Family Income Benefit
policies are a form of term assurance. Instead of paying a lump sum on death, the policy will pay an income on death, to your chosen beneficiaries for the remainder of your chosen term.The income is normally tax free and can be set to rise annually with inflation. These policies are typically cheaper than term assurance, and are a cost effective way of providing for dependents.
You might use this type of policy to pay your partner an income until your children are 21 for example. Or you could use the policy to pay an income to your partner until retirement. They can also be a cost effective way of topping up your partner's "dependents" pension, which is normally only half of what you were receiving while you were alive.
Like term assurance, family income benefit policies can be written in trust to make sure that your intended beneficiaries benefit directly, and to avoid the delays normally associated with the probate process. They can also be written to cover both you and your partner.
Family income benefit policies are a cost effective way of providing
an income for your family if you die prematurely. Depending on your
circumstances they may be a better alternative than the more usual
term assurance...
Footpath Financial Limited
Footpath Financial Limited is a firm of Independent Financial Advisers who are authorised to advise on and arrange life insurance and related products. Based in Farnham and Crowthorne we serve the Guildford, Hindhead, Alton, Farnborough and Basingstoke areas. We are Authorised Representatives of the Financial Planning Partnership, who are authorised and regulated by the Financial Services Authority.