GETTING STARTED
Three points to consider
- A sum insured suited to family needs and commitments.
- Death and disability are different covers.
- For mortgage insurance, compare the loan terms too.
Who might benefit from life insurance?
People with dependants, a loan or family expenses that would continue without their income. The aim may be to protect the household, secure a financial commitment or address a combination of needs.
The policyholder enters into the contract; the insured person is the person whose life is covered; the beneficiary receives the benefit specified when a covered event occurs. Different people can fulfil these roles. Identifying them correctly avoids uncertainty about who the protection is intended for.
Death, disability and acceptance terms
Death cover and additional disability covers should be assessed separately. Check how the policy defines disability, the degree required, the activities considered and the age up to which cover continues. Similar abbreviations do not guarantee identical terms.
The sum insured, age, occupation and risk information requested by the insurer may affect acceptance and the premium. If health information is needed, follow the specified procedure; do not enter it in the website’s initial form.
How to consider the sum insured and term
List the commitments you want to provide for, how long your family depends on your income and any existing protection. This preparation helps you discuss the sum insured without choosing it solely on the monthly price.
Check whether the sum insured stays constant or changes over time, how the premium develops and when each cover ends. Insurance linked to a loan may serve a different purpose from a sum intended directly for the family.
Life insurance linked to a mortgage
When reviewing insurance linked to a mortgage, gather the outstanding balance, remaining term and covers required by the bank. Compare the insurance cost and any effect of switching on the loan’s commercial terms. A lower premium alone does not demonstrate an overall saving.
Before changing the existing policy, confirm acceptance of the new arrangement, the beneficiaries, compliance with the mortgage requirements and the effective start date. Submitting a request does not cancel or replace existing insurance.
An example to prepare for the discussion
A family may want to provide for repayment of a loan and have financial support for everyday expenses. These are two aims to discuss: the outstanding debt and the amount they want to leave available to the family.
This example does not establish a recommended sum insured or guarantee a claim payment. It illustrates why the beneficiary and changes in the sum insured matter as much as the premium.
What to prepare when requesting a quotation
Have identification and contact details, the intended sum insured, the term in years and the desired start date available. Explain the purpose of the protection to the insurance intermediary. If you already have insurance, gather the policy terms for a later review through the specified channel.
RMACHADO GROUP helps clarify the options. Review your details, submit the request and keep the reference. Taking out insurance depends on the insurer’s assessment and acceptance and on the contract being formalised.
A question to clarify before deciding
Does the sum insured follow the outstanding debt or remain constant, and who receives any surplus?
The product examples mentioned in the frequently asked questions illustrate possible differences. They are not an offer from RMACHADO and do not show that a particular cover is included in your policy. Availability, acceptance and terms must be confirmed in the specific quotation.
What to compare in a quotation
Use these questions to clarify differences that could affect your decision.
| Comparison point | Question to clarify |
|---|---|
| Sum insured (€) | Does it remain constant or follow the outstanding debt? |
| Disability | What definition, degree and age limit apply? |
| Premium | How might it change over the term? |
| Beneficiaries | Who receives the benefit and for what purpose? |
Frequently asked questions
Does life insurance cover every type of disability?
No. The cover must have been taken out and the situation must meet the policy’s definition and terms. Ask for a specific explanation of what is included and excluded.
Can I request a review of my existing insurance?
Yes. The review should consider current covers, the sum insured, term, premium and the alternative’s acceptance terms. Do not cancel existing protection before confirming the new arrangement.
Are life protection insurance and savings insurance the same?
They serve different purposes. This guide concerns protection against risks affecting the insured person. Insurance-based savings and investment arrangements have their own features, explained in the guide to life savings and investment products.
Does death cover end at the same age as disability cover?
Different covers may have different maximum continuation ages. Confirm when each cover ends in the quotation.
Must the sum insured fall as the mortgage balance falls?
Some arrangements allow the sum insured to remain constant. Check the adjustment mechanism and who receives any surplus.
Do accidental death and death cover serve the same purpose?
Additional accidental death cover may increase the benefit. Confirm when it applies and how it works alongside the main cover.
THE NEXT STEP
A review starts with your details.
Prepare the request, check the summary and submit it when correct. A record is created only after final submission; the request does not activate insurance.
Prepare a quotation request ↗From the magazine: a practical read
Further information
Consult institutional sources and reference documents. Insurer pages illustrate specific products; their terms are not necessarily included in any quotation presented by RMACHADO GROUP. Some linked sources are in Portuguese.
General information from RMACHADO GROUP. Examples are illustrative and do not guarantee cover, price or outcome. Terms, acceptance and cover depend on the quotation and policy. The intermediary does not underwrite the risks.