Glossary
Relevant life cover
If you are a company director of a small business, and also classed as an employee, you can buy a relevant life cover policy through your business, providing you with life insurance on an individual basis. This type of policy is perfect for small businesses which don't have enough employees to warrant the cost of a group life insurance scheme, but still want to provide cover for high earning employees. It can also be used to top up existing benefits. Relevant life cover is not suitable for self-employed or equity partners.
Renewal
A renewal is when you decide to extend your insurance policy after its original term has finished. Generally health insurance policies renew on a yearly basis.
Risk
Insurance is all about mitigating risk. The more likely you are to claim on medical costs, the more risk you pose to your insurance provider, so the higher your premiums will be, to offset that potential cost.