16/08/2023
Millions protect their pets, cars, phones, houses but not their income โฆ which of course pays for all of the above! Protecting your income is vital to ensure future financial security ๐โ
๐๐จ๐ฐ ๐๐จ๐๐ฌ ๐๐ ๐ ๐๐๐๐๐๐ญ ๐ฒ๐จ๐ฎ๐ซ ๐ฅ๐ข๐๐ ๐ข๐ง๐ฌ๐ฎ๐ซ๐๐ง๐๐?
Age is a key factor in determining cost when you take out life insurance.
Generally, the younger you are when you purchase a policy, the less expensive your regular premiums will be, because younger people are statistically less likely to die than older people, so the risk to the insurer is lower.
Assessing the risks
Insurers consider how likely it is that they will have to pay out a claim if you were to die during the term of the policy.
As you age, the cost of new life insurance cover generally increases because the likelihood of death increases. This is especially true for people who have developed health issues or who engage in risky behaviours such as extreme sports or smoking.
For example, a 25-year-old non-smoker in good health is likely to pay significantly less for the same level and duration of cover than a 65-year-old smoker with a history of health problems. Insurers will also consider your age when determining the length of the policy term, with longer terms generally being available to younger people.
Many insurance companies offer a maximum term of around 40 years, but maximum age limits can vary.
Itโs not all about age
Your age is just one factor that will affect the cost. The insurance company will also consider your overall health, lifestyle,
occupation, family medical history and the length of policy you require.
Additional benefits
Many policies now have additional benefits that can affect your every day life, not just a policy that may run for many years until death. Examples are 24 hour digital GP access, fracture cover, access to mental health solutions.
If you'd like a review of your cover to see if these innovative additions could benefit you and your family, please don't hesitate to get in touch.
