Life assurance Quote UK
where the money goes when you buy a life insurance policy.
The life assurance quote UK clients get actually splits up into several pieces of pie for different people: the life office, the broker, your account management costs, the cost of entry into units on the market, and discountable commission. Understanding that lot will make buying a policy much easier.
To get the best life assurance quote UK consumers need to know what happens to the money they put into their savings pot (this applies to whole of life policies- not to term assurance). A whole of life policy is a long-term investment, and you will pay in monthly premiums for what is, we all hope, a long and prosperous life. The life office hopes so too- they’ve taken a gamble on your longevity; so the longer you live and contribute, the better. The money in your savings pot goes in the main to the investment funds which (in an ideal world) power up your contribution by wise investment in the stockmarket. Some also goes to the life office, in profits. And finally, a not insignificant amount goes to the broker who set you up with the policy, as commission.
The big trend in life sales today is discounting. This is where the broker shares some of that commission back with you, which can result in a cheaper policy! So, to get the best life assurance quote UK buyers need to try several brokers, because depending on the rate of discount, even the same product will vary in price from broker to broker. By the way, term assurance is far less complicated- it’s a product that’s often sold directly, and in many cases a quick online search will find you the best price.
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