With a number of years journalism experience, John is a personal finance journalist and editor providing regular daily news updates to the MoneyMaxim website. His area of particular interest includes house prices, mortgages and insurance. He works as News Editor at MoneyMaxim.
Life Assurance Cover ...Which Is The Better Investment: Life Assurance Cover or the Lottery?
Whilst a number of people may be reluctant to give it much thought, live assurance cover is a necessary addition for all adults, helping to provide financial security for their families in the unfortunate event of their death.
However, research suggests that as many as sixty five per cent of people would rather invest an extra £10 per month in the National Lottery than they would in life assurance cover – but which is the better investment?
The answer seems obvious but considering the overwhelming number of people preferring to invest their money in the National Lottery gamble it would appear not everyone is aware of the beneficial aspects of life assurance cover.
Perhaps the apathy is due the peoples reluctance to think about their own mortality – something which will would all have to confess to having. However, by failing to take out adequate life assurance protection people are taking a far larger gamble than they would by playing the lottery.
What is Life Assurance Cover?
Life assurance cover is perhaps more commonly known as life insurance. The cover is designed to provide financial security in the event of the individual's death. This is designed to help families of the deceased handle costs such as mortgage debts. However, the sixty five per cent who would rather spend an extra £10 a month on the lottery would find themselves insufficiently covered whilst those who invested the money into life assurance cover could be covered financially.
What Does It Cover?
Life assurance cover does not just provide financial protection in the event of death but can also help people diagnosed with terminal illnesses during the plan. Unfortunately, a large proportion are diagnosed with terminal diseases like Cancer, with charities like Cancer Research UK working tirelessly to find ways to treat the illness. Those diagnosed often contribute to fundraising in order to help the work advance and life assurance cover could help too. If an early payout is available for the diagnosis of a terminal illness such as this then the suffered could receive their insurance payment before their death, providing them with the ability to donate to fundraising or to make their remaining time more comfortable and stress free.