When it comes to term life insurance and whole of life insurance, each has its merits.
Term life insurance will be cheaper than whole of life cover when it comes to comparing premiums. This is because you may not die during the term of the policy. If this is the case, the policy ends and there will be no payout. Insurers can offer cheaper premiums, as this is the risk that you take when you take out a term insurance policy.
With a whole of life policy, premiums are more expensive as the policy is guaranteed to pay out upon death, whenever that may be. Whole of life means that as long as you keep paying your monthly premiums, you will be covered, which offers many clients complete peace of mind.
We recommend speaking with your Future Proof adviser. They will compare both premiums. They will also discuss your health and contact insurers anonymously ahead of any application to gauge their response.
If an insurer is looking to charge extra based on ill health, whole of life may be out of the question when it comes to affordability. In which case, term life insurance may be your only option. In this situation, we can look into the best term of policy for you. Whether that be to age 70, 80 or 90 years.
Our advisers find cover every day for people with tricky medical conditions.
They will search the market so you don’t have to. Finding the most cost-effective, comprehensive coverage by approaching the most sympathetic insurers. What is more, their advice is no-obligation. Take a look at the table below. It compares the difference between whole of life premiums with term insurance premiums of a policy that runs until age 90 years.
Please note that any premiums mentioned are indicative only and based on this specific case study/ example, which is shown for information purposes only. Your own circumstances will determine whether the amount payable is more or less than the figure quoted.