Sheffield Town Hall

Life Insurance Protection

Protect what matters most. Our life insurance solutions provide financial security for your loved ones when they need it most.

What is Life Insurance?

Life insurance is a financial safety net that provides a tax-free lump sum payment to your loved ones if you pass away during the term of the policy. It helps ensure your family can maintain their standard of living, pay off debts, and meet ongoing expenses when you're no longer there to provide for them.

Financial Protection

Provides a safety net for your family, ensuring they can maintain their lifestyle and meet financial obligations if you're no longer there.

Mortgage Coverage

Ensures your mortgage can be paid off, allowing your family to stay in their home without the burden of ongoing payments.

Peace of Mind

Gives you the reassurance that your loved ones will be financially secure, allowing you to focus on enjoying life together.

Why Life Insurance Matters

Many people underestimate the financial impact their death would have on their family. Consider these facts:

  • • The average UK mortgage debt is over £130,000
  • • Raising a child to age 18 costs approximately £150,000
  • • 42% of families would run out of savings within 6 months if they lost their main income
  • • Only 35% of UK adults have life insurance coverage

Life insurance provides a crucial financial safety net, ensuring your loved ones can maintain their standard of living and achieve their goals even if you're no longer there to provide for them.

Our Life Insurance Process

Getting the right life insurance coverage is a straightforward process when you work with our experienced advisors. Here's how we help you secure the protection your family needs:

  • Needs Assessment

    We'll help you determine how much coverage you need based on your financial obligations, income, dependents, and long-term goals.

  • Coverage Calculation

    We'll calculate the appropriate coverage amount considering your mortgage, debts, income replacement needs, and future expenses like education costs.

  • Policy Research

    We'll research the market to identify the most suitable policies and providers based on your specific needs, health status, and budget.

  • Application and Underwriting

    We'll assist with the application process, including any medical questionnaires or examinations required by the insurer during underwriting.

  • Policy Setup

    Once approved, we'll ensure your policy is correctly established, beneficiaries are properly designated, and any trust arrangements are set up if needed.

  • Regular Review

    We'll conduct periodic reviews to ensure your coverage remains aligned with your changing life circumstances and financial needs.

Our Life Insurance Process

Getting the right life insurance coverage is a straightforward process when you work with our experienced advisers. Here's how we help you secure the protection your family needs:

Needs Assessment

We'll help you determine how much coverage you need based on your financial obligations, income, dependents, and long-term goals.


Save for a Deposit

Most lenders require at least 5-10% of the property value as a deposit. Government schemes like Help to Buy and Lifetime ISAs can help boost your savings.

Coverage Calculation

We'll calculate the appropriate coverage amount considering your mortgage, debts, income replacement needs, and future expenses like education costs.

Get Mortgage Ready

Check your credit score, gather necessary documents, and understand your budget. We'll help you prepare for the mortgage application process.

Policy Research

We'll research the market to identify the most suitable policies and providers based on your specific needs, health status, and budget.

Find Your Dream Home

With a mortgage in principle, you can start viewing properties within your budget and make offers with confidence.

Application and Underwriting

We'll assist with the application process, including any medical questionnaires or examinations required by the insurer during underwriting.

Complete the Purchase

Once your offer is accepted, we'll guide you through the legal process, surveys, and final mortgage application to completion.

Policy Setup

Once approved, we'll ensure your policy is correctly established, beneficiaries are properly designated, and any trust arrangements are set up if needed.

Move In

Congratulations! You've completed your purchase and can now move into your first home. We'll still be here for any future mortgage needs.

Regular Review

We'll conduct periodic reviews to ensure your coverage remains aligned with your changing life circumstances and financial needs.

Complete the Purchase

Once your offer is accepted, we'll guide you through the legal process, surveys, and final mortgage application to completion.

How Friends Capital Can Help with Life Insurance

At Friends Capital, we understand that choosing the right life insurance policy is an important decision that affects your family's future security. Our experienced advisers provide personalised guidance to help you find the most suitable coverage for your needs. We can:

  • Assess your life insurance needs based on your specific circumstances and financial goals
  • Calculate the appropriate coverage amount to ensure your family is adequately protected
  • Explain the different types of life insurance policies and help you choose the most suitable option
  • Research the market to find the most competitive premiums and comprehensive coverage
  • Guide you through the application and underwriting process, including any medical requirements
  • Advise on tax-efficient ways to set up your policy, including trust arrangements
  • Provide ongoing support and regular reviews to ensure your coverage remains appropriate as your life changes

Our goal is to give you peace of mind, knowing that your loved ones will be financially protected if the unexpected happens. We work closely with you to understand your circumstances and develop a protection strategy that ensures your family's financial security.

Frequently asked questions

Get answers to common questions about life insurance and how it can protect your loved ones.
How much life insurance coverage do I need?
The amount of life insurance you need depends on several factors, including: 1) Your income and how many years of income replacement your family would need, 2) Your outstanding debts, including mortgage, loans, and credit cards, 3) Future expenses, such as children's education costs, 4) Funeral expenses, 5) Any inheritance tax liabilities. A common rule of thumb is to have coverage equal to 10-15 times your annual income, but your specific circumstances may require more or less. Our advisers can help you calculate an appropriate amount based on your individual situation.
What's the difference between term and whole of life insurance?
Term life insurance provides coverage for a specific period (e.g., 10, 20, or 30 years) and pays out only if you die during that term. It's generally more affordable and straightforward. Whole of life insurance covers you for your entire lifetime, guaranteeing a payout whenever you die. It typically includes an investment component and can build cash value over time, but comes with higher premiums. Term insurance is often suitable for specific financial obligations with a timeframe (like a mortgage), while whole of life is better for permanent needs like inheritance tax planning or guaranteed funeral expenses.
Will my premiums increase over time?
This depends on the type of policy you choose: 1) Level term insurance: Premiums remain fixed throughout the policy term, 2) Increasing term insurance: Premiums may increase annually to account for inflation, 3) Decreasing term insurance: Premiums typically remain fixed, but the coverage amount decreases over time, 4) Reviewable premiums: These policies review and potentially adjust premiums every few years based on various factors, 5) Age-banded premiums: Some policies increase premiums as you move into higher age brackets. When you apply, we'll clearly explain how your premiums work and whether they might change in the future.
Do I need a medical examination to get life insurance?
Not always. Whether you need a medical examination depends on: 1) Your age, 2) The amount of coverage you're applying for, 3) Your health history, 4) The insurance provider's requirements. For smaller coverage amounts and younger applicants in good health, many insurers only require you to answer health questions on the application. For larger coverage amounts or if you have pre-existing health conditions, the insurer might request a medical examination, blood tests, or a report from your doctor. Some policies, like over-50s life insurance, guarantee acceptance with no medical questions, though they typically have a waiting period before full benefits apply.
Is life insurance taxable?
Life insurance payouts are generally free from income tax, but they may be subject to inheritance tax as part of your estate. To avoid inheritance tax, you can: 1) Write your policy in trust: This places the policy outside your estate for inheritance tax purposes and allows for faster payment to beneficiaries, 2) Set up a joint policy that pays out on second death for married couples or civil partners, utilising the inheritance tax allowance between spouses, 3) Consider specific whole of life policies designed for inheritance tax planning. Our advisers can provide guidance on the most tax-efficient way to set up your life insurance based on your circumstances.
Can I have multiple life insurance policies?
Yes, you can have multiple life insurance policies. There are several reasons why this might be beneficial: 1) Covering different financial needs with specialised policies (e.g., one for mortgage protection and another for family income), 2) Supplementing employer-provided coverage with a personal policy, 3) Staggering policy terms to provide higher coverage during your peak earning years and reduced coverage later, 4) Adding coverage as your financial responsibilities increase (e.g., after having children). When applying for additional policies, you'll need to disclose any existing coverage, as insurers consider your total coverage amount when assessing your application.

Protect Your Family's Future

Don't leave your loved ones financially vulnerable. Our expert advisers can help you find the right life insurance coverage to ensure your family's security and peace of mind.

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