Earning well but still worried about what happens to your family?
Richard was a partner at an international law firm with a strong income, a young family and an old UK pension that had not been reviewed for years. His finances looked successful, but his family protection and retirement planning had not kept pace with his career.
Client snapshot
Richard was a senior legal professional living overseas with his wife and children.
His income had increased significantly as his career progressed, but his protection arrangements had not been reviewed since before he moved abroad and started a family.
He also had an old UK workplace pension from an earlier stage of his career. The pension remained invested, but Richard did not know what it cost, how the money was allocated or whether the arrangement still suited his retirement plans.
His priority was to make sure his family would remain financially secure if he died or became seriously ill, while also bringing the forgotten pension into a clearer long-term plan.
The situation
Richard’s career was going well.
He had become a partner, his income had risen and the family had built a comfortable lifestyle overseas. School fees, housing costs, travel and long-term family plans were all affordable while he continued working.
That success also created a growing dependency on his income.
If Richard died or became seriously ill, the family would not simply lose a salary. They could lose the income supporting their home, education costs, retirement savings and wider financial security.
Richard had some workplace benefits, but he was unsure how long they would remain in place, whether they would continue if he changed firms and whether they were sufficient for his family’s actual needs.
He had also delayed reviewing an old UK pension.
The pension felt separate from his current life. It related to a previous employer, was held in the UK and was not large enough to demand regular attention.
However, it still represented part of Richard’s future retirement wealth.
The problem was not that Richard had failed to build assets or earn enough. His protection, pension and family planning had simply developed at different times without being coordinated.
The risk of doing nothing
The family remaining dependent on one income
Richard’s household costs and long-term plans relied heavily on his earnings. A loss of income could have forced major changes to the family’s lifestyle.
Relying too heavily on employer benefits
Workplace life cover and illness benefits may change when someone moves role, changes employer or leaves employment.
Underestimating the amount of cover required
A simple multiple of salary may not reflect mortgages, school fees, family income, future education costs and long-term financial commitments.
Leaving serious illness unplanned
Surviving a major illness can create additional costs while also reducing the ability to work and earn at the same level.
Allowing the UK pension to remain unreviewed
The pension could have remained invested in funds that no longer reflected Richard’s risk tolerance, retirement timeframe or wider assets.
Overlooking pension death benefits
Outdated beneficiary nominations or incomplete records could have affected how the pension provider considered death benefits.
Treating protection and retirement separately
Paying for insurance without considering savings, pensions, liabilities and estate planning could have created duplication or left important gaps.
Does your family rely on your income?
A high income can create financial security, but it can also support a level of spending and long-term commitments that would be difficult to maintain if something happened to you.
Workplace benefits may help, but they should not be assumed to cover everything your family would need.
If you have been putting off your protection or pension review, book an introductory call and we can identify what needs attention.
What Josh found
Richard’s existing workplace benefits provided some protection, but they were not designed around the family’s complete financial position.
The review considered the capital that could be required to clear liabilities, maintain family income, fund education and give Richard’s wife time and flexibility if he died.
It also considered the financial impact of a serious illness.
A critical illness may not result in immediate death, but it could affect Richard’s ability to work, reduce future earnings and create additional treatment or lifestyle costs.
Any personal insurance therefore needed to complement the employer benefits rather than duplicate them.
The old UK pension required a separate suitability review.
It offered existing investment and retirement options, but Richard had not reviewed the charges, underlying funds, access rules or beneficiary information for several years.
There was no automatic assumption that the pension should be transferred. Retaining the existing arrangement could remain appropriate if its benefits, charges and options compared favourably with the alternatives.
The wider issue was coordination. Richard’s insurance, pension, family liabilities and estate planning needed to reflect the same set of objectives.
The planning work
Calculating the family’s protection need
Josh reviewed the family’s liabilities, expenditure, education costs, existing assets and future income requirements to estimate the level of financial support that could be needed.
Reviewing the employer benefits
Richard’s workplace life and illness benefits were assessed to understand what was covered, when the cover applied and where gaps remained.
Arranging suitable personal life cover
Personal life insurance was arranged to complement the workplace benefits and provide additional protection for the family, subject to underwriting and policy terms.
Considering serious illness protection
The potential financial impact of a critical illness was reviewed alongside death, including treatment costs, reduced earnings and the need for greater flexibility.
Reviewing the old UK pension
The pension’s value, charges, investment strategy, retirement options and scheme features were obtained and assessed.
Updating the investment approach
The pension investments were reviewed against Richard’s risk tolerance, time horizon and wider retirement objectives.
Coordinating beneficiaries and estate planning
Pension nominations, insurance beneficiaries, ownership and estate planning considerations were reviewed together, with legal advice used where appropriate.
The outcome
Richard had a clearer understanding of what his family could receive through his employer and where personal protection was still required.
Suitable life insurance was arranged following the relevant underwriting process, giving the family an additional financial resource if Richard died while the cover remained in force.
The review also helped Richard understand the role of critical illness protection and how a serious diagnosis could affect the family even if he survived and eventually returned to work.
His old UK pension was no longer an overlooked policy from a previous job.
Richard knew how it was invested, what it cost, what retirement options were available and how it fitted into his longer-term plan. Any changes were made only after reviewing the existing benefits and available alternatives.
Most importantly, the protection and pension decisions were no longer disconnected. Both were organised around the same objective: protecting the family today while continuing to build financial security for the future.
Who this may help
High earners with family commitments
Your household depends heavily on your income and you want to understand what would happen if you died or became seriously ill.
Professionals relying on workplace cover
You receive life insurance or illness benefits through your employer but do not know whether the amount is sufficient or portable.
Expats with an old UK pension
You left a pension behind when you moved overseas and have not reviewed its charges, investments or retirement options for several years.
Still scrolling? It is probably time to book a call.
If your family relies on your income and your UK pension has not been reviewed for years, these are not two separate problems.
Your protection should reflect the life you have built today, while your pension should remain aligned with the retirement you are working towards.
Book an introductory call with Josh Clancey and let’s review both properly.
Important information
This client story is provided for general information only. It is based on a real client scenario, but the client’s name and identifying personal, family, employment and financial details have been changed to protect confidentiality.
Nothing on this page constitutes personalised financial, tax, legal, pension transfer, investment, insurance, estate planning or retirement advice.
The suitability and tax treatment of any financial arrangement will depend on individual circumstances, residency, jurisdiction, applicable legislation, scheme rules, policy terms and the advice process. Tax rules and their interpretation may change.
Pension transfers, pension consolidation, pension drawdown, investment decisions, tax planning, protection planning and estate planning decisions should be reviewed carefully before action is taken. Transferring a pension may result in the loss of guarantees, safeguarded benefits or preferential terms.
Investing involves risk. Pension and investment values can fall as well as rise, and you may get back less than you invest.
Insurance and protection cover is subject to eligibility, underwriting, disclosure, exclusions, policy terms and premium payment. Applications may be declined, restricted or offered on different terms.
Insurance and protection claims depend on policy terms, medical or financial evidence and the insurer’s assessment. A claim is not guaranteed to be accepted.
Employer-provided protection can change or end when employment circumstances change. The availability and level of workplace cover should be confirmed with the relevant employer or scheme.
Legal advice may be required when reviewing wills, guardianship, trusts, ownership and wider estate planning arrangements.
