Family vs Guaranteed Life Insurance: Comparison

Let's compare two Life Insurance Policies to help you decide which is right for you.


Our two flagship Life Insurance products, Family Life and Guaranteed Life, both give you the peace of mind that your loved ones are looked after financially when you die.


But there are differences in the details between each cover, which may influence which one you choose.


Ultimately, it will depend on your age at the start of your policy, how much cover you need to meet your outstanding financial commitments, and whether you want to personalize your policy with our Optional Benefits.


There’s also the question of whether you want the dependability of a fixed monthly premium or prefer to turbo-charge your benefit with a policy that rises to help  stay abreast of inflation.


Let’s take a closer look at the two... 


What is Family Life Insurance? 


Our Family Life Insurance gives you the peace of mind that your family will receive a lump sum benefit when you die. You pay a monthly premium while you're alive, then your beneficiary claims on the policy after your death. It is available to any UK resident aged 18 to 64 .


You can choose a maximum benefit amount from £60,000 to £750,000 (depending on your age) which will be paid to your loved ones if you die or are diagnosed with a terminal illness with 12 months or less to live.


There’s no medical involved - we’ll just ask you a few questions over the phone about your lifestyle (smoking, etc). 


Since the Smart Family Life Policy has a substantial benefit amount available, it’s the ideal policy if you want to cover life’s bigger financial responsibilities, such as a mortgage, funeral costs and loss of income for your family if the main breadwinner were to pass away before their time. 


Family Life Insurance

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Help absorb inflation with an Age-based premium 


A common concern for people looking for Life cover is that their benefit amount won’t be robust enough to cover outstanding debts in the future. Let’s not forget that while inflation is relatively low in the UK, prices are rising steadily.


For those who want to help insure  against inflation in funeral costs and mortgage rises in the future, we offer an age-based premium on our Family Life cover that is recalculated each year on the anniversary of your policy.


So for the first 10 years of your policy, your benefit amount increases by 5% each year and  your premium rises accordingly.


That means if your benefit amount started at £100,000, it will have risen to £150,000 after 10 years, giving you a closer match to the costs your family will be covering in the future. 


Enjoy certainty with a Level premium


If you’re happy to set your benefit amount and leave it for the rest of your policy term, we also offer the alternative of Level premium Family Life cover.


With this, your benefit amount and premiums stay the same for the duration of your policy - although you can apply to increase or decrease your benefit and policy amounts at any time if your needs change. 


Add Optional Cover to your policy


With our Family Life policy, you also have the flexibility to add further cover to insure against costs that could affect your family.


Our Optional Children’s cover gives you a benefit amount between £10,000 and £30,000 if your child suffers accidental death, or serious injury that may incur medical expenses.


For example, if your child were to suffer an injury that resulted in deafness, blindness or paralysis, your extra benefit could help contribute to the extra medical care costs. 


Our Optional Critical Illness cover gives you a lump sum of 50% of your Smart Life Insurance benefit amount should you suffer a serious illness that will require significant medical care.  This could potentially be cancer – excluding less advanced cases: coronary artery by-pass grafts – with surgery to divide the breastbone, heart attack – of specified severity, or stroke – resulting in permanent symptoms.


Finally, you can add up to £650,000 benefit with our Optional Accidental Death cover. If you were to die in an accident (certain exclusions apply), your family will receive your Accidental Death lump sum on top of your Smart Life Insurance benefit. 


What is Guaranteed Life Insurance? 


Our other Life Insurance policy is available to any UK resident aged 30 to 80. It offers you a guaranteed benefit ranging from £2,000 to £20,000 to cover funeral expenses and other outstanding bills.


One of the major benefits of this policy is that there’s no medical involved in securing guaranteed life insurance. 


The advantage of our Guaranteed Life policy is that it’s a  level policy that stays the same for the duration of your cover. And when you reach 95, your policy is free!


Guaranteed Life cover is perfect for those who may not necessarily need to cover outstanding mortgage payments or some of life’s bigger bills.


Many of those we cover have already paid off their mortgage and the kids have left home. Their main concern is being able to cover the rising cost of a funeral, and not leaving their loved ones with any debts after their death. 


Your cover for death by natural causes kicks in 24 months after the start of your Guaranteed Life policy, but you are covered for Accidental Death from day one. In fact, we pay three times your benefit amount for Accidental Death, since this can come as a greater financial shock to your loved ones. 


Family Life or Guaranteed Life at a Glance



 Family LifeGuaranteed Life
Age Range (starting)18 - 6430 to 80
Max. Benefit£60,000 to £750,000£2,000 to £20,000
Medical RequiredNoNo
Single Or Joint PlanSingle onlyBoth allowed
Accidental Death BenefitUp to £650,000 optional cover availableX3 benefit amount from start  
Non-Accidental Death BenefitFrom startAvailable after 24 months
Level PremiumFixed Term, 10-40 yearsFor duration of policy
Age-Based Premium5% increase each year for first 10 yearsFor duration of policy
Optional Children’s Cover£10,000 to £30,000Not available
Optional Critical Illness CoverUp to 50% of full benefit amountNot available
Cash-In ValueNot AvailableNot Available

Family Life Cover >Guaranteed Life Cover >


We offer a full range of Life Insurance products to protect your family. All are easy to set up, and the chances are the premiums are a lot more affordable than you think - not least compared to the potential cost of not having any cover in place.