How much should i insure for ?

The amount of cover you need will totally depend upon the reasons behind the insurance.

To support a Mortgage: Protecting a mortgage is one of the most popular reasons for taking out life insurance. Basicly, you need to know that if you were to die, then your mortgage would be paid off. In these circumstances, you need to ensure that the initial sum you insure for matches the amount of money you owe your mortgage lender.

For Family protection: There are no absolute fixed rules about how much you need to insure for in respect of family protection. In many ways. It ‘the more the better’ so long as you can afford the premiums. Some advisers will suggest between 3 and 5 times your annual salary be we think that the best way forward is to discuss the issue fully with the Adviser who phones you from A1 Life.

Incidentally, you should be aware that payments from life insurance policies are tax free although if the proceeds are included in your estate, they will be included in you Inheritance Tax calculation. Having you policy ‘written in trust’ will avoid Inheritance Tax and you should talk to the Adviser from A1 Life about this.