Insurance
 If
you have to stop work due to ill health it can result in a worrying
time for many families as debts can mount up quickly. Health insurance
can make sure that your income is protected and can also help to pay
for unexpected medical bills or provide a lump sum in the event of a
critical illness.
There is a vast range of health insurance products available and it
is worthwhile getting an independent financial advisor to explain the
different schemes and advise on the best one to suit you. If you buy
a health insurance policy through an independent financial advisor the
advisor will organise your payments and make a claim on your behalf
when you are ill.
CRITICAL
ILLNESS INSURANCE*
- Can pay a tax-free lump
sum if you
- Suffer a critical illness
such as a heart attack or cancer or
- Are permanently unable
to do your job due to illness or accident
INCOME
PROTECTION INSURANCE*
- Pays a regular income
if you can't work due to ill health
- Policies can start between
one day and two years after the onset of inability to work
- Benefits can be paid out
up to retirement age or until you get better and return to work
PRIVATE
MEDICAL INSURANCE**
The
National Health Service is the envy of the world, but private medical
insurance is becoming more and more popular because of the choice and
control it offers.
- The private health service
is funded by medical insurance and private patients' fees.
- The surgical and medical
consultants usually work within both the NHS and the private sector.
This means surgeons can work in their specialist fields and gain extensive
experience within the NHS which is then utilised in the private sector.
NOTE
- Services
marked *
may not be regulated by the Personal Investment Authority.
Services marked **
are not regulated by the Personal Investment Authority.
LONG
TERM CARE
We may be living longer, but we may not necessarily be in good health.
At some time in our lives we may need some form of long term care in our
own homes or in nursing or residential care.
The average cost of care in rest homes is around £300 a week. Nursing
homes charge more as they provide a greater degree of clinical care.
It may be difficult to meet the costs of care from your income.
The state, in certain circumstances, will provide the costs of care.
- If you have less than
£10,000 of assets you are entitled to full funding
- If you have between £10,000
and £16,000 you will be given some local authority assistance
- If you have more than
£16,000 the local authority will not provide any assistance
- Income from pensions and
investments is taken into account
INSURANCE
POLICIES
- Varied policies enable
you to insure against the need for long term care
- They can be by way of
monthly premium or lump sum investment
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