The UK Life Insurance Brokers
Life insurance is one of those products that does, as the TV advert goes, exactly what it says on the tin! It gives you insurance cover that is based on your life. So, if you take out this kind of policy you will be buying insurance that protects your life. If you die whilst you have this kind of insurance policy in place then your insurer will pay out a designated sum to your dependants or next of kin. It's as simple as that.
There are basically two types of life policy available to buy from insurers. The first - and most common one to buy - is known as 'term' insurance. This kind of policy is given this name because it is meant to last for a specific term of time. So, if you take out a life policy for £100,000 for 20 years then these 20 years will be your term. You'll pay premiums for the 20 years if you want to keep your cover going and, if you die within these 20 years, then you insurer will pay out on the policy. But, this kind of policy will stop at the end of its term so you'll have no protection after that.
The other type of life product that you can take out as insurance is called a 'whole of life' policy. This kind of policy is designed to last you for the whole of your life. So, here, you'll pay your premiums until you die (unless you want to cancel your policy) and the insurance company will be committed to making a payout on the policy no matter when you die. There is no term here that will bring the policy to an end.
This really is a question of what you want from life insurance. A term policy will always be cheaper than a whole of life policy as the insurer can gamble on the fact that they'll never have to make a payment on the policy as you might survive beyond the term. But, a whole of life policy may be more pricey - but you'll be guaranteed a payout once you die.
There are a lot of pros and cons associated with your choices here. It's not just about the preferences you might have now but it's also a question of how your finances look now and how they might look in the future. You'll generally get the most cost-effective insurance choice, in either case, if you buy early and make the right buying decision. Get it wrong at any stage and you might be leaving your family under-protected or you might simply be wasting the money you're spending on a policy.
The best way to get it right is to use an insurance expert to help you find the best cover. That way, you'll be guaranteed best cost so you'll get better value for your money. Shopping around for policy costs can surprise you - there are a whole range of cost options out there for you and finding the cheapest can often be quite hard.
With our help you can find the best insurance policies at the best costs - so, you'll know that you never have to pay too much for the cover you need. As experienced life insurance brokers we can search through the entire sector in the UK to work out the cheapest options for you so you can both protect your family and cut down on your policy costs at the same time.