How does family income benefit insurance work?
You choose the term length and annual benefit and if you die during the term, your insurer will pay a regular income to your family for the remaining duration of the policy’s term. For example, if you take out a 20 year policy and die after 15 years, your insurer will only pay an income for the remaining 5 years.
How much does family income protection cost?
The cost of family income benefits differs depending on a variety of factors including your age, your lifestyle and how much annual income you want as a payout. Your premiums will be more expensive the older you are and they’ll also increase if you choose a higher annual income.
Family income benefit vs level term life insurance
A family income benefit policy is typically cheaper than a level term insurance policy because the amount the insurer pays out decreases over the policy’s term.
What are the pros and cons of family income benefit insurance policies?
Pros
Cons
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