News & Views

Life Insurance and Other Protection: Costs Less Than You Think

One of the main reasons why people might not take out the life insurance and other protection they require is that they think it would be too costly. 

In 2017, insurer Sun Life asked people to estimate the likely premium for £100,000 of life cover, and the average estimate turned out to be almost five times the correct figure!

Other studies have suggested that many people believe Covid-19 has driven a significant hike in premiums, but again, this is not the case. With the Covid threat having diminished, and death rates now down around the historic average, there is no reason for the insurers, who operate in a very competitive market, to charge any more than they need to.

These two recent cases illustrate how we can arrange competitive life cover for our clients:

• 43-year-old woman who took out an income protection policy with a monthly benefit of £2,000. The plan also had a four-week deferred period, with the benefit payable for a maximum period of two years, payable should she be unable to work due to injury or illness before the age of 68. The monthly premium was £38.81. This premium could be achieved despite the client being HIV positive and having a recent episode of anxiety.
  
• 29-year-old man who took out £260,000 of level life cover over 32 years, for just £11.62 per month.
  

Moneysworth can search the entire marketplace for the most suitable product and provider for your individual circumstances. We advise on and arrange life insurance, critical illness and income protection insurance and particularly specialise in finding cover for clients with complex individual circumstances, such as those with medical conditions, or who reside outside of the UK. Contact us today to find out more.