Term life insurance limits could be increased

There are growing calls for life insurance companies to extend the maximum age of customers to which they offer term life insurance. With customers now living longer and longer, there are growing calls for term life insurance to be offered for longer, with less risk for insurance companies as more people live through their 60s, and well into their 70s, 80s and 90s.

Another reason for the call is the growing price of housing, and the length of mortgages customers are having to take out to afford their homes. With more and more customers now having mortgages which will run into their 60s and 70s, customers are looking for insurance products that will cover them for their term of their policy, and are hitting a wall with term life insurance.

Whole life insurance is around eight times more expensive, but is increasingly become customers only option if they want to cover themselves with life insurance for the whole term of their mortgage. With some mortgage providers also insisting that customers hold life insurance for the term of their mortgage, customers who cannot afford whole life insurance are having to look at more expensive mortgage options.

Comments are closed.