A recent Times Online news article has answered a number of life insurance queries. The Newspaper posed readers questions to two experts in this field. One was Kevin Carr, of the IFA consultancy Lifesearch. The other was Danny Cox, of Hargreaves Lansdown, another Independent Financial Adviser .
Readers asked questions about the necessity of life insurance, the types of life insurance and inheritance tax and life insurance . Readers of different ages asked questions, allowing a spectrum of responses beyond usual public discussion.
For instance, one retired person in their sixties asked whether it was worth taking out life insurance. Danny Cox replied: "The cost of life assurance is related to life expectancy so the older you are and the worse your health is, the greater the cost. If this is to protect your spouse the likelihood is that the premiums would not be affordable relative to the benefits. The most common use for life assurance after age 60 is to insure against an inheritance tax liability. For a couple the premiums are much cheaper because the plan does not pay out until second death."
Further questions concerned tax relief on life insurance, writing life insurance policies in trust, life insurance with and without children, and taking out a life insurance policy to offset tax.




