Life assurance/Cavendish question

westlass

I'm in the process of using the Cavendish Online service to get a life assurance quotes. The online form asks me to choose yes or no with regard to 'increasing benefit'. Would anyone know what my response should be?

Also, I'm looking at getting two quotes - one for decreasing term and one for level term life assurance. It's for myself and my husband (in our mid-30s, no kids planned at the moment). Money is fairly tight, but we would consider term assurance if necessary. Which would you opt for?

Thanks!

dunstonh

The online form asks me to choose yes or no with regard to 'increasing benefit'. Would anyone know what my response should be?

Your response should be yes or no depending on what you want.

Which would you opt for?

The one that covers the need. If you dont need level term, you dont pay extra for it. When you have children or financial dependents then you get the level term assurance or family income benefit.

westlass

Thanks dunstonh. Afraid I'm still unclear what the 'increasing benefit' option actually means, which is why I'm not sure whether to click 'yes' or 'no'. I've read the explanatory notes, but they didn't really help.

westlass

dunstonh

Its whether you want the sum assured to increase annually. Typically by RPI.

Money_Watch

As DunstonH says, it means the sum assured will rise each year, probably by the rate if inflation - but the premiums will rise too...

westlass

Thanks very much!