Family Income Benefit
Family income benefit helps to provide you with a series of monthly payments to those named in the event of your death. These payments begin from when the claim is made and will continue until the end of the plan.
This type of policy is designed to help provide a regular form of income in the event of the death of the main breadwinner in the family. It is therefore important that you choose an adequate level of cover so that you will have financial security in the event of the death of the policyholder.
Advantages
• Family income benefit can help to provide you with an inexpensive form of life insurance cover.
• Helps to provide the family with a regular monthly income.
• The premiums for this type of cover will often be lower then for other insurance options such as level term life insurance.
Disadvantages
• If the family relies on two incomes then a joint policy will only pay out in the event of one death and not both, for this reason you may find that it is better to take out two separate policies to provide you with a greater level of protection.