Life insurance is designed to provide financial support to your family and/or loved ones when you pass away. It aims to help cover expenses such as funeral costs, debts, and living expenses. But how long do you actually need cover for? Is it something you should have for a specific period or for your entire life?

How to choose the right policy term

The length of time you need a life insurance policy can often be determined by your specific needs and financial situation. You should consider what you want the policy to cover, such as paying off a mortgage or providing financial support for your family and loved ones, and then determine the appropriate length of cover.

For those who are taking out a policy to cover their mortgage, it's generally recommended to keep the policy in line with the mortgage length. This may be anywhere from 10 to 30 years. On the other hand, if the purpose is to protect your family, then you may want to have a permanent policy in place.

Age may also influence the length of a policy. In most cases, younger people pay cheaper premiums, since they are less prone to serious illnesses. Therefore, it’s worth applying for cover early to get a cheaper policy.

Unsure of your options?

What type of policy do I need?

The type of policy can also reflect the length of your life insurance cover.

If your aim is to replace lost income in the event of death, a term life policy is usually the best option. It covers you for a set period of time - around 5 - 30 years. The policy then pays out a lump sum if you die during that time.

If you want to protect your dependants long-term, then a permanent, whole life policy may be best. Whole life insurance is often more expensive than term, providing cover throughout your lifetime, paying out upon death.

Decreasing term life insurance is a popular choice when it comes to protecting a mortgage. With this type of policy, the amount of cover reduces alongside your mortgage repayments. That way, it leaves your family or loved ones with the money to pay off the remaining balance on the loan should they wish to.

Please note: The insurance products offered by Cavendish Online have no cash-in value at any time. If you stop paying your premiums your cover will stop, your policy will end, and you will receive no benefit. If you have not claimed before the end of your chosen policy term, the policy will end, and no benefit will be paid.

If you are facing financial difficulty, please contact your insurer before cancelling your policy or letting it lapse. They may have options available that means you don't have to lose the plan.

Interested in speaking to an adviser?

When is the best time to get life insurance?

The earlier you buy life insurance, the lower your premiums are likely to be. When you are younger, you have fewer health issues, and therefore it’s less risky for the insurance company to provide cover. As such, it’s beneficial to lock in a low rate when you are young rather than wait too long and end up paying higher premiums.

It can also depend on your family's and/or loved ones financial circumstances. If you have a dependant who relies on your income, then life insurance can protect them in your absence. Similarly, if you have a mortgage or any other debts, the policy can help protect them.

For more information, please read: When is the right time to buy life insurance?

How much life insurance cover should I buy?

No matter what your situation is, understand that life insurance is not a one-size-fits-all product. It's essential to shop around and compare different policies to make sure you get the right cover at the best price for your needs.Once you understand your needs, you can then work out the appropriate amount of cover. 

Still unsure about how much cover you need? Please read: How much life insurance cover do I need?

When selecting a policy, consider factors such as:

 

•   The type of policy

 •   The amount of cover

•   Length of the policy

•   Financial obligations that will need to be met upon your death

•   Cost of living in your area

•   Whether you want to leave a legacy for your children/dependants

Unsure on how much cover you need?

How to save money on life insurance

When shopping for life insurance, many people focus on finding the cheapest policy possible. While cost is a key factor to consider, you also need to make sure that the policy still meets your needs.

There are several steps you can take to get the best deal on life insurance:

1

Buy life insurance when you’re younger and healthier as this may lower your premiums.

 

2

Shop around and compare different policies to make sure you get the best deal.

 

3

Quit smoking before you apply – customers who have been non-smokers for 12 months before the start of the policy will be offered cheaper premiums.

 

4

Opt for term life cover if you want a cheaper policy for a shorter term.

 

Another way to save money is to buy the right amount of cover for your needs. You’ll want to ensure that the policy covers your expenses and any debts you may have. But if you purchase too much cover, you could pay more than needed, leading to unnecessary costs.

Apply for life insurance with Cavendish Online

At Cavendish Online, we strive to provide quality products from leading insurers while offering our lowest possible premiums.

We aim to make buying life cover as easy as possible. With three different routes to choose from, you can find the option that suits you best.

Route 1: Quote & apply online

If you know exactly what you need and are in good health, this route is for you. By quoting and applying online, you make all the decisions and could be covered within just 30 minutes.

QUOTE & APPLY ONLINE

Route 2: Quote & apply with guidance

Ideal if you need help choosing the best policy and are in good health or have minor health issues. 

Our advisers can guide you through your quote, ensuring you make the right choice. With their guidance, you could be covered within 30 minutes. Give us a call or request a callback and we'll be happy to assist you.

Call us on 01329 248 735  

 

(Monday - Friday 10 am - 6.30pm)

Route 3: Request a callback for advice

For those with medical disclosures or hazardous occupations, we recommend this route. Our advisers can help you find the most suitable and affordable policy that meets your needs.

Whether you currently have or previously had a medical condition, well-managed or not, we can assist you in finding the right life insurance policy. Give us a call or request a callback to get started.

Call us on 01329 248 735  

 

(Monday - Friday 10 am - 6.30pm)

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