Life insurance is a powerful protection tool, and one of the most straightforward types of cover. But it’s important not to set and forget about it. Over time, many things can change in (and around) your life, and periodic policy reviews can help you ensure that your cover keeps ticking all the boxes.
Here are some key things to check on a regular basis.
Unless you choose to nominate someone as beneficiary, the policy owner is usually the person who receives the money.
Depending on how your policy is structured, the policy owner may be the same person as the “life insured” (the person whose life is covered). But this isn’t always the case. For example, many couples would like the payout to go to their spouse and may choose to own each other’s life insurance policies to make claim time easier. Or they might opt for a ‘joint ownership’ where both spouses own both policies.
If your circumstances have changed, it’s important to make sure the policy owner and/or beneficiary of your life insurance are up to date. Please don’t hesitate to contact us if you need any assistance with this.
Many people take out life insurance when buying their first home, when they get married, or when they welcome a baby in the family. But life always moves forward. At this point in time, you may have paid off a good chunk of your mortgage, or become an empty nester. Or – on the opposite – you may have taken on more debt (for example, by investing in property).
In all of these cases (and more), it’s important to assess that the level of life cover you have in place is still appropriate for your needs. Once again, we can help you work this out.
As obvious as it may sound, whenever you change your phone, email, physical address or payment details, it’s a good idea to let your insurance provider (and us) know as soon as possible. Updating your details only takes a few minutes, but it’s a key step to ensuring smooth communication all the way through.
Quitting cigarettes isn’t easy, but it can be done. And once you’ve succeeded, there’s absolutely nothing wrong with telling everyone about it – including your insurance provider.
Not only will you feel good about sharing your achievement: if you’ve stopped smoking for at least 12 months, and you are currently classed as “smoker” on your life insurance policy, your insurance provider will update your details and switch you to non-smoker premiums. And savings could be significant; in some cases, smoker premiums can be up to double the amount for a non-smoker of the same age.
Like to give your life insurance a health check? We’re here to help. Please don’t hesitate to book a meeting to go through any changes in circumstances and tweak your cover accordingly.
Disclaimer: Please note that the content provided in this article is intended as an overview and as general information only. While care is taken to ensure accuracy and reliability, the information provided is subject to continuous change and may not reflect current development or address your situation. Before making any decisions based on the information provided in this article, please use your discretion and seek independent guidance.
An Adviser Discloser Statement is available free and upon request.