This cover is similar to Life Assurance in that it will pay out if death occurs, however and provides an income per year for the term remaining on the policy rather than a lump sum. For example, for a 20 year term, where the claim occurred after five years, there would be 15 annual payments made in total. Payments can be made either annually or monthly.
The amount you pay per month is called the premium. It can either be guaranteed not to change, or it can be reviewable.
