Top Tips for Cutting the Cost of Your Policy

Cheap life insurance: Top tips for cutting the cost of your policy

Published: 30 September 2016 | Updated: 19 January 2021

Whether you're buying a policy for the first time or considering switching providers, securing cheap life insurance is always welcome. But how do you make sure you're getting a good price? To help you out, we've put together our top tips to making sure you get the best life insurance deals you can - without compromising on cover.

Calculate how much cover you need

Typically, the lower the sum of money you insure your life for, the lower the cost of your premiums. While you certainly don't want to under-insure yourself and risk leaving your family with insufficient funds, you also don't want to over-insure yourself and waste money on excessive premiums.

To find the best life insurance deals for your needs, you should start by calculating exactly how much cover your family will require. You can do this quickly and easily using our free life insurance cover calculator, which provides you with a guide to the amount of cover you may need based on factors like your annual income, number of dependants, and outstanding mortgage or debts.

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Life Insurance Cover Calculator

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Choose the right type of life insurance

There are lots of different types of life insurance, and the kind you pick will impact your premiums. Level term life insurance and mortgage protection life insurance are the two most common types - and the latter is generally cheaper than the former, as the amount of cover reduces over the term of the policy.

There are pros and cons to both types of life insurance, so be sure to consider your options carefully before purchasing a policy. However, if mortgage protection cover is sufficient for your needs, you will most likely save money by choosing this type of policy over another. 

Pick an appropriate term

A shorter-term policy will generally cost less than one with a longer term. While you certainly shouldn't take out a shorter term than you need just to save money, it's always advisable to consider what term would be sufficient to provide your family with financial security. For example, if your home will be paid off and children grown up within 20 years, you may decide a 30-year policy is not worth the extra money.

Consider a joint life insurance policy

A joint policy covering two individuals will usually be cheaper than two separate policies. Therefore, if you and your partner are both looking for cheap life insurance, taking out a joint policy may get you the best deal. Although a joint policy is likely to save you money it's important to remember there will only be one pay out if one partner were to die. For this reason, you should consider all the pros and cons before committing to a joint policy.

Take a policy out while you're young and healthy

Generally speaking, the younger and healthier you are, the more likely you are to find the best life insurance deals. This is because you represent a relatively low risk to the insurance provider (i.e. you are less likely to die within the term of a policy than someone who is older or in ill health). So, if you're looking for cheap life insurance, it's better to act sooner rather than later.

Live a healthy lifestyle

Unfortunately, none of us are getting any younger. However, if you're looking for cheaper life insurance deals, making some changes to your lifestyle, such as quitting smoking or losing excess weight, could help you to drive down premiums. To discover more about the factors insurance providers use to calculate policy costs, visit our 'How are life insurance costs calculated?' guide

Shop around

As a life insurance comparison site, our last tip won't come as a surprise, but it still bears repeating, shopping around for life insurance quotes is often the single most effective way to secure the best life insurance deals.

Fortunately, with Compare Cover, it's fast, easy and free to compare life insurance quotes. Simply enter your information, click a button, and we'll do all the hard work for you. Find your cheapest life insurance quotes today.


Get life quotes in just 4 minutes!

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