Why do I need Life Insurance?

Life insurance is primarily concerned with what you leave behind if you die, and so people choose to get life insurance to make sure their families are provided for after their death, and also to cover a mortgage loan.

You don't have to get life insurance by law, but for many it is an essential form of financial protection. It means that if the worst were to happen, there is some financial recompense, and it is a good way of leaving an inheritance to family or relatives.

Another common reason to get life insurance is so that if you were to die, the mortgage could be paid off. If you die during the term then the insurance will pay out and the mortgage won't be left for others to pay. Your mortgage provider may well insist that you take out life insurance for this reason.

If you do not have a family that is dependent on you, then you might be better off with Critical Illness Insurance. With this type of insurance you get a lump sum payout if are diagnosed with a serious illness and then survive for at least 28 days, and you get to benefit from the cash.

If you do have a family, we recommend getting both life insurance and critical illness if you can afford it, then the mortgage can be paid off in any scenario.