What is Family Income Benefit?
Generally, with life insurance, your loved ones will receive a lump sum payout from your policy when you pass away. However, with family income benefit your loved ones will be paid a regular income for a set period of time to replace the lost income. The payments aren’t normally subject to income tax but may impact some state benefits.
When you take out a Family Income Benefit Policy, you will specify what income you would want your loved ones to receive, and for how long for. The provider will work out what monthly premium you would need to pay in order to secure that cover. Family income benefit is generally seen as the most budget-friendly form of life insurance available. This is because the insurer is less likely to have to pay out a significant sum, and even if they do, they don’t need to pay it all in one go.
Why should I take out a Family Income Benefit policy?
If it is your income that you and your family rely on to cover household costs and living expenses, then you may want to consider taking out a Family Income Benefit Policy, as it can help to provide some relief for your loved ones after the loss of your income.
The cost of a Family Income Benefit Policy can vary, depending on different factors such as; your age, lifestyle, health and how long you would like the term to be. The amount of cover you get will be a personal decision.
Unlike comparison sites, we’re able to find a protection solution that’s perfectly tailored to you and your families’ exact needs. With our team providing their guidance, you can rest assured that our insurance advice is personalised for you.
