• Life insurance could be cheaper than you think

    Anyone with children probably knows the difference having life insurance could make if the unthinkable happened, but that doesn’t mean everyone has done something about it.

    A survey* found that almost half of those aged 18-65 in the UK don’t have life cover. Of them, over a third said this was because they couldn’t afford it.

    On digging a little deeper, the survey also revealed that the majority of these people either didn’t know how much life insurance actually cost or assumed they’d have to pay over £50 a month to get £100,000 of cover.

    The reality could be more affordable than they think.

    *Source for all research figures: Critical Research online poll, February 2014.

    How much does life insurance cost?

    Well possibly not as much as you may think! Typically, when thinking about life insurance, you work out how much money you may need to cover things like your mortgage, your bills, childcare for a certain number of years and the smaller things like food and petrol. You could then get a quote to see how much the monthly payments would be. If you’re on a tighter budget and know you need life insurance you could choose how much you could afford to pay each month, and see how much you’d get in return.

    To apply for our family life insurance, you’ll need be aged 18 to 59 and would need to answer some health and lifestyle questions.

    Let’s meet Mark and Anna.

    Mark is 35 years old, doesn’t smoke and is in good health. He wants to leave about £250,000 to cover his mortgage and enable his family to carry on living as they are now. He’d like this cover over a 20 year term. To leave this amount of money he needs to pay about £15 a month. Mark also worries about getting ill and being able to meet his financial commitments, so he could add critical illness to his life insurance by paying around £11 each month. Critical Illness would mean that if he was diagnosed with a serious illness covered by the policy, 25% of the money would be paid out early. The balance would then be paid out if he later died within the term.

    Anna is 38 years old and on a pretty tight budget. Anna is in good health and doesn’t smoke, she wants to pay an amount each month that’s comfortable for her and with premiums that remain fixed throughout the term. This is Guaranteed with our insurance! So she decides she’d like to pay around £10 per month for 10 years. This would give Anna just over £130,000 of cover if she died during the term.

    So, as you can see, life insurance could be more affordable than you may have thought!

    Get a quote today for your Family Life Insurance.

    That’s another thing we’ve made straightfordable.

    Family Life Insurance explained

    SunLife’s Family Life Insurance provides a cash payout to help support your loved ones financially if you die.

    • You choose how long you’d like cover for - from 10 – 40 years as long as your cover ends by your 70th birthday
    • You choose how much you can comfortably afford to pay each month - from £5 per month. The amount you pay is set on day one and never changes
    • Or how much you’d like to be paid out if you died while you’re covered - up to £500,000 depending on your age and the premium you choose
    • You can choose to add Critical Illness cover - to get 25% of your payout early if you're diagnosed with a critical illness specified by the policy
    • If you die during the term, a cash payout is guaranteed - provided you always pay your premium when due

    Family Life Insurance in action

    To demonstrate how much life insurance might cost, we’ve created these examples for you. These are not real people, but the figures are correct based on the assumptions given. How much you pay and your cash payout will depend on your age and personal circumstances.

    Meet Anna

    anna

    Anna has a growing family to look after, so her budget is tight. She would like to take out life insurance for 10 years to cover the years her children are young. She can comfortably afford £10 a month. Anna is in good health and is a non-smoker.

    Anna's scenario

    Her age now 38
    Her chosen monthly premium £10
    Her chosen term 10 years
    Smoker status Non-smoker
    Total payout if she dies during the term £130,848
    annas-life-cover

    For the same £10 a month, Anna could also add critical illness cover to her policy. This would reduce her payout on death but give her some extra protection if she became ill. If she were diagnosed with a serious illness covered by her policy, 25% of the money would be paid out early. The balance would be paid out if she went on to die during the term.

    Family Life Insurance with critical illness cover

    Total payout for the same £10 premium, if she dies during the term £68,859
    25% payout on diagnosis of an eligible critical illness during the term £17,215
    Balance paid out if death also during the term £51,644

    Meet Mark

    mark

    Mark has just bought a new family home. He would like to take out life insurance to help his family pay the mortgage and maintain the way of life they enjoy, if he died while his children are still at school. Mark doesn’t smoke or have any health problems.

    Mark's scenario

    His age now 35
    Smoker status Non-smoker
    His chosen term 10 years
    His chosen payout if he dies during the term £250,000
    Monthly premium to pay £13.21
    marks-life-cover

    Mark could add critical illness cover to his life insurance by paying an extra £8.99 each month. So if he were diagnosed with a serious illness covered by his policy, 25% of the money would be paid out early. The balance would be paid out if he went on to die during the term.

    Family Life Insurance with critical illness cover

    Monthly premium with critical illness cover £22.20
    25% payout on diagnosis of an eligible critical illness during the term £62,500
    Balance paid out if death also during the term £187,500

    What you need to know about SunLife's Family Life Insurance

    Family Life Insurance is provided by Scottish Friendly.

    If you don’t pay your premiums every month throughout the term, you won’t be covered any more and you won’t get any money back.

    The amount of your payout will depend on your age, the premium and the term you choose and your answers to the health and lifestyle questions asked when you apply.

    The payout is a fixed amount of money, so inflation will reduce how much it will buy in the future.

    SunLife offers a range of straightforward and affordable products including over 50s life insurance, funeral plans, life insurance, pet insurance, ISAs and Will writing services.