What is it?

It’s a whole of life insurance policy which will only pay out on the death of the live(s) assured. The payout will be to the beneficiary named in the policy document.

The life assured can be either one person or it can be jointly in the name of a couple. Pay out would be on the first death or the second death, depending upon the basis on which the policy was taken.

This plan is suitable for someone looking for family protection, or protecting other types of outstanding debt should the life assured die. It may also be suitable for inheritance tax planning.

The amount of cover (Sum Assured) will depend on the premium paid, the term and the age of the applicant or applicants. LICI UK may charge a higher premium, and may even decline a proposal, if the health conditions of the live(s) assured warrants it.

It should be noted that under this policy, benefit is payable only in the event of death of the life assured and no other cash value arises in the term of the plan.


You must be between 18 to 69 years old when you apply and a resident in the UK to be eligible to take the plan.

How much cover can you take?

You can start the plan with a minimum premium of £20 a month or £240 a year by Direct Debit.

The maximum cover allowed will depend on your personal circumstances.

What are the main features

  • This is a whole of life insurance plan which lasts for your whole life and the benefit is payable only in the event of death of the life assured(s). The policy acquires no cash value other than the pay out on death of the assured.
  • The plan can be taken for family protection, other debt protection or inheritance tax planning. The Sum Assured will remain the same during the whole term of the policy.
  • Please note that you have to keep paying the premium when it is due to be eligible to receive the benefit.
  • If you stop paying premium anytime during the term of the policy the benefit will cease and nothing will be payable to you.
  • In case of a joint life first death policy, when either of the policyholders dies the policy will end.


Risks you should consider

  • The policy does not have any maturity value as it is purely for protection and the only pay-out is upon death of an assured person.
  • In the event of the first death of joint assureds, the other surviving party will be left with no continuing life insurance. You should consider if two separate policies are better for you than one joint policy.
  • No benefit is payable under the plan if the premium is not paid regularly.
  • Inflation may affect the purchasing value of the Sum Assured in future. You may need to review it from time to time to ensure that your needs are met by the level of cover.
  • If you took out the plan for Inheritance Tax planning purposes you should consult a tax specialist to be sure it is the right approach for you. The tax rules may change in future and you should regularly check the plan continues to meet your tax planning needs.


If you want to buy a new policy or want to discuss further, please call us free on 08000 685712 or email to enquiry@liciuk.com