At CONSTANT we can help advise
you on the most appropriate cover to suit YOUR needs and YOUR
Budget! Please feel free to contact us for advice.
Life insurance, critical
illness, income protection and payment
protection
What does it
cover?
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Do you need it?
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Yes, if you have children or have a
joint mortgage. Basically if you have a partner or dependents it's
advisable
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- It pays your dependants a lump sum or regular payments if you
die.
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- If you're young and healthy, life insurance is very good value
for money. If you are low risk - you get a low cost premium.
- It only covers death - it won't cover you if you can't work due
to illness or disability.
- Existing medical conditions may not be covered and - if you
have a serious health problem - you may not be able to get cover or
the cost may go up.
At
Constant we can use our in depth knowledge to advise you on the
best provider.
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Critical illness
insurance
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It's not as important as life
insurance
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- It pays a 'lump sum' (or some policies will pay an income) if
you're diagnosed with a specific serious illness, for example:
heart attack
stroke
cancer
- Up to around 40 others (depending on provider)
- conditions such as multiple sclerosis*
- You can also add total permanent disability cover
*Please refer to individual
providers for the exact definitions of illness's covered.
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- If you couldn't support yourself and your dependants if you
were too ill to work, then critical illness may be for you as long
as you have the budget.
- You can combine this with a life policy.
- A payout can make a big difference when you need it most, for
example you could use it to pay off your mortgage.
- Health problems you had before you took out the insurance are
very unlikely to be covered and may be excluded.
- Not all policies are the same - check the amount and
definitions of Critical illnesses
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Income protection
insurance
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You should consider it if you can't
rely on savings or employee benefits to see you through an
illness
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- Pays a percentage of your take-home pay if you can't work for a
while because you're ill or disabled.
- It covers most illnesses that leave you unable to work.
- This is not unemployment cover
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- You're most likely to need it if you're self-employed, or you
don't have sick pay or savings to fall back on.
- This pays a monthly figure to cover the mortgage and living
expenses
- You can claim as many times as you need to while the policy
lasts.
- Get advice before buying as there are multiple options when
choosing a policy. Not all policies provide the same cover.
- You might not get cover if you have existing health problems or
a dangerous job.
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Accident Sickness &
Unemployment - otherwise known as mortgage protection insurance
(MPPI)
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You probably don't need it
if:
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- Covers your monthly mortgage, loan, and credit card repayments
in case you:
have an accident
become ill and can't work, or
become unemployed
Payment protection insurance is
optional. There are other providers of Payment Protection Insurance
and other products designed to protect you against the loss of
income. For information about insurance, please visit the website
at www.moneyadviceservice.org.uk/
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- you could get by on your sick pay or would expect a large
redundancy payout in the case of Unemployment
- you have enough savings to cover the mortgage and bills
- your partner earns enough to cover the bills
- you're young, single, in good health, and only have spare cash
for basic insurance
It can ease your money problems if:
- you're made redundant and are likely to be out of work for a
long time
- if you've little or no savings and quite a lot of debt
Other factors:
- Most policies have a 90 day exclusion period at the start
- This is short term cover - usually they will only pay out for
12 months
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Home Insurance
What does it cover?
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Do you need it?
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Buildings
insurance
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Yes, mortgage lenders
will
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- Covers the cost of repairing or
rebuilding your home if it's damaged by storm, floods, fire,
lightening, subsidence, etc.
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- Repairing your home can be very
expensive so buildings insurance could save you a fortune in the
long run.
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Contents
insurance
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Yes, for most people it's vital in
case your home is burgled or there's a fire or
flood.
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- Covers your possessions for loss or
damage.
- You won't be covered for general
wear and tear.
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- You can usually get a new item to
replace your damaged or lost one.
- You can choose to get cover in case
you lose items outside your home.
- You'll need to pay an excess on
every claim and your premium will probably rise the following
year.
- Some items are only insured up to a
certain limit, so you may need to pay for extra cover for
these.
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The above information provides a guide
to the various protection products we offer and is not tailored to
individual circumstances. For a full personalised review please
contact us.