Family Income Benefit (FIB) is a type of life insurance that provides your beneficiaries with a regular tax-free monthly income if you die during the policy term, rather than paying a single lump sum.

You choose the amount of monthly income and the policy term. If you pass away during the policy term, your insurer pays the agreed monthly income to your beneficiaries until the policy ends.

Traditional Life Insurance usually pays a one-off lump sum. Family Income Benefit pays a regular monthly income, helping your family manage ongoing household expenses over time.

Family Income Benefit provides a monthly income for your family if you die during the policy term. Income Protection provides a monthly income to you if you’re unable to work due to illness or injury. Together, they protect against different financial risks.

Family Income Benefit is primarily designed to pay a regular tax-free monthly income to your beneficiaries for the remainder of the policy term following a valid claim. Some insurers may offer the option to convert the remaining payments into a lump-sum settlement, subject to their terms and conditions at the time of claim. The availability of this option varies between providers, so it is important to check the specific policy details.

Family Income Benefit may be suitable for parents, homeowners and couples with financial dependants.

Yes. Many families use the monthly payments to help cover mortgage repayments alongside other regular household expenses.

Payments continue until the end of the policy term. The earlier a claim is made during the policy, the longer the benefit is usually paid.

In many cases, the monthly payments are paid free of Income Tax. However, tax treatment depends on individual circumstances and may change in the future.

The right level of cover depends on your family’s financial commitments, including mortgage payments, household bills, childcare costs, and future living expenses.

Yes. Many people choose to combine Family Income Benefit with Life Insurance to provide both a regular income and a lump sum for their loved ones.

Some policies include terminal illness cover as a standard feature or optional benefit. The level of cover varies between insurers, so it’s important to check the policy terms.

Yes. Family Income Benefit is available to employed and self-employed individuals, subject to the insurer’s eligibility and underwriting criteria.

Premiums are typically influenced by factors such as your age, health, smoking status, lifestyle, occupation, the amount of cover selected, and the length of the policy term.

Yes. Smokers can usually obtain cover, although premiums may be higher than those offered to non-smokers.

Some insurers allow certain changes during the policy term, while others may require a new application. Your adviser can explain the options available.

If you survive until the end of the policy term, the cover ends and no benefit is payable.

Yes. Many policies can be written into trust, which may help ensure the benefit is paid quickly to your chosen beneficiaries. Professional legal advice may be appropriate.

Yes. You can usually cancel your policy at any time. Once cancelled, your cover will end and no future claims can be made.

For families who depend on a regular income, Family Income Benefit can provide valuable financial security and help maintain their standard of living if the unexpected happens.

Applying is straightforward. An adviser will discuss your circumstances, recommend suitable cover, complete the application, and guide you through the insurer’s underwriting process.

At Ample Mortgages, we take the time to understand your family’s needs before recommending suitable protection options. Our advisers compare policies from a range of insurers to help you find cover that aligns with your financial goals and budget.