This will depend on many factors such as your lifestyle and general and personal circumstances, salary, number of dependants etc. Most life assurance sold in Ireland is to cover mortgages, leaving the vast majority of people under insured. You should review your life cover regularly to ensure that you have adequate protection. We will be happy to help you determine a suitable level of cover.
Impartial advice for your financial future
Whole of Life
Whole of Life policies insure you for the duration of your life or for as long as you are willing to pay premiums. They are primarily used today in estate planning as a way of paying capital acquisitions tax.
Since Whole of Life policies provide cover for the full duration of your life, they are more expensive than term assurance policies. In most cases, the insurer will review the policies after a specified period of time, usually every 10 years.
Do I need Whole of Life cover?
People normally take out a Whole of Life policy for very specific reasons:
- To cover outstanding debts.
- To pay for funeral expenses.
- Tax and Estate Planning.
Avoid Inheritance Tax
Whole of Life policies written under certain conditions can also be used to protect your family against a large inheritance tax bill when you die. This tax is known as Capital Acquisitions Tax (CAT). CAT bills can mean that a beneficiary of an inheritance might be forced to sell the asset they have inherited in order to pay the tax bill due. Whole of Life Policies can help avoid this situation. The current rate of CAT is 25% payable on inheritances received by children on amounts over €434,000.
Contact Us for a Quote
Please contact us directly on 1890 299 299 or email life@onefinance.ie for Whole of Life cover quote.
Frequently Asked Questions
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How much life assurance do I require?
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Will I have to do a medical examination?
This depends on your age and the level of cover you require. Generally speaking the younger you are the less cover you require means no medical exam will be necessary.
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I used to be a smoker, but I haven’t smoked now for three years. Should I review my policies?
Absolutely! Smoker rates can be twice the price of non smoker rates, given the risks involved with smoking. Even though you may be older, it is worth checking this out.
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The premiums on my life policy doubled recently, how is this so?
If your policy is a whole-of-life policy, your premiums can increase periodically. There are various types of whole-of-life policies, but the most common is a unit-linked whole-of-life policy. With this type of policy, the life assurance company invests your premium in a fund. They manage the fund so that it is expected to grow at a certain rate and to increase in value over time. The fund value is not guaranteed. It may grow by enough to pay for your life insurance throughout your life. Or, in some cases, it may fall short of what's needed to pay for your life insurance. In certain cases it is possible for premiums to double. You really need to determine if you need a Whole Of Life policy or if a term policy would be more suitable for you.
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Can I determine to whom I want the money to be paid? Can I put a child's name on the policy?
You can name the person you want the money to go to if you wish. This person is called a beneficiary. You can name a child or an adult as a beneficiary. If you name a child, the money will normally be held for them until they are 18. Depending on their relationship to you, the beneficiary may have a tax liability to discharge under capital acquisition tax rules.
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What is the difference between 'single', 'joint' and 'dual' life cover?
Single Life Cover is when you take out a policy on your life only and the claim is payable if you die or contract a listed illness on a critical illness policy. Joint Life Cover covers two lives but pays out only on one life, on the first death or the second, depending on the type of policy taken out. Many mortgage protection policies are taken out on a joint life basis and are paid on the first death. It iss essential to remember there is only one payout with a joint life policy. Dual Life policies also cover two lives but will pay a claim on both deaths so it's like having two single lives covered on the one policy. Under a dual life policy each life can be covered for different amounts so it's possible to keep premiums lower if cost is an issue. Our quote calculator currently provides quotes for both single and joint life policies. If you would like a quote for a dual life please contact us on 1890 299 299.
