For example, Sam takes out a Family Income benefit critical illness plan for £10,000 per annum over 20 years. After 5 years, Sam suffers from one of the listed critical illnesses and the Insurance Company accepts the claim. Sam or the nominated beneficiary then receives £10,000 per year for the remainder of the term, 15 years in this example. It may also be possible to commute the annual payment in to a lump sum though the amount payable will reduce.
Family Income Benefit works very similarly to Life Insurance and Critical Illness Insurance. Rather than receiving a lump sum payment in the event of death or critical illness, a regular annual income is paid for the remainder of the term of your policy should you die or suffer a critical illness. The amount of benefit is determined at outset along with the term by you.
Family Income Benefit often costs significantly less than traditional Life Insurance and Critical Illness Insurance and an excellent option for family protection.
Full product information is available on request and can be emailed to you, please call on 0800 043 0413 or email us.