Cheap term life insurance

The paradox in cost between term life cover and critical illness cover.

Today, cheap term life insurance probably means a basic term policy without critical illness cover. Term rates are at rock bottom, because we’re living longer. Yet critical illness cover rates are rising because more of us are surviving and requiring care to recuperate from major afflictions.

Almost all term cover is cheap term life insurance- rates for term cover have plummeted in the past five years due to increased competition and the simple fact that we’re living longer.

There’s an interesting paradox here for all types of life cover; namely that prices for basic policies are coming down because medical advances allow us to live longer- which means that there’s less chance of us dying during the term of a policy. However, if you choose to bolt on critical illness cover, these policies are starting to increase in price, because more and more of us are suffering diseases in our old age- often with the requirement for long term care and recuperation. So cheap term life insurance is rapidly starting to mean basic cover without the benefit of critical illness cover.

That said, the other essential part of obtaining cheap term life insurance is simply shopping around. We found that rates for a standard case (£100,000 of cover for a male, thirty years old, twenty year term level assurance, non-smoker) varied from a best-buy of £7.64 per month up to £17.97- more than double! You wouldn’t expect to browse a used car showroom, and see one car for £10,000 and the same on offer for over £23,000! And yet that’s how financial services can work- so be sure to shop around for the best deal!