Level Term Life Insurance
There are 2 main types of life insurance – one of them is Level Term Life Insurance.
This type of life insurance is designed specifically to offer a lump sum payment upon death that can cover an existing mortgage and offer additional financial security.
The reason it is called Level Term Life Insurance is that the amount payable on death is fixed irrespective on when the policy is claimed upon. Therefore the level of cover stays the same over time. This therefore allows mortgages to be paid as well as additional living costs and simply covering the loss of income from a loved one.
If you are married or co-habiting with a partner you can choose to take this type of insurance jointly or as individuals. Although certain products do vary, with joint cover the policy would pay upon the first persons death. Normally joint cover is cheaper than taking two separate individual policies.
Level Term Life Insurance tends to be a more expensive option than Decreasing Term Life Insurance but personal cirumstances can change the premium you are offered so it is worth comparing and considering both options carefully. Sometimes this type of insurance is known as Term Insurance or Term Assurance as the level of cover remains the same over the term.
If you would like to find out about your options please complete your details in quick form above.