Whole Life Insurance
At SMH Financial Services, we understand that life is unpredictable, and we believe in helping our clients prepare for the unexpected. That’s why we offer advice on Whole Life Cover to provide you and your loved ones with financial security and peace of mind.
What is Whole Life Insurance?
Whole life insurance is a type of life insurance that provides coverage for the entire lifetime of the insured individual. Unlike term life insurance, which covers a specific period, whole life cover remains in effect as long as the policyholder continues to pay premiums. If the policyholder dies, whole life insurance pays a lump sum to their family or beneficiaries
Benefits of Whole Life Insurance
- Lifetime Coverage: Whole life insurance provides coverage for the entire lifetime of the insured individual, as long as premiums are paid. This ensures that beneficiaries receive a death benefit whenever the policyholder passes away, providing permanent protection.
- Tax free payout: A whole of life policy is not subject to capital gains tax or income tax. But, if your estate is worth over £325,000, you may have to pay inheritance tax.
- Guaranteed Death Benefit: Whole life insurance comes with a guaranteed death benefit that is paid to beneficiaries upon the insured’s death. This can be a valuable financial resource for covering funeral expenses, settling debts, and providing financial support to loved ones.
- Predictable Premiums: Whole life insurance typically comes with level premiums that remain constant throughout the life of the policy. This predictability can be beneficial for long-term financial planning, as policyholders know what to expect in terms of premium payments.
Do you need Whole Life Insurance?
Life insurance is important if you have children or other dependants who rely on you financially. If you want to ensure loved ones would receive a guaranteed pay out no matter when you die, whole life cover might be for you.
It can also be worth considering if you are concerned about Inheritance Tax (IHT). If your estate is worth more than £325,000, IHT is charged at 40% of the value of the estate above that threshold. This will need to be paid before your loved ones can access the estate which can result in them having to stump up thousands of pounds in one go. The pay out from a whole of life insurance policy written ‘in trust’ can help cover this IHT bill.
At our company, we understand the importance of financial security and peace of mind for you and your loved ones. That’s why we offer a comprehensive Whole Life Cover service that provides lifelong protection, guaranteed payouts, customized solutions, affordable premiums, optional riders, and 24/7 customer support. Contact us today to learn more about our Whole Life Cover service and how we can help you prepare for the unexpected.
If you would like to arrange an initial meeting with one of our financial advisers, please contact the SMH Financial Services team on info@smh.group or 0114 266 4432.
Financial protection policies typically have no cash in value at any time and cover will cease at the end of the term. If premiums stop, then cover will lapse.