Family Income Benefit

Family income benefit insurance is a type of term life insurance that will give regular financial support to the family of a policyholder if they die or are diagnosed with a terminal illness. AIG’s Family Income Benefit helps your clients secure an on-going income for their families. With monthly payouts, it eases the burden of bills, making budgeting more manageable for those left behind. If your client’s circumstances change, we make it easy for them to switch from a monthly benefit to a lump-sum payout during the claim.

Why choose AIG

With a monthly benefit paid from point of claim to the end of the policy term, this cover allows your clients to plan for the future, and the guaranteed income gives them the knowledge that monthly mortgage payments could be maintained, household bills could be taken care of or living expenses could be sorted when they’re no longer able to support their family.

Under AIG Family Income Benefit (FIB), your client can choose:

  • The monthly benefit;
  • Whether the monthly benefit stays at the same level throughout the term of your cover, or increases by 5% of the current monthly benefit each year;
  • The term of the cover;
  • Whether to take out single life cover or joint life cover (with the benefit payable once); and
  • Whether to include Waiver of Premium.


The right solution for a variety of protection needs

There are a number of different scenarios where FIB could provide an ideal protection solution:

Family with young children

A FIB policy could be particularly important to a family with young children. If one of the parents is diagnosed with a terminal illness or dies, a FIB policy may help to protect and maintain the family’s lifestyle by paying for things such as childcare and utility bills. It can ease the financial pressure on remaining family members should the worst happen and allow them to concentrate on supporting each other.

Single parent

If a single parent were to die or be diagnosed with a terminal illness, FIB can help secure the child’s or children’s financial future by providing their new guardian with a regular monthly income. This may help cover their day-to-day expenses such as food, clothes and school supplies.

Full time carer

FIB may also suit someone who has become their loved one’s full time carer. Having this in place means that if your client is no longer around, there is a monthly income available to pay for things such as private home care visits or to help towards paying the utility bills.

Additional benefits

AIG’s FIB also comes with immediate access to Best Doctors and Winston’s Wish. The Best Doctors second opinion medical service can provide guidance on the most appropriate treatment should your client or their immediate family be diagnosed with a serious illness. Winston’s Wish is the UK’s leading childhood bereavement charity, which helps children get the right support when they lose a parent, carer or sibling.

Find out more

To find out more about Family Income Benefit or any other AIG life insurance product, call our Sales Team on 0345 600 6829, email

Writing your client's policy into trust

Your clients are able to write their policies into trust, and we offer both discretionary and bare trust options. Making this legal arrangement ensures that money paid out goes straight to the people they want to benefit from it. It also could allow a quicker death claim payment compared to a policy not in trust and could exempt any pay out from IHT liabilities.

We cannot advise on whether putting any particular plan into a trust would be suitable for your client’s particular circumstances and would recommend that they take professional legal advice. For more information, read our guide to explain how trusts work for insurance policies.


Additional benefits of AIG

Two doctors walking up stairs
Smart Health

From on-demand consultations with UK based GPs, to Best Doctors - the expert case management service with the world’s top medical specialists, our Smart Health service is a convenient way to connect your customers to tools that help them to manage their health and wellbeing from anywhere in the world, 24/7.

Two children painting with their hands
Winston's Wish

We all know that life insurance is there to support your loved ones should the worst happen, but at AIG, we know that there’s more to it than just financial protection. Winston’s Wish – the UK’s leading child bereavement charity – help children get the support they need in the event of losing a parent or sibling.

Man holding avocado halves up to his eyes

Smart Health

From on-demand consultations with UK based GPs to second medical opinions from Best Doctors®, our Smart Health service is a convenient way to connect your clients to tools that help them manage their health and wellbeing. It’s available 24/7, 365 days a year, anywhere in the world and can also be used by their partners and children up to age 21, all at no additional cost.

Smart Health is a non-contractual benefit that could be changed or withdrawn in the future.


Smart Health is provided to AIG Life Limited customers by Teladoc Health. We want to let you know that these services are non-contractual, which means they don’t form part of the insurance contract with us. If our partnership with Teladoc Health ends, these services could be changed or withdrawn in the future.

Winston's Wish is a national charity that is accessible to anyone regardless of your insurance policy. The service is available even if your policy ends.

Literature and support materials

Sales Aid - Family Income Benefit

This guide helps you recommend AIG’s Family Income Benefit to your clients.

Download Updated 27 Aug 21
Family Income Benefit - Cover Details

Read our Cover Details for an explanation of how AIG's Family Income Benefit works.

Download Updated 25 Jan 21
Family Income Benefit - Key Facts

For more information on YourLife Plan Family Income Benefit, visit our Key Facts.

Download Updated 25 Jan 21