Family Income Benefit
It is very common to protect your mortgage balance in the event of death, but it is also vital we consider the financial strain of losing that income or having to change jobs to care for children even if a mortgage has been repaid through death.
Family Income benefit is designed to pay out a regular, tax-free income in the event of death (you can also attach critical illness to this if required), to ensure that your loved ones will receive a regular income for a specified period.
What Do I Need To Protect?
As an example, you could choose to protect the mortgage balance in the event of death and a tax-free, monthly income of £1,000 until your youngest child reaches age 25.
This cover could go a long way to covering the essential costs of living (bills), or just being able to live a lifestyle without having to make significant sacrifices.
Implementing this policy could allow your loved ones to afford to live and save per month, whether that is for future University costs for your children, or just saving to protect against any unforeseen events.