Family Income Benefit

This a great way to protect your income and your family to provide them with an income each month if you die.

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Family Income Benefit is the same as life insurance and critical illness. The major difference is that the cover pays out a ‘monthly’ Tax-Free income rather than a single lump sum payment.

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This type of policy is a great way for young families to protect themselves and generally works out considerably cheaper than the equivalent cover. It also helps to avoid some of the issues that come with a lump sum payment such as complex investment decisions, investment advice and tax.

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Cover is only for as long as the policy runs. Once the term ends, the cover and any income payments cease.

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For example, if you have a 20-year policy and die five years into this, then the policy will pay out a regular income for the remaining 15 years. If you die 16 years into the policy, it will pay out for the remaining 4 years of the term.

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With FIB, the total amount paid out by the policy depends on when you die. If you die in the early years of the policy, the total pay-out will be more than if you die nearer the end of the term of the policy.

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THE PLAN WILL 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.