Whole Life Assurance
Whole life assurance is an alternative to term insurance.
Whole life cover would normally be considered for meeting a possible Inheritance Tax liability.
It can provide a very large sum assured (at least for the first 10 years) if set-up on a joint-life second death basis. (Joint-life second death pays out nothing on the death of the first insured person, it pays out the sum assured on the death of the second insured person.)
It is possible to have guaranteed premiums (fixed-price) whole life assurance, but this can be expensive.
A cheaper option, (at least initially) would be reviewable premiums whole life cover, whereby the premiums are fixed for an initial period, normally 10 years, and can then be increased. (The policy owner would usually also have the option of maintaining the premium, but reducing the sum assured.)
The premiums would then be reviewed at regular intervals by the insurance company. At each review, the premiums can be increased, or (in theory) decreased. If the policy owner does not wish to pay the increased premium, the sum assured can be reduced.
