Term Life Insurance
This is the simplest and one of the cheapest forms of life insurance. A term life policy gives you a lump sum if you die during the term of the policy.

For example, you might take out a policy on your own life for €100,000 over 10 years. This means if you die within 10 years, the policy pays out €100,000 once someone can give proof of your death. If you don't die within the term of the policy, no benefit is paid out and the policy ends.

Before you take out term insurance you must decide:

• the amount of cover you want paid out on your death, known as the 'sum assured' or 'policy benefit'
• how long you want cover for, known as the 'term'.

These are both then fixed for the life of the policy, as is the premium, or the amount you pay for the policy, unless you buy index-linked insurance.

The standard premium usually covers terminal illness as well as death but check with your provider. This means that the policy will pay out a proportion, usually around 80%, of the policy benefit if you are diagnosed with a terminal illness (this is not the same as serious illness or critical illness cover). The remaining benefit is then paid out once someone can give proof of death.

An advantage of this is that getting most of the benefit in advance could help pay for any medical costs you have. Generally, term policies will not pay out if:

• your death is caused by a medical condition that you had when you first applied for cover but you did not disclose it.
• your death is caused by suicide within the first year or two of the policy.
  

Other Products:
Mortgage Protection
Additional cover options – Serious Illness
Optional extra’s – Indexation and Conversions