Risk Reality Calculator

Your Life

Age

Retirement age

Smoker

Yes No

Gender

Male Female

Your Partner's Life

Age

Retirement age

Smoker

Yes No

Gender

Male Female
Calculate

Description

Our Risk Reality Calculator gives a guide of something happening to someone up to a certain age. It doesn’t reflect the chances of something happening to someone at any given point in time. It’s generally accepted the older you get, the higher the chance of something happening to you which would stop you from being able to work.

The statistics used by the Risk Reality Calculator are based on a large number of people and give a reasonable guide to the average likelihood of one of the described events happening. However, we also recognise that everyone is unique, so the results should be used as a rough guide and preferably talked through with a qualified financial adviser.

The results give the probability of any one of the three described events happening between your current age and the planned retirement age you’ve selected on the calculator (between ages 55 - 70). The later you retire, the higher the chance of something happening, and this will be reflected in the calculator results.

The results are given separately for each person, as well as a combination if two people are included. For the combined results for two people, the probabilities for each person are based on different periods of time, depending on their current age and the retirement age they’ve selected on the calculator. It’s assumed that the chances of something happening to each life are not linked (the lives are independent).

Risk of being unable to work for 2 months or more

These probabilities have been calculated using our own interpretation of industry statistics, combined with our experience of LV= income protection business sold, assuming a two month waiting period and a typical occupation.

Risk of suffering a serious illness

These probabilities are based on the rates of a critical illness occurring, published by the Institute and Faculty of Actuaries’ Continuous Mortality Investigation ('08' series accelerated critical illness morbidity tables). These rates were adjusted to be applicable for standalone critical illness, based on a comparison of market experience and published morbidity tables. Using these standard rates and based on our own experience, we have also adjusted them to be applicable to the general population, which also includes people who do not have insurance policies.

Risk of death

These probabilities are based on mortality tables published by the Institute and Faculty of Actuaries’ Continuous Mortality Investigation ('08' series assured lives mortality tables). The industry rates are projected to apply to a population of insured individuals - those people who have life insurance policies.

Combined results

These results look at the probability of any one of the three above events happening before the chosen retirement age. The results can be viewed separately for each person, or as a combination for a couple, based on the industry and population results above.

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