Additional death benefits

Limitations

The minimum cover that may be taken out is £5,000.

The maximum amount cannot give more than the lifetime allowance which is an amount set by HM Revenue and Customs.

This amount (inclusive of pensions which are due to come into payment at the same time the grant is paid), is currently £1.5m.

You can also take out cover to provide dependants' pensions, again this is subject to certain limits imposed by HM Revenue and Customs.

As the money is taken straight from your pay, if you're a tax payer, you will automatically get immediate tax relief, however, your total pension contributions cannot go over 50% of your taxable pay or £3,600, whichever is the greatest.