Customers need to review life cover before changes
Generally speaking, the younger you are when you take out life insurance, the cheaper the life insurance will be, but you shouldn’t always take that thought process to heart when you think about reviewing your life insurance.
Circumstance in life can change, and where two joint policies may have been most suitable in the past, one joint life insurance policy may now be the most suitable option. It’s also worth baring in mind that many people selling life insurance policies, particularly mortgage brokers are paid commission on the policies they sell, and they often receive more for selling two individual policies, when one joint policy may have been a better solution for the customer.
How do I review my policies?
One of the easiest ways to review your own life insurance policies is to pull out the paperwork and work out what you are covered for. You can wee if you are covered under individual policies, or as a joint policy, which will only pay out for the first person dying.
It’s then important to work out what would happen if each of you were to die, and if you were both to die at the same time. Would the mortgage be paid off? How much money would be left over to live off?
Some existing individual policies could see you covered twice for paying off a mortgage, but left with no money for the other surviving partner to live off, when a joint policy with twice as big a payout could cost the same amount of money, and leave the surviving party a lot more financially comfortable.
You can then log onto Life Insurance Quotes and compare the different life insurance policies offered by different life insurance providers, and work out if any of the policies work out cheaper than what you already have, particularly if you decide that the level of cover you have doesn’t make sense for your circumstances.