I am taking out some new life insurance and have come across a new idea of taking the inurance out under a Pensions type arrangement. It is limited to 25 years and you dont get anything back, unless I die! It does however allow you to claim tax relief - seems too good to be true - anyone know of any downsides?
2006-10-10 02:13:32 · 4 answers · asked by Anonymous in Business & Finance ➔ Insurance
it's basically a way of making your life insurance monthly premiums cheaper by counting the amount of cover as part of your overall pension allowance (£1.5m I think), as most life insurance is to cover a mortgage in the event of your death, the 25 years isn't a problem.
the basic rate tax is taken off your premium, if you're a higher rate payer you can claim that back too via your tax return.
2006-10-10 02:40:25 · answer #1 · answered by Anonymous · 0⤊ 0⤋
Go talk to a Financial Planner to understand how this arrangement fits into your overall financial game plan.
2006-10-10 02:46:51 · answer #2 · answered by insuranceguytx 5 · 0⤊ 0⤋
so you do not get any pension but your dependent get it.you should see financial adviser I am sure there are better deals.
2006-10-10 21:12:31 · answer #3 · answered by Anonymous · 0⤊ 0⤋
QUOTE: "...you dont get anything back, unless (you) die!..."
Sounds like a downside to me? ;-)
2006-10-10 02:25:38 · answer #4 · answered by Anonymous · 0⤊ 0⤋