Life insurance & Mortgage Protection Glossary

You will encounter plenty of jargon and technical terms when looking for a MortgageProtection. Get ahead with A to Z glossary to Life InsuranceandMortgageProtection. Click on the letter below to search for the word you're looking for.

Death Benefit Only
Pays out the sum insured only in the event of death.

Death or Earlier Critical Illness
Pays out on the earlier of death or diagnosis of a Critical Illness.

Death Insurance
An Insurance policy that pays out on the death of the policyholder.

Decreasing Term Assurance (DTA)
Decreasing life cover is similar to Decreasing Mortgage Protection (MPA), although this cover decreases at a flat, fixed rate each year as opposed to matching a Mortgage, which typically decreases more slowly in the early years.

Decreasing Term Life Insurance
This type of Life Insurance decreases at a fixed-rate every year (however, not mortgage linked).

Dental Insurance
A specialist form of Health Insurance providing cover for necessary dental work, crowns, fillings, etc.

Endowment Life Insurance
Endowment Life Insurance is a type of life policy with an investment element, which is intended to provide a lump sum at maturity or earlier death of the policyholder.

European Health Insurance Card
When travelling in other European countries, a certain amount of healthcare (it differs from country to country) is provided if the person undergoing treatment holds a European Health Insurance card. However, this is NOT a substitute for travel Accident Insurance, which provides a far wider range of cover.

Excess
Excess is a financial sum which an Insurance policy holder agrees to pay before the insurer covers the remaining costs of claim e.g. the policy holder may have to pay the first £100 on a claim totalling £1,000.

Exclusion
An exclusion is an incident or event not covered by an Insurance policy.

Existing Medical Conditions
Existing Medical Conditions refers to the diagnosed ailments and injuries of an individual before a certain point in time. The point is more often at the time of application for Insurance cover such as Medical Insurance or Life Assurance. Existing medical conditions may affect the type or cost of cover available to the applicant, and if not declared, may make the policy null and void.

Family Health Insurance
Family Health Insurance is a Health Cover taken for dependents and family members.

Family Income Benefit (FIB)
Family Income Benefit is a type of term Insurance policy. Your dependants would receive a regular income until the end of the policy term, in the event of death or diagnosis of a specified Critical Illness, during a specified period.

Family Income Protection
Family Income Protection is a type of Income Protection Cover which can provide a regular tax free income to an individual’s dependants should he/she be unable to work for long periods due to sickness or an accident.

Family Life Insurance
Family Life Insurance is traditionally taken to provide for dependents and family members should the worst happen to the main policyholder.

Fire Insurance
The most basic and oldest established form of Property Insurance, fire Insurance is designed to recompense a policyholder should their home or possessions suffer fire damage.

Flat Insurance
also known as Apartment Insurance, Flat Buildings Insurance or Flat Contents Insurance. Contents of flats are always insured by the tenant. The buildings are generally insured by the landlord on a block policy (although tenants can group together and buy this cover)

Friendly Societies
Friendly Societies are mutual organisations which offer Life Insurance and savings facilities to members. Members receive tax benefits but are limited to investing small monthly sums.

Fully Comprehensive
Fully Comprehensive is a type of Motor Insurance that covers the policy holder and any 3rd parties for incidental vehicle or medical damages.