Whole of Life Insurance

Whole of life insurance helps your clients make financial provisions in the event of a terminal illness or death. This flexible cover gives them the knowledge and reassurance that any inheritance tax (IHT) liabilities could be paid, a legacy for their family could be left, and funeral costs could be taken care of.

Whole of Life Insurance and inheritance tax

As whole of life Insurance doesn’t have a term, it can be suitable for dealing with the impact of IHT on the value of your clients’ estates. Plus, your clients can increase their cover in line with their IHT liability before their 90th birthday without having to answer medical questions.

Because the value of an estate can fluctuate over time, we include flexible increase options to ensure that the appropriate amount of cover is in place to pay for IHT.

Your clients can increase their sum assured by up to £250,000 if the value of their estate increases. And if the UK Government changes the legislation leading to an increase in your client’s IHT liability, they can increase their sum assured up to the lower of 100% of that sum assured or £5 million. These changes could include a decrease in the nil rate band or an adjustment to the IHT rate.