Life Insurance

Level term cover stays the same amount for the whole policy, so if you're covered for £200,000, that's what would be paid whether you die in year one or year twenty. Decreasing term cover falls over time, usually in a similar shape to a repayment mortgage balance, which makes it a cheaper way to protect a debt that's shrinking anyway. Which one suits you depends on whether you only need to cover the mortgage or want money left over for other things too.

Writing a policy in trust means the payout goes straight to the people you've named rather than through probate, so your family gets the money faster, and it usually sits outside your estate for inheritance tax purposes. Tax treatment depends on your individual circumstances and may change in the future. It's a form you fill in when you take the policy out, and I'll talk you through it when we speak.

Life insurance only pays out while your policy is active, so if you stop paying — or miss enough payments — the cover lapses and you're no longer protected. Some policies allow a short grace period to catch up, but once it's cancelled you'd need to reapply, usually at an older age and possibly with a different health history, which can make cover more expensive or harder to get. If money's tight, talk to me before you cancel — there may be a cheaper way to keep some cover in place.

Possibly, yes. Life insurance isn't only for mortgages — if anyone depends on your income, your savings, or the unpaid work you do, such as childcare, it's worth thinking about what would happen to them financially if you weren't there. Renters with children, single parents, and anyone with debts in their name are all worth having the conversation about.

A rough starting point is your outstanding mortgage or debts, plus enough to replace your income for a number of years, plus anything specific you'd want covered, such as school fees. There's no single right number — it depends on what your family would need to keep going without you, so I'll work through it with you rather than hand you a generic multiple of your salary.

My advice costs you nothing. My commission is funded by the insurer if you decide to go ahead with a policy, and it doesn't change what you pay. I compare cover from leading UK insurers.