Specified Illness Cover: This is an insurance policy that will pay you a lump sum if you are diagnosed with an illness that is specified on the policy. This lump sum is design to help you pay medical bills or replace income for a short period if you have to take time off work.
Multi Claim Policy Cover: This is a relatively new & emerging product, that is designed to provide a more flexible & affordable cover. Your MCPC policy creates a ‘pot’ of money for the amount of cover you take out. You can then claim % of that pot dependent on what happens. Death would be the full 100%, a serious illness may result in a 10% or 20% payout, more minor issues a 5% pay out. When an amount is paid out, the remaining % is still there to be claimed at a later date if something else occurs.
Whole of Life: where most life insurance policies cover you for the ’term’ of the policy… 10, 20, 30 years, whole of life does what it says on the tin, it provides you with life insurance forever, so long as you are paying the premiums.
Section 72 Whole of Life: These are specific policies designed to help your heirs to pay Inheritance Tax that will arise on an estate left to them. The limit on what a child can inherit tax free is currently limited to €335,000. Anything over that amount is taxed at 33%. That can mean substantial tax liabilities for some. The section 72 policy will cover those costs, without generating further charges.