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Family Income Benefit

Family Income Benefit can help to maintain financial security for your family should the worst happen to you.

No one likes to think of these things, but they do happen and often unexpectantly. Are your loved ones protected against losing a regular monthly income in the event of your death? At a time when they are often already left emotionally vulnerable, their last concern should be how to manage with the monthly expenses,

Family Income Benefit policies are like a life policy in the sense that they make a payout in the instance of the policyholder's death. They are designed to pay out a regular monthly income, which is typically tax-free, until the end of the policy term in order to replace the income that would have been provided by the policyholder.

The advantage over life insurance is that there is a guaranteed income stream over a specific period without concern of investment returns or people squandering a large initial payout. Often parents want to guarantee an income for their children until they become self-sufficient, without concern that a large lump sum payment may be squandered.

Family income benefit can be used to cover regularly occurring expenses such as those associated with children growing up and school fees.

Typically, premiums are paid monthly and when the term comes to an end, your policy has no cash value.

There are many additional options available when purchasing this insurance, including waivers and indexing. Furthermore, this policy sometimes comes together with a life insurance policy. The life insurance policy is intended to pay for large debts, for example a mortgage, and family income benefit is used to generate a monthly income for the loved ones left behind. With so many options available, it is best to seek professional guidance. At Windom Finance we will assist you in finding a solution that meets your demands and needs.

These plans have no cash in value at any time and will cease at the end of the term. If premiums are not maintained, then cover will lapse.