People are over-spending on life insurance according to a recent survey by Sainsbury's bank which found that Brits spend £2.2 billion on policies.
The supermarket bank found that almost half of life insurance policyholders never review their cover, or have not done so in the past five years and are missing out on massive savings, according to the bank.
Life insurance manager at Sainsbury's David Pickett, said: "Many people assume that a new policy will cost more because they’re older or their circumstances have changed, but with market premiums much lower than even five years ago, you could still switch and make a significant saving without reducing the level of cover.
"And as long as comparable cover with a new provider is in place before cancelling an existing contract, there is potentially a lot to gain."
Policyholders in London were most likely to have reviewed their cover, with only 36 per cent failing to review their cover, compared to 54 per cent in Wale and West England.
According to research by Yorkshire Building Society earlier this week, more than three-quarters of patients have failed to take out the appropriate level of life insurance to cover their earnings if they fall ill.
The building society found that nearly two-thirds of parents whose children are still dependant on them, only have life insurance to cover their mortgage parents.To read more about Life Insurance, click here.
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