Lump sum payment for life assurance?

FlatEartha

Hi
I have just been made redundant and received a lump sum redundancy payment. At the same time the Death in Service protection provided by my employer is ending. I don't want to start monthly premiums while I am out of work so was wondering if anyone has heard of using a lump sum to make a one-off payment for life assurance (preferably level term)? Obviously, no-one knows when the person insured will die so I can't see a reason why an insurer wouldn't offer this - they get a guaranteed payment upfront.
Thanks

cattie

Level term insurance is pretty cheap, so why not keep your lump sum in case you need it before you find a new job & just pay the insurance premium every month?

dunstonh

so was wondering if anyone has heard of using a lump sum to make a one-off payment for life assurance (preferably level term)?

You can get lump sum for whole of life assurance but I am not aware of a level term assurance that does it. It wouldnt really make sense to do it for level term given the low cost and the fact that most level terms dont go the full distance.

Hailee

I know the company I work for won't do lump sum payments for policies due to fraud risks, not sure on other peoples policies though