LifeInsurance

Guaranteed Life Insurance

Guaranteed life insurance is one option offered to people with pre-existing medical conditions or people considered to be high risks to life insurance companies. Normally, this kind of policy is offered to people between ages of 50 and 80 and is often refer to as an over 50s policy After a certain age, some policy providers will not insure you, but with this cover you are guaranteed acceptance. Also, with a normal policy, your current medical conditions dictate your monthly premium. You can enjoy the same competitive premium as other insured individuals with this type of policy, without the hassle of prying medical questions or going through embarrassing medical exams.

What is a Guaranteed Policy?

Traditional life insurance companies offer two forms of guaranteed insurance which are whole life insurance also called permanent life insurance coverage and term life insurance. A whole policy is a plan that covers you for the duration of your life, whereas a term plan only covers you for the term you selected when applying for your policy.

Guaranteed life insurance offers you both whole and term policies. This type of policy guarantees your acceptance as long as you between the ages of 50 and 80.

Guaranteed life insurance plans have a higher premium than regular plans due to the fact that the medical questionnaire is waived when signing up. This means that if you have a pre-existing health condition, you may not need to disclose this information at the time applying for your guaranteed policy and not disclosing it will have no affect on claiming from your policy. However, the premium is much higher since there is no way to assess your risk level or to determine how likely you are to use your policy sooner.

Unlike other plans, you don't have to cancel out your previous policy if you get approved for a guaranteed life insurance. As long as the premium you pay per month does not exceed 100 pounds, you can have two policies at once. If you pay more than 100 pounds for both policies combined, any premium you paid for the new policy will be refunded and the plan will be cancelled. Check with the company you choose for cover before adding a new policy.

The premium you agree to when signing up for your policy remains the same throughout the duration of your policy and it will not increase. Also, once a claim is made on your policy your dependents receive a cash lump sum completely tax free. If you have a partner, they can be added on your policy as long as they're a UK resident and between the ages of 50 and 80 at the time of taking it out. However, keep in mind that the 100 pounds per month premium limit will not change. If you pay more than as the amount you will be refunded and your partner's policy will be cancelled.

Finding Competitive Rates

The premium for your policy will cover your funeral expenses and pay your dependents. The average price of a guaranteed life insurance is between 10 and 50 pounds a month. The premiums for your guaranteed life insurance policy will be fixed until your 90th birthday, after which the premiums will cease; although your policy will remain in effect. This means you are guaranteed cover even though you are no longer required to pay a premium.

To find the most competitive rates for your guaranteed life insurance, compare premiums from several different companies. The monthly premiums for each company may differ dramatically depending on the payout amount. Certain exclusions apply to some companies and not others. For instance, some guaranteed life insurance companies will pay out for accidental death but not for natural death within the first 12 months of your policy.

If you don't have access to the Internet and are unable to compare premiums, seek the help of a broker. An broker will compare the premiums for you and help you to find a policy that will cover all the things you need at the best premium possible. In addition, a broker may be able to get your policy at a discount. If you are over 80, some guaranteed life insurance providers may still cover. However, this may be done on an individual basis, so it is best to call the provider or your broker for more details. Do not sign up for guaranteed life cover online if you are over the age of 80. The computer may your application, but if the company states that cover is not offered after this age you will not be covered. Smokers may be charged a higher premium. If you quit more than 12 months ago however, you will be considered a non-smoker and this will not affect the premium you are offered.