Your life assurance comparison checklist – the big five ways to save January 19, 2010
Posted by admin in : Buying Life Cover , add a comment1. Know what you need
Only when you know exactly what type, amount and duration of life assurance you need can you compare like with like and accurately reveal the bargains. If you’re still not sure what’s right for you, consult an independent financial or insurance adviser at www.unbiased.co.uk*. If you’ve got a good idea about the level of risk and what type and amount of cover should adequately protect it, then you’re less likely to buy too little or too much.
2. Reduce your risk
Make yourself an easy risk and you’ll be rewarded with low premiums. Stop smoking, reduce your alcohol consumption and lose any excess weight to see your premiums tumble. Don’t buy more cover than you need and consider a policy benefit that pays an income (Family Income Benefit) rather than a lump sum if appropriate to the risk you’re covering.
3. Shop around
The biggest potential savings come from compare life assurance policies from as much of the market as possible. Use price comparison sites and brokers that can instantly compare policies and premiums from multiple insurers. Create a shortlist of the cheapest insurers from your comparison research and ensure that these policies are suitable for your needs. Check the cover options and flexibility so that your policy can be altered to meet your changing needs.
4. Try a discount life insurance broker
A discount life insurance service will sacrifice some of the commission paid by insurance companies to reduce the premiums they quote. The savings can be substantial but some brokers offer bigger discounts than others for exactly the same policies so compare these too.
5. Make sure it still fits
The life cover you buy today could be totally inadequate or a waste of money tomorrow. A lot can happen in five or ten years. That’s why it’s vital to review your life assurance need every year to ensure all risks are covered and that you aren’t under or over insured. Again, this highlights the importance of choosing a policy and insurer that allows some flexibility to change your cover.
*Neither Life Saver or Mint Financial Services are responsible for the content of these third-party websites.
How to compare life assurance premiums after stopping smoking September 26, 2009
Posted by admin in : Life Insurance Tips , add a commentIf you’ve recently stopped smoking, well done.
Apart from the obvious health benefits you’ll be enjoying, if you’ve got a life or critical illness insurance policy you could also be paying substantially less for your cover as premiums non smokers can be up to 60% less than for smokers.
How to pay less as a non-smoker
Most insurers will recalculate your premium once you have been free of tobacco products for at least 12 months but, some insurers may require you to have been a non-smoker for two years or more.
So, once you have stopped smoking for 12 months, the first step is to compare life assurance providers and arm yourself with quotes from other insurers for a new policy with the same or better cover benefits where the non-smoker premium basis is classed as ‘not smoked in the last 12 months’. If you have an eventful medical history then you may be better to use a broker who can match your circumstances to the most appropriate policies.
Following this, contact your current insurer and inform them of your new non-smoker status. Ask them for a premium reduction and compare what they offer with the quotes you have already received. If your current insurer’s reduced premium isn’t competitive, use the market to your advantage and ask them to match the best quote you’ve had from other providers.
