I was recently approached by a client who wanted to review and simplify the life cover he had in place.
Ironically enough, my client in this instance worked in the investments division of a large insurance company. Over the years, he had accumulated around 10 different policies for him and his wife, with varying degrees of cover. None of them were held in trust.
He and his wife were both in their early 40s, and were in good health. They had just bought a property that was to become their main residence, and had a mortgage liability of just under £1m.
Before moving in, they wanted to ensure their asset was protected, and my client decided the time had come to review the protection he had in place. At this point, he came to us and engaged our advice and structuring services.
Adequate life insurance is especially important if you have taken on debts. Often, people are so focused on the terms of their mortgage and monthly payments they forget to think further ahead. If anyone relies on your income to cover any kind of expense, life insurance is a must.
In this case, on closer inspection the policies my client had in place did not actually provide sufficient cover for him or his family.