Life Insurance & Wills – Essential & Complimentary

Life insurance alone does nothing to ensure the other assets, often significantly more valuable are secured and devolved appropriately: the only way to achieve that is through the putting in place of a Will. Where there is no Will, the laws of intestacy in England and Wales (which warrant a separate article) are such that depending on an individual’s circumstances, the outcome as to who benefits from the assets are often very different to what is expected and certainly different to how heirship functions in civil law jurisdictions.

A Will is therefore an essential and complimentary companion to life insurance. Life insurance can provide the short term cash resources to cover the period immediately following the unexpected passing of a family member. If structured properly, it can also cater for England and Wales tax burdens. At the same time, its putting in place offers the perfect opportunity to think further about how family left behind might be best looked after and the putting in place of a Will. The thought process to put life insurance in place is not hugely dissimilar to that of putting a Will in place: who benefits, what amounts, at what age and why.  All questions and a thought process relevant to putting a Will in place.

A Will is hugely relevant for any individual owning UK sited assets and certainly UK sited real estate whether those individuals are domiciled in the UK or not. The time and cost burden of proving non-UK Wills and succession certificates is unnecessary bearing in mind the modest cost of a well drafted Will and sensible life insurance.

Life insurance provides the cash security: a Will provides capital protection and preservation. The Essential Companions in estate planning.