Advertorial: How to save money on life insurance cover
Recent data indicates that
UK households are dropping their life cover to deal with more pressing financial responsibilities. This is unwise, as life insurance offers protection for the people you care about in the event of your death. Being uninsured could leave them in a very vulnerable position if some unforeseen disaster happens to you.
Here are several ways to save money on life insurance:
Shop around
You won’t get the best deal for life insurance unless you make the effort to shop around and compare quotes to ensure you get the most competitive price. The best way to do this is through price comparison websites. Visit comparethemarket.com/life-insurance and enter your details to find and compare quotes from a range of suppliers .
Avoid paying for advice unless you need to
Life Insurance International has reported that the UK life insurance sector is undergoing a number of major reforms that will transform regulation and distribution. Independent financial advisers will no longer receive sales-based commissions from insurers but will instead charge their customers fees instead. So unless your insurance needs are complex you should opt for cheaper, restricted advice or get no advice at all and do your own research.
Get the right amount of cover
Avoid wasting money on protection you don’t need and make sure you don’t over-insure. The amount of cover you actually need should be worked out carefully depending on your personal circumstances. Take into consideration any other benefits that might help your family after, such as a death in service payment from your employer or additional insurance policies you already have, such as payment protection insurance, which will cover credit card or loan debts in the event of your death.
Adopt a healthier lifestyle
Many insurance companies charge smokers premiums that are up to 50% higher, while others even offer discounts to vegetarians. Before agreeing to insure you, insurers may insist on a medical examination and the result could affect your premiums. Making changes to your lifestyle by losing weight and taking regular exercise will not only make you feel better and live longer but could also save you money on your life insurance policy.
Start young
Don’t wait until you’re middle aged with a growing family before you take out life insurance. The younger and fitter you are when you start, the less your policy will cost you. You should consider insurance as soon as you have others who depend on you, typically when your first child is born.
Make sure you need life insurance
It may seem like an obvious question, but do you really need life insurance at all? Don’t let some high pressure salesperson talk you into getting life insurance because you feel obliged to have it. In fact, not everyone needs it. If you are single and childless with no financial dependents that rely on you for support, a life insurance policy may not be right for you. Save your money and use it to take out income protection insurance instead that will protect your income should you be injured in an accident or became too ill to work.
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Weather for Northumberland
Saturday 25 May 2013
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