These services are for information purposes only, we introduce any enquiries to a third party.
Body
Endowment Policies
These are life insurance policies that are designed to pay a lump sum after a specific term and pay out a guaranteed sum if the person insured dies within the term of the plan.
Although it is still possible to buy endowments that guarantee the value of the lump sum at maturity, the majority of policies do not guarantee the maturity value - the money that you get back will depend on the value of the investments within the policy.
Free Introductory Meeting
We offer a complimentary introduction meeting to understand your existing plans and your financial objectives so that we can offer you the right advice and service that meets your objectives and your preferences.
By using life insurance policies, the value of the plan at maturity can be paid without paying any further tax if certain ‘qualifying conditions’ are met. Although the policy holder can avoid paying any tax at maturity, the insurance company does pay tax on income and gains within the policy.
These policies can be particularly useful if you have an investment objective, you’d like to realise regardless of what happens to you. For example, to repay a mortgage, provide a legacy for your children or provide for university fees etc.
However, the policy charges and the cost of the life insurance means that it can take several years before the endowment’s value is greater than the contributions paid in. Also, there are other, more tax efficient and less expensive investment options available, so if you do not have any need to guarantee a sum will be paid if you die, an endowment is unlikely to be the most suitable option for you.
As with most investment the value of an endowment depends on investment performance and is not guaranteed.
Get in touch
When we tell you about a fee, you will always receive a clear explanation of: The total fee, the advice service it relates to, how it's been calculated, when you need to pay it and your payment options.
Warning Text
THE VALUE OF INVESTMENTS AND THE INCOME THEY PRODUCE CAN FALL AS WELL AS RISE. YOU MAY GET BACK LESS THAN YOU INVESTED.
TAX TREATMENT VARIES ACCORDING TO INDIVIDUAL CIRCUMSTANCES AND IS SUBJECT TO CHANGE.
Every episode is a gateway to new knowledge and endless inspiration!
Related podcasts
ESTATE PLANNING IS NOT REGULATED BY THE FINANCIAL CONDUCT AUTHORITY.
