-outs from life insurance, critical illness cover, and family income benefit are usually tax-free in the UK. Income protection payments are generally taxable if provided through a company policy but if premiums are paid personally then income protection payments are not taxable.

Yes. Most UK policies allow you to:

1. Increase or decrease cover amount

2. Add critical illness or income protection riders

3. Update beneficiaries which can be done using a Trust

4. Regular reviews ensure your protection matches your changing circumstances.

1. Proof of identity and UK address

2. Health history and medical information

3. Financial details (income, debts, expenses)

4. Lifestyle information (smoking, alcohol, hobbies)

1. Faster pay-out to beneficiaries as without a trust the pay-out forms a part of your estate and go through probate which can take months.

2. By placing a policy in trust, the pay-out bypasses probate which is the legal process of validating a will and distributing estate, thus avoiding potential administrative delays.

3. A trust will keep pay-out details private hence beneficiaries will receive it confidentially.

4. It would also potentially reduce the Inheritance Tax bill for your estate thereby leaving more funds for in the estate for your beneficiaries.

5. Placing a policy in a trust would let the settlor specify beneficiaries. 

6. You would also be able to protect beneficiaries from creditors and potential bankruptcy