Military increasing term life insurance
Life changes. Your circumstances change. Throughout your career in the Armed Forces, it’s possible that your financial situation may change. An increasing term life insurance policy gives you some flexibility to increase the amount of cover that you have, either annually (to combat inflation) or at the time when particular life events happen that would alter your financial situation – for example, getting married, buying a home or having children. The monthly payments would increase too.
Increasing term insurance protects you for a given term with an increasing level of benefit. The amount of life cover chosen at the outset rises annually by a predetermined factor, normally Retail Price Index (RPI). This is known as “indexation”. The premium will also increase. By selecting indexation you’re protecting the purchasing power of your selected benefit. Increasing term insurance may be suitable for family protection – although this would depend on individual circumstances.
What do I need to know about military increasing term life insurance?
Forces Advice military increasing term life insurance:
- Works much like level term insurance, except that the level of cover increases – and usually the premiums too.
- Is worth considering if you’re insuring for a long term (i.e. if you’re young), because increasing prices eat away at the value of a fixed level of cover.
Please bear in mind:
- Military increasing life insurance is based on an assessment of the applicant’s health.
- The plan will have no cash value at any time and will become void at the end of the term. If premiums are not maintained, the cover will lapse.
Why talk to Forces Advice about your insurance needs?
Please note that some of the products covered by these guides may not be available to you, depending on your terms of engagement. Contact us for further details.
Forces Advice was established and is run by Martyn Barberry and John Sykes who both enjoyed careers in the British Armed Forces before qualifying and working in the finance and insurance sector. Combining their understanding of the insurance needs of British servicemen and women with an in-depth professional understanding of insurance products, they established Forces Advice Limited.
As a member of SIIAP, we endeavour put the serviceman and their family first with quality cover at a monthly cost that’s affordable to you. You can check our details on the Financial Services Register. Our firm reference Number is 622403.