Buying your life insurance online is the easiest and least expensive way to do it. Not only do you have access to hundreds of online insurance companies, but you can also check them out and get quotes online to find the best deal. But you have to know what you're looking for before you can compare quotes. Here are some tips on how to compare life insurance policies.
Fixed term life cover and mortgage life cover are the two types of life insurance that people buy most often.
Fixed term life insurance will pay out a lump sum over a set period of time if you die during the term of the policy. The amount of the cover stays the same during the term of the policy.
Mortgage life insurance is a policy that goes down every year by the same amount as your mortgage balance. It is also known as mortgage protection. As long as the initial amount and length of the mortgage are the same at the start, there will be enough money to pay off the mortgage if the insured person dies as long as the interest rate hasn't gone above 12% per year.
No matter what kind of protection you choose, there are some things that are the same with both.
If you are under 40, the least you can be insured for is GBP30,000. If you are over 40, the least you can be insured for is GBP20,000. Most of the time, the most you can be guaranteed is GBP2 million.
Both policies can be bought as single life or joint life, and there are no surrender terms. This means that if you don't die, you won't get any money back.
