FIB – Stands for Family Income Benefit and is a very simple yet valuable type of cover which pays a monthly income if the policyholder dies whilst the policy is in force. The beneficiaries will continue to receive the monthly income at the level specified in the policy until the termination date of the policy.

Payments provided may be index linked to rise to keep pace with inflation or be capped at a flat rate.

Should the policy holder continue living until the end of the policy then no benefit is payable – but of course during the years while the policy was active the policy holder would enjoy peace of mind knowing their family would receive not just a once off lump sum should the policy holder die, but perhaps more importantly they’d be able to maintain balance in their finances by ensuring that all monthly commitments will be met by the ongoing monthly income provided by this product.

Family Income Benefit Policys can be held either singly or jointly. Joint policys commence paying out on the death of either policyholder. However, if both policy holders were to die whilst the policy is in force then there would still only be one monthly payment awarded.

In a nutshell then – Family Income Benefit is an important and economical tool that helps to ensure that a family’s income will be maintained at an acceptable level if the main income providers were to die.

It’s also increasingly being used in divorce settlements to ensure that monthly income levels will be provided to support the children and/or ex-marriage partner until an agreed date should the policy holder die while the policy is in force.

It’s quite surprising how little such cover can cost.

For a related page showing an example how low such cover can be please click here

To download a handy PDF of the main points of this type of cover please click here

If need to discuss the pros and cons of this type of Life Assurance please do give me a call free from a landline on 0800 321 3508, direct to my mobile on 0757 679 1009.

Contact me by email here…

Investment and Tax

The value of pension and investments and the income they produce can fall as well as rise. You may get back less than you invested.

The Financial Conduct Authority does not regulate advice on tax planning.

Call William…

Free from a landline: 0800 321 3508

Or click to call to his mobile : 07803 508187

Financial Advice

William on BBC Radio

Here is an interview William gave on BBC Radio Scotland where he
spoke with Fred MacAulay and Karen McKenzie about Cash
and Investment ISA’s

Listen to the BBC show here

MP3 and PDF Financial Guides


"I have introduced many clients of mine to Billy as I have complete trust in his professional ability." Tom Queen, Solicitor - Thomas Queen & Co. Dunfermline, Fife.


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Dates and Times

NOTE: I have been writing articles here since 2007 so please take note the date of the article, because obviously, things like laws or tax allowances etc may have changed since then.

I do try my best to keep up to date, but I'm only an humble advisor and there are hundreds of my financial articles here! Please call or email if you need to double check something. I'll gladly help.