Life Insurance Is Cheaper Than Ever

Lifesearch, an independent insurance broker, say in the last 10 years Life insurance has become cheaper to buy by 30 per cent; as cheap as it has ever been. And, if you already have a plan in place you may be able to lessen your premium by switching to another insurer.

However, if you have any health issues, such as being over-weight or you have a risky job, perhaps in the Armed Forces, you might not be eligible for a cheaper premium and have to pay more for your cover. A quote from More Than for 40 year-old male, for 25 years to the value of 100,000 pounds, at slightly over 11 pounds per month and this, and the cover, will remain the same throughout the term of the policy.

If a 40 year-old man were to have a Body Mass Index (BMI) of over 30, he would be classed as obese and his premium could be more than 50 per cent higher, according to Lifesearch.

Matt Morris from Lifesearch says, ‘The old loading for obesity meant premiums jumped by up to 20 per cent. That is more like 50 per cent today and can in some cases be more. People are being loaded earlier and loaded higher.

He continued, ‘No single insurer will be cheapest for everyone. Those who have a high BMI or complicated medical problems should shop around for the best cover.’

Wesley Boden from Warrington, Cheshire, did just that having approached Lloyds TSB, his own bank, for a quote for a Decreasing Term insurance for 90,000 pounds. They quoted him 29 pounds per month which included a loading because of Wesley’s BMI being just higher than the approved level.

Wesley went to Lifesearch for some advice. They shopped around for him and came up with exactly the same cover for 17.57 pounds per month. He said, ‘Lifesearch looked across the entire marketplace and found an insurer that didn’t see me as an increased risk. I purchased cover at standard terms, which means I will be able to shave thousands of pounds off the cost of cover over the life of the policy.’

The National Farmers Union Insurance Mutual says that only a meager 10 per cent of rural residents consider Life insurance as high-priority for safe-guarding their families. The NFU specialises in insurance for rural enterprises and farmers and in a recent survey they revealed that 10 per cent of country dwellers live there for the community spirit and 10 per cent say they live there to be near to family.

Juliet Ward from national farmers union insurance says, ‘The fact that only a small proportion of rural dwellers view life insurance as a priority is concerning. Perhaps those in the countryside think that living in a rural community means closer links to their wider family and friends, who could take care of their children if the worst should happen. Life cover doesn’t have to break the bank and it’s not worth taking short cuts when protecting your family,’ she goes on to say.

With life insurance premiums at an all time low it would be foolish not to consider protecting your family.

A 40 year-old female, non-smoker would pay around 9.27 pounds per month for 100,000 pounds worth of cover on a ten year policy, and a male, same age, non-smoker would pay 10.91 pounds for the same cover, based on quotes from the National Farmers Union Insurance.