There are no ‘one size fits all’ life cover policies so it is important that people who are thinking of taking one out first identify what they need from a policy before they begin looking at life insurance quotes. When thinking about potential life cover policies special thought should be given to a number of key areas.
Term of the life cover - The most common form of life insurance is term assurance, whereby the cover is fixed for a period of time. It is however possible for a person to take out a life cover policy that will be in effect for the rest of their life (whole of life) but these are expensive and only a limited number of providers provide cover on this basis.
The nature of the cover - Life cover polices will also vary in whether or not the cover will stay at a fixed point or will change. Level term assurance policies will guarantee that a person will have the same amount of cover for the lifespan of the policy. Increasing term assurance will mean the level of cover (sum assured) will rise at regular intervals while decreasing term assurance will have the opposite effect - and are usually linked to a decreasing financial liability e.g. a repayment mortgage.
The amount of cover required - The amount of life cover required will be dependent on factors such as size of a family, the age of any children, the extent of any outstanding debts etc
In considering the above if you are unclear of your requirements you should seek advice.