Author: Andrew Regan

Despite popular perceptions, people working in stress-related jobs do not have to pay higher premiums for their life insurance as there is no evidence to suggest that their life expectancy is affected by their job. However, in terms of income protection insurance those in high-stress jobs are more likely to pay loaded premiums, according to Kieran Platt, co-founder of Life Direct and an independent financial adviser.

Rather than stress levels, it is the exposure to danger that drives up life insurance premiums. For example, a soldier due to serve a tour of duty in Iran or Afghanistan will find that his or her premiums will significantly increase, or cover may be withdrawn altogether. Workers who are employed as electricians will not have loaded premiums unless they are constantly working at high altitude, such as repairing pylon cables. As far as the insurance industry is concerned, the loading of premiums is in direct relation to the risks involved to the individual performing that job and not to level of stress endured.

However, more surprising than the fact that stress-related jobs do not attract loaded life premiums is the news that so many people have no life insurance whatsoever. Research carried out by life insurance firm Bright Grey found that one in three families in the UK do not have any form of life insurance cover and even less have critical illness and income protection cover meaning that many families could be exposed to financial hardship in the event of an accident or death of a major earner. A prolonged illness or a major accident involving the prime earner could especially impact on a family’s finances, and leave them unable to meet their commitments. Even though they may have critical illness cover the chances are they will not be covered for accidents or major illnesses that are not considered life-threatening. This risk is particularly relevant to those who are self-employed as prolonged illness could destroy their business and cause them serious financial hardship.

Author: Jason Hulott1

When the need for life insurance enters our lives, it is normally in response of two situations: either we have taken out a loan or mortgage, or we have reflected upon our own mortality. Either situation can lead us seeking the cheapest life insurance possible. A specialist website, which gives full access to the marketplace, can help you find the best deal when searching for the cheapest life insurance.

It is wise to remember that when taking out a mortgage or loan, you are no longer required to take the life insurance policy out with the company specified by the lender. We now have the right to choose from which life insurance provider we purchase our policy. Although having this freedom to choose gives us the right to make our own decisions when buying the cover, it also gives us the task of sourcing the market for the best deal. That is when using an independent specialist website is of great advantage. You only have to enter your details the once and it enables you to access the results in a matter of minutes. One can effortlessly compare the cheapest life insurance quotes allowing an instant review of the policy contents, safe in the knowledge that the information is impartial, as the website has no affiliation to one particular insurer. This saves you both time and money and gives you peace of mind when making your final decision.

The cheapest life insurance is ‘term life insurance’, which is the most basic form of life insurance. It provides you with cover for a fixed period of your choice (known as the ‘term’) and pays a one-off lump sum should you die during that term. Premiums are normally paid monthly although some policies allow annual payments. It is important to be aware that you are only covered for as long as you pay the monthly premiums. If you stop paying the premiums, the policy stops. In addition, as there is no investment element with this form of life insurance, there is no maturity value payable at the end of the term.

When searching for the cheapest life insurance we normally look for the lowest premiums available. Factors governing the size of the premiums are the sum to be insured, the period of insurance cover, your age, your sex and whether you smoke or not, (normally someone who has not smoked for at least twelve months is classed as a non smoker). Your occupation also determines the level of premiums, for example, someone who works as a bank clerk has a less risky lifestyle than someone working in the pyrotechnical industry does. Some insurance companies will place qualifications on the life cover, so it is important to review the policy details carefully before making a decision. The insurer may request the completion of a medical form, the contents of which may lead to you having a full medical examination, before they agree to provide life cover. All these aspects can be compared easily using this specialist website allowing you to choose the cheapest life insurance available.

Author: Shaun Parker

The first distinction to make is between Life Insurance and Life Assurance. Although these terms are often used interchangeably there is a difference: Insurance generally refers to an event that might happen whereas assurance refers to something that will happen.

Using this definition Life Insurance would generally cover accidental death whereas Life Assurance would cover for when the policy holder dies at the end of their life. However, most companies do not make such an explicit distinction between the two. It is of course important that you make it clear what type of cover you are looking for.

Life Level Term
Life Level Term Insurance provides the policy holder with a rate of cover that stays the same throughout the policy. The policy holder can decide on the number of years and the level of cover they require at the outset of the policy. The policy can be set up as a single life plan in which the sum of money that has been insured is paid out if the insured person dies before the end date of the policy.

Alternatively a joint life first death policy can be arranged. This is where two people are insured with the sum insured being paid out after the death of one of the insured.

People taking out this type of insurance can benefit from Critical Illness cover which means the sum insured is paid out upon the diagnosis of a critical illness. To include critical illness cover the policy holder will have to pay an additional premium. If the insured person survives the length of the policy then no money is paid out.

Mortgage Life Insurance

Mortgage Life Insurance is designed to cover the costs of a mortgage in the event of the death of a key breadwinner. It is a popular option for a family as it pays the outstanding balance of the mortgage in a lump sum if the insured dies before the end of the policy. As the insured is insuring to cover the cost of the mortgage the policy costs reduce over time as you repay more of your mortgage.

Mortgage Life Insurance can also be taken out in a single life plan or a joint life first death basis. In the latter the mortgage will be paid off in the event of one of the insured dying. This is where the policy finishes - nothing is paid out on the death of the second insured.

Mortgage Life Insurance also provides the option of taking out Critical Illness cover for the cost of an added premium. Critical Illness cover will pay out if the insured is diagnosed with a critical illness. If the insured survives beyond the policy end date then nothing is paid out.

Critical Illness Insurance

Critical Illness Insurance pays out if the insures is diagnosed with a critical illness within the dates of the Insurance policy. The amount of money covered by the policy can be decided at the outset as can the duration of the policy. It is available as a single life basis or a joint life basis.

The policy can stand alone but it is often added to a Life Level Term Insurance policy or a Mortgage Life Insurance policy for the cost of an added premium. If the insured survives the length of the policy then the sum insured is not paid out.