Helping you plan for the unexpected

Financial protection planning can bring peace of mind in the event of the unexpected happening, meaning you and your family can remain financially stable and maintain your current standard of living.

We often underestimate our own value. We insure our homes, our cars and our pets but we forget about life protection and insuring our incomes.

Deciding what type and level of insurance to take can be a challenge, especially without the right advice.

A Heritage financial planner can provide you with independent financial insurance advice and help you find the products to protect your specific needs and circumstances.

A Heritage financial planner can provide you with independent financial insurance advice and help you find the products to protect your specific needs

Life and Critical Illness Protection

Income Protection

Home Insurance

Life and Critical Illness Protection

Taking out a life insurance policy can put financial provision in place for your family in the event of your death.

You have three main life insurance options:

Whole-of-life insurance

This policy has no fixed term and the cover will remain in place until death provided that you continue to pay the premiums.

Whole of life policies, which pay out a lump sum at the time of death are often considered as a means of insuring against post death liabilities including funeral costs and Inheritance Tax.

Term assurance

Term assurance may be suitable if you only need cover for a certain period of time, perhaps until your children have moved out, or a mortgage has been paid off.

You decide on how long you want the policy to last for. If you die during this time, it pays a tax-free cash lump sum to your loved ones. However, if you live beyond the end of the term, your plan will have no cash value. There are different types of term insurance available including:

  • Level term assurance
  • Decreasing term assurance
  • Family income benefit

While the proceeds of a life insurance policy won’t usually attract income or capital gains tax, it will form part of your estate and may therefore be subject to Inheritance Tax. Putting an insurance policy into trust at the outset means the proceeds will be paid directly to your chosen beneficiaries in the event of your death, rather than to your legal estate, and will not be taken into account when Inheritance Tax is calculated.

Critical illness cover

Critical illness cover can give you the peace of mind that if you unexpectedly fall ill, you will receive a tax-free lump sum to help you cope financially.

The definition of critical illness, and the conditions covered, will vary greatly depending on the policy. It is important to understand exactly what a policy covers before you agree to the terms. For example, some policies will not include certain types of cancer as they are considered by some insurers to be easily treatable. An independent financial adviser can explore all of your options for you, searching the whole of the market to find the policy that’s right for your specific needs and requirements.

Income Protection

Each year one million people in the UK find themselves unable to work due to a serious illness or injury (ABI 2017). Income protection insurance is designed to give you some cover if you can’t earn an income for those reasons. If something happened to you would you be able to survive on savings, or on sick pay from work? If not, you’ll need some other way to keep paying the bills and you might want to consider income protection insurance.

According to the ABI, one million workers a year find themselves unable to work due to a serious illness or injury. It does not matter whether you have children or other dependants – if illness would mean you couldn’t pay the bills, you should consider income protection insurance.

You are most likely to need it if you’re self-employed or employed and you don’t have sick pay to fall back on. Check what your employer will provide for you if you’re off sick.

What is income protection insurance?

Income protection insurance (sometimes known as permanent health insurance) is a long-term insurance policy designed to help you if you cannot work because you are ill or injured.

It ensures you continue to receive a regular income until you retire or can return to work.

  • It replaces part of your income - if you cannot work because you become ill or disabled.
  • It pays out until you can start working again - or until you retire, die or the end of the policy term - whichever is sooner.
  • There’s often a waiting period before the payments start - you generally set payments to start after your sick pay ends, or after any other insurance stops covering you. The longer you wait, the lower the monthly premiums.
  • It covers most illnesses that leave you unable to work - either in the short or long term (depending on the type of policy and its definition of incapacity).
  • You can claim as many times as you need to - while the policy lasts.

It is not the same as critical illness insurance, which pays out a one-off lump sum if you have a specific serious illness.

It’s not the same as short-term income protection, which also pays out a monthly sum related to your income, but only for a limited period of time (normally between two and five years) and can cover fewer illnesses or situations.

Your Heritage adviser will be able to help you find the right policy that meets your needs and objectives.

Home Insurance

Whether you rent or own your home, insuring it makes sense. There are two main types of home insurance to consider – buildings and contents. As the names suggest, buildings insurance protects the property itself, whilst contents insurance covers the furniture, furnishings, appliances, clothing and all your possessions.

Whatever the type of property you live in, even if it is ‘non-standard’, the chances are we’ll be able help you to find the cover you need. We will also be able to help you get the right cover for all your home contents.

Although the value of properties and their contents will vary, it is important not to underestimate just how much the contents of your home are worth – your electrical and technology items alone could easily add up to thousands of pounds. Gadgets such as tablets are small but relatively expensive and can easily be damaged or stolen. Look around you; how much would it cost to replace all the contents of your home?

Although we all like to think that it will not happen to our home, unfortunately, accidents, fire, burglary and other mishaps are not uncommon. So, whilst it is tempting to think that home insurance is one expense that can be avoided, such a decision could prove to be a false economy.

The good news is that we can help.



Inheritance tax planning is not regulated by the Financial Conduct Authority, however, the products used to mitigate tax may be regulated.