You can choose how much cover you take, the type of life insurance you want and how long you want your protection in place for.
The coverage you purchase covers any financial commitments you have – such as a mortgage or loan. It means your partner, family, or beneficiaries won’t be left with payments they can’t afford if the worst should happen to you.
At Life Insurance Quotes, we’re here to make the process of buying life insurance as quick and easy as possible. As independent specialists, we can help you to find the right cover at the right price.
- Compare life insurance quotes from a range of leading insurers with one
- Find the cheapest quotes online and reduce the cost of your monthly
insurance premiums. We intentionally take a lower commission than the
standard rate, meaning you get a discount on your premium
- Fast, free and secure
Learn All About Life Insurance
Why Choose Us?
We are independent and work closely with many of the UK’s leading providers to make sure you get the protection you need at a cost you will love.
Comparing life insurance quotes and applying for cover is quick and easy. Just complete one simple online form and we’ll do the rest.
As independent experts, we can help you if your application is out of the ordinary – for example, if you have a pre-existing medical condition.
How Does Life Insurance Work?
Life insurance pays out a cash lump sum when the policyholder dies. You choose the amount of cover when you take out the policy.
When you pass away, your life insurance ensures your loved ones receive financial support. It could enable your family to remain in your home. It can also provide the financial means for your spouse or partner to be at home with children for as long as is needed.
Policies are typically available for adults between the ages of 18 and 80. Your policy will run for a fixed term – which you decide – and this could be until you retire, your mortgage is repaid, or your children are financially independent.
“Life insurance can start from as little as £5 a month and provides much-needed peace of mind that your dependents are financially supported if the worst happens. 189,000 customers received compensation from protection policies in 2018, with £14.5 million being paid out every day. These policies provide invaluable protection and could cost much less than you expect.”
– Gwilym Pugh, I’m Insure
5 reasons you need life insurance
2. You want to ensure your dependents are financially supported – A policy provides a cash lump sum payout, a much-needed financial cushion, when you pass
3. You have a mortgage – Your policy payout can be used to repay any mortgage you have. This gives them the security that they can continue to live in your home after you have gone
4. You have loans or other debts – do you want to leave loans, credit cards or other debt to your dependents when you die? Could they afford to keep up the repayments? Of course not, so purchase a policy that they use to pay off any debts
5. You want to ensure you leave a legacy to your heirs – A policy does not just go to bills, but is an important part of estate planning. This ensures that you will leave a legacy to your loved ones.
Single or Joint Life Cover?
- Single life – the policy covers one person. Some couples take out an individual life insurance policy each so that their dependents potentially receive two lump sum payouts.
- Joint life – the policy covers two people, but it will only pay out once. It will typically pay out when the first person dies, and then will cease.
Types of Life Insurance
Level term life insurance
Level term life insurance pays out a fixed cash lump sum if you die within a specific term. You choose both the amount of cover and this term when you buy the cover.
If you pass away within the chosen term, the policy will pay the amount of cover (‘sum assured’) to your dependents.
Decreasing term life insurance
Decreasing term life insurance pays out a reducing cash lump sum if you die within a specific term. It is designed to provide protection if the amount of cover you need is likely to reduce over time – for example, if you have a repayment mortgage.
Family Income Benefit
Family income benefit will pay out a monthly tax-free income if you die within a specific term. The payout lasts from when you die until the end of the term. (e.g. if you take out a 25-year policy and die seven years into it, your dependents will receive a regular tax-free monthly income for 17 years. If you passed away 24 years into the policy term, they would receive a tax-free monthly income for one year.)
Whole of life insurance
Whole of life insurance is a policy that pays out on your death – whenever that is. There is no fixed term and it will always pay out if you die (as long as you’ve kept up with monthly payments).
A whole of life insurance policy means that your dependents will receive a lump sum on your death, whenever that happens. It can be used to provide financial support, or for specific reasons such as to offset Inheritance Tax payments.
Over-50 life insurance
Over-50 life insurance is similar to a whole of life policy in that it will pay a lump sum whenever you die (as long as you keep up your monthly premiums). Your monthly premiums are guaranteed and so, if you live for a long time, your total premiums could cost you more than the policy eventually pays out.
The amount of cover tends to be less under this type of policy, as it is often designed to cover things such as funeral expenses.
Critical Illness Cover
Critical Illness Cover will pay out a tax-free cash lump cum if you are diagnosed with a specified medical condition within the term of your policy. You can choose the amount of cover and the term of your policy at the outset.
Common conditions included under a Critical Illness Cover policy include heart attack, cancer, stroke, multiple sclerosis and total and permanent disability.
This type of cover is designed to provide you with financial support if you had to stop working because of a serious medical condition.
How much insurance do I need?
The amount of life insurance you need will depend on your own circumstances. Factors that will help you to determine the amount of cover you need will include:
- Whether you have children, and how old they are
- Whether you have a spouse or partner
- Your income, and the income of your spouse or partner
- Whether you have a mortgage
- Whether you have any other debts
According to the Association of British Insurers, the average claim for a term life insurance policy in 2017 was £78,323, yet the average outstanding mortgage debt in the UK in November 2019 was £131,724. That is a difference of £53,401.
When you also consider that the average price of household bills is £19,500 a year, and the average household food bill is £3,150, you may well need more than the ‘average’ amount of cover.
We can help you to work out how much cover you need.
How much does life insurance cost?
Insurance policies start from around £5 per month. The cost of your cover will depend on a range of factors including:
- How much cover
- Term of policy
- Type of policy (eg. level or decreasing life insurance)
- Health, and your medical history
- Smoke &/or drinker
- Lifestyle (i.e. Do you have any risky habits or hobbies?)
Getting a life insurance quote takes just a few minutes. Compare life insurance from the UK’s leading insurers here
What do I need to compare life insurance quotes?
Comparing the various life insurance quotes is easy when you use I’m Insure. We will need the same personal details as above, plus a bit more information, such as:
- Whether you have a pre-existing medical condition. You may need to provide details of the condition, when you were diagnosed and any medication/treatment you have had
- Your family’s medical history
If you are looking for a joint life insurance quote, you will need to have the same details for your partner or spouse.
We can help you to work out how much cover you need.
“Taking out two individual life insurance policies can significantly increase the amount of cover you have in place. It means that your beneficiaries potentially receive a payout on each of your deaths, rather than just one payout on the death of the first person.
While the premiums for single life policies can be more expensive than the equivalent joint policy, the difference in cost can be less than you think. It also enables each individual to tailor their cover to their exact requirements.”
– Jim Stamp, I’m Insure
Frequently Asked Questions
Do I need life insurance to get a mortgage?
No. It is typically not a condition of your mortgage that you accept life insurance, but your lender is likely to recommended that you take out cover. You don’t have to buy your policy through your mortgage lender – you can shop around and buy it elsewhere.
What is a ‘trust’ and why would I want to put my life insurance in a trust?
When you put your insurance policy in a trust, you name the people you want to benefit from any payout. These are your trustees.
Putting insurance policy in trust can help you to ensure the money goes to the right person/people quickly. It also protects the payout from Inheritance Tax.
Can I get life insurance if I have an existing medical condition?
Yes. You can often get life insurance even if you have pre-existing medical condition – although it depends on the condition.
For more serious conditions you may pay a slightly higher premium to reflect this.
We are experts in helping customers with existing medical issues such as heart conditions, diabetes, mental health conditions, epilepsy or irritable bowel syndrome.
When should I review my life insurance?
It’s important to review your insurance on a regular basis to make sure you have the right amount of cover. Good times to review your arrangements are:
• If you have a child
• You get married or divorced
• You change your job
• You move home or change your mortgage
• Your children leave home
It’s also a good idea to review you cover regularly to check that it is keeping pace with inflation. £50,000 in life cover may have been sufficient 20 years ago but after some life situations, maybe it is not enough now. You should periodically review your policy and cover.
What happens if I miss a payment?
If you miss a payment, your insurer will usually give you time to bring your repayments up to date with no impact on your cover. Other providers may stop your cover as soon as you miss a payment.
If you don’t bring your payments up to date, your insurer may cancel your policy, meaning you are no longer protected.
If you think you might miss a payment, get in touch with your insurer and let them know. They may be able to come to an arrangement with you.
Will my policy pay out if I have a terminal illness?
Some insurers will pay your life insurance claim early if you’re diagnosed with a terminal illness (normally if you have less than 12 months to live). If your doctor confirms that they expect you to pass away within a year, the insurer may make the payment to help you and your dependants cope during a very difficult time.
What happens to my term life insurance if I am still alive at the end of the term?
Term and decreasing life insurance policies do not have a ‘cash-in value’. If you are alive at the end of the term the policy will simply end, and you will no longer be protected.
Can I have more than one life insurance policy?
Yes. You may even have multiple policies with different insurers. This could be because your needs have changed over the years, the policies are designed for different purposes, or you have needed to increase the amount of cover.
Is life assurance the same as life insurance?
The terms are generally used interchangeably but mean slightly different things. Technically, life insurance pays out if something happens to you, while life assurance pays out when something happens to you.
Have additional questions? Get in touch with us. We’re here to help.