Life insurance and the options available
29th August, 2014
Life insurance is one of the UK's most commonly bought protection products with more than 800,000 policies taken out in 2013. However, according to Swiss Re’s annual Term and Health Watch report, sales of insurance cover fell by 17 per cent last year. This is despite the UK offering some of the cheapest life insurance protection in the world.
Whole of life cover plans fell by a huge 20 per cent, which is believed to be due to the limitations placed on people when prices increase and they are not given the option to switch or rearrange cover. Over the last 18 months and since 'gender neutrality' came into force, average life insurance premiums have increased by 25 per cent for females and fallen by around ten per cent for males.
Even if a client is young and healthy now, the Money Advice Service still encourages the purchasing of life insurance - while it is reasonably cost effective - to protect them and their loved ones in the future. The need for cover is dependant on two factors; debts and dependants. If there is someone who is financially dependant on you, including a partner, child or other family member, the Money Advice Service suggests that life cover is considered.
Finding the best deal is important but comparing life insurance quotes is not as easy as it once was. There are hundreds of options for advisers to consider when it comes to offering life insurance cover and every individual's needs and requirements are unique.