The Average Life Insurance Cost UK

• Home
• Resources
• The Average Life Insurance Cost UK

Contents:

What's the average cost of life insurance per month?

What's the best life insurance policy?

What's the average life insurance payout?

When should you buy life insurance?

What determines the cost?

How much does it cost for a 35-year old?

Why does over 50s cover look so expensive?

Where to get the best life insurance policy

What is the average cost of life insurance per month?

When you are looking into buying something, especially if it is new to you and you are trying to get an idea of what it means, asking how much it costs is a very fair and reasonable question.

However, it can be especially frustrating when no one gives you a fair and reasonable answer.

Let’s do away with that problem from the outset of this article and provide the figure. How much does life insurance cost on average? It’s about £30 per month, but in many cases, it works out a lot cheaper than that.

Now, if you’ve been wondering and thinking about life insurance, you have a baseline, an average to work with. Only it means nothing. It’s true – that is the average life insurance cost in the UK, but it means nothing to you. Because you are not the average person.

What is the best life insurance policy in the UK?

Surely another very reasonable question? But of course, it isn’t. Just as you are not the average person likely to pay the average cost of life insurance per month for one person, there also isn’t a best life insurance policy in the UK.

There are, however, the best life insurance deals for you and your budget. We have those, of course, and we’ll help you choose from them.

What is the average life insurance payout in the UK?

The third of our reasonable questions! It should be a little less than £300,000. It isn’t, it’s a lot less (between £50,000 and £60,000) because too many people have the wrong level of life insurance!

In an ideal world, everyone would get the right advice and opt for a policy that pays out ten times their salary, and the average salary in the UK is £27,600 - so the average payout would be £276,000. Is that your salary, though?

At what age should you buy life insurance?

A fourth reasonable question? How about this answer - whatever age you are now! If you don’t have life insurance, then you need it, you can’t go back in time. And every day you delay is another day of risky financial insecurity for your family. The age you should buy life insurance is the age at which you learn about it, can afford it, and see the benefits in it. For you, that age is today.

Averages mean nothing – let’s talk about YOU

When our professional and experienced team give life insurance advice, they do so by talking to you. They want to know your specific circumstances – your lifestyle, your age, your medical situation. They need to know your financial responsibilities and the number of children who depend on you. Only then can they do their job and find a life insurance cost that is tailored only to you.

There are a lot of factors that go into calculating a life insurance premium:

• Your age – younger is cheaper, such is life! Don’t delay on applying because every day means a slightly more expensive deal.
• Your health – healthier is better, because healthier people live longer and that’s great for everyone concerned.
• Do you smoke? – smoking is such an impactful statistic on life insurance, it gets its own section here outside of health. If you’ve so much as snagged a quick puff in the pub over the last 12 months, then life insurance providers consider you a smoker. Do yourself a favour (both in terms of health and finances) and quit completely. If you do though, don’t lie about it!
• The type of cover – is your life insurance for the mortgage to be paid in full if you die? Looking to provide a lump sum to offset inheritance tax for your children? Just hoping to pay for your own funeral costs? The type of cover makes a huge difference.
• The length of cover – do you want a level term policy that provides a significant sum to provide for your children, then set it to run until your youngest is 21? Are you after something to secure the family home? Then it needs to continue until the mortgage is paid off in full. Or do you want cover for the whole of your life? The length of term is an important factor.
• Your income – If you earn £150,000 p.a. and your lifestyle means you are stretching each month to meet outgoings, then you need life insurance that’s going to provide more than a million pounds for your loved ones to keep living in the style they have become accustomed to. However, if you earn a more modest £25,000, then insurance for £250,000 is going to be more than adequate.

But how much does life insurance cost for a 35-year old?

For a healthy 35-year-old man, the costs are far lower than you’d expect. Assuming you are a non-smoker looking for £200,000 of level term cover over 25 years, the premium could be as low as £8.30 per month.

That’s a basic life insurance policy only – there’s no critical illness cover or income protection added on, but it’s little more than the price of a Netflix subscription!

At 45, that number does increase quite a bit to £18.15, but it remains within the very-affordable bracket.

Why does life insurance for over 50s look so expensive?

The variables can be quite complicated, and your medical history makes a huge impact. Specialist over 50s policies can be a solution as they don’t ask for any medical history and are guaranteed acceptance (meaning you definitely won’t be rejected), but by doing this, the premiums are significantly higher.

The difference between a level term policy taken out at the age of 60 when compared to an over 50s policy taken at the same time can be eye-opening. If you have managed to reach 60 without any pre-existing medical conditions, don’t smoke and aren’t into any extreme sports, then a premium of £70 a month would not be unlikely for £150,000 worth of cover that is on a fifteen year term, covering you until you are 75, but no older.

If you are looking to make sure the costs of your funeral don’t become someone else’s burden, it might be the best option for you.

It’s all in the details – getting life insurance with Quick Quote Protect

Here at Quick Quote Protect, we are specialists in all types of life insurance. We can help you work out a level of cover that really suits you, your budget and the purpose you need it for. We don’t compare your quote with other people, because other people aren’t relevant, but we do compare your quote across a huge panel of insurers to make sure you get the best deal possible – one that’s tailored to your life, your needs and is as optimal as can be!

Give us a call today or fill in our short contact form and let us get you the right answer to the question you’ve been trying to ask this whole time – how much is life insurance going to cost me?