Renewable Term Assurance

• Taken for one year but automatically renewable at the end of each year
• Cost starts low and increases each year with age
• Pays a lump sum if you die
• Has no surrender value at any time
• Usually used for short term requirement or keyman insurance
• Gives protection to your family if you die early, can provide for wife's income and children's education
• Can be used to repay mortgage in case of premature death
• Also used to insure key employees, particularly in small businesses
• Typically a man with a young family can require insurance up to 10x his annual salary
• It is also important to insure the mother of young children as the cost of maids, nannies, taxis can be very high.
• Usually recommended to be written in a trust to simplify probate.
  
  If you move abroad, do check that your life insurance covers you when living in another country. Many do not.