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Individual Life Assurance Solutions

Life assurance can be a simple answer to a very difficult question, “How will my family be affected financially when I die?” This is a subject none of us really want to think about, but if we have someone financially dependent on us, it’s one we really can’t avoid. The purpose of life assurance is to pay a lump sum benefit after you die, providing your loved ones with financial security should the unthinkable happen.

 

Protecting your family through the different stages of your life

As we progress through life, we may need life assurance to address the changing risks our families may face. Here are some examples of when life assurance may be important or necessary.
 

Single 

Most single people don’t have any financial dependants but there are exceptions. If you’re supporting parents or siblings; or carrying significant debt you wouldn’t want passed on to family members, you should consider life assurance.

Couples 

Many families depend on two incomes to make ends meet. If you died suddenly, would your spouse or partner have enough money to cover your funeral costs, credit card balances, outstanding loans and daily living expenses?

Raising children 

Raising children is tremendously rewarding but can also be tremendously expensive. If you died tomorrow, would your spouse or partner be able to financially provide your children with the opportunities you had planned for them?

Considering life assurance for a nonworking spouse can be just as important as insuring the breadwinner of the family as they perform important functions that would be expensive to replace such as raising the children and running the household.

Single parents need to consider life assurance more than anyone else as their children are so critically dependant on them.

Servicing a mortgage 

For most people, the family home is their most significant financial asset and their mortgage is their most significant liability. If you have a mortgage, consider life assurance for the value of the mortgage to provide your family with the security of a fully paid home if the worst should happen.

Approaching retirement 

Once your children are on their own and your mortgage is paid off, you may no longer need life assurance. If you died today, your spouse could potentially outlive you by many years. Consider whether they would have to make drastic lifestyle adjustments to make ends meet and whether you have adequate life assurance cover in place to ensure they avoid financial struggles in retirement.

Estate Taxes 

The governments of approximately 40 countries levy some form of death duty, estate duty or inheritance tax on the estate of a deceased citizen or taxresident, which must be settled by that person’s beneficiaries. Life assurance is often the most cost-effective solution to help a family pay these taxes.

Consider whether your family is exposed to this potential liability and whether life assurance could be the solution to help them avoid having your estate broken up to pay the taxes due.

Individual Life Assurance Solutions

We offer a comprehensive range of benefits, protecting you and your family from unforeseen circumstances.

 

Request a Quote now

 

Business Protection

Key Person 

Key Person insurance can help a business protect itself from the sudden death of an important person who generates significant revenue because of their business relationships, or someone who is the intellectual capital of the business because of their knowledge, experience or skill set; or simply the costs incurred in recruiting and training someone to replace an important employee.

Shareholder Protection 

Shareholder Protection insurance could allow surviving shareholders to retain control of their former partner’s shares. Not having this protection in place could lead to family members becoming actively involved in a business when they have no knowledge or experience.

Business Loan 

Business Loan insurance can help settle business loans which are linked to a shareholder or another key employee.

 

How much cover do you need?

The most important (and possibly difficult) part of buying life assurance cover is determining exactly how much cover you need. As each person has different goals, financial and personal circumstances, there is no general standard for how much each person should buy. We suggest you consult with your financial adviser or insurance broker and review your personal and family circumstances described earlier.

Here are some points to consider as you go through this process.


Immediate Cash Needs


Funeral Costs

Medical Expenses

Probate Fees

Legal Fees

Mortgage

Credit Card Debt

Other Loans

Estate Duties

Ongoing Cash Needs


Food

Housing

Utilities

Transport

Health care

Clothing

Insurance

Schooling

Future Cash Needs


Tertiary Education

Spouse Retirement

Family Protection Calculation

You may also want to make use of our Unilife Family Protection Calculator on our website which can also help you work out what your potential life assurance needs are today


Immediate, Ongoing and Future Cash Needs-Spouse’s income, savings, life assurance=Life Assurance Gap

Then consider what resources are already in place to meet these obligations, such as your spouse’s income, savings, investments and any life assurance you may already have in place. The difference between these two is the life assurance sum you should be considering.

This calculation may seem simple enough but there are many potential inputs and thinking of them all can get overwhelming. You’ll also need to consider the effects of inflation and make assumptions about what returns are likely on invested lump sums.

A financial adviser or insurance broker can assist with some of these areas.

Individual Life Assurance Solutions

We offer a comprehensive range of benefits, protecting you and your family from unforeseen circumstances.

 

Request a Quote now

 

Download the Unilife Individual Benefits 2019 Brochure

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