A simples guide

Life Insurance for Families

Life insurance is an important part of protecting your family’s finances for the future. It’s a selfless thing and ensures your loved ones are looked after should the worst happen to you.


However sometimes the hurdle of understanding the different types of cover and payments can be confusing and put people off protecting themselves. So we’ve done the hard bit for you by pulling together all the information you need about family life insurance in this helpful guide. Let’s get started…

What is family life insurance?

Family life insurance is just another way of describing normal life insurance. There’s not actually a dedicated family life insurance policy per se, because normal life insurance will cover families.  Life insurance policies are designed to pay out a lump sum to your family or beneficiary in the event of your passing, providing your family with financial protection during a difficult time.

There is however joint life insurance, which is designed for couples, meaning that a pay-out would occur in the event of either partner passing. This can be a cheaper solution than having two individual life insurance policies, but take into consideration that this only covers one of you. Should your partner pass and a pay-out be taken, the policy is then cancelled so your dependants will not then be eligible for another pay-out when you pass.

Why do I need life insurance?

Whether you are a new parent with a brand new baby or if your children are starting to grow up and go  to school, you’ll have their best interests at heart and want to protect their future if the worst was to happen to you. With life insurance there are various ways that you can make sure they’re looked after though pay-outs such as:

  • Clearing a mortgage and any other outstanding debts.
  • Covering day-to-day expenses that your family might currently rely on your salary to pay.
  • Leaving a sum of money behind to help reduce financial worry.

What types of life insurance are available?

There are a variety of different life insurance policies each with different features that suit people in different circumstance  It is important to make sure that you understand the various options available to you. Life insurance is an important investment for your family’s financial security, therefore you should put some thought into what you might need to protect your family.

Term life insurance: This type of policy pays out in the event of your death within a specific agreed time period. This can be useful if you’re looking to covering expenses whilst your children remain young, but perhaps minimising the cost by having the policy expire when they’re a little older.

When taking a term life insurance policy, one concern you might have is that you then have to apply for a new policy when it finishes. Your higher age and any medical conditions that may have evolved since you first took out a policy, could mean that your premiums are higher when you need a new policy. But at the same time you could then consider an over 50s Life insurance policy. In some circumstances you might be able to extend your existing policy but that will depends on your insurer.

Decreasing term insurance: The most affordable life insurance premium is likely to be decreasing term insurance; this is often referred to as mortgage life insurance as the lump sum paid out decreases over time in line with (but not linked too) your outstanding mortgage balance. As the amount paid out decreases over time the monthly premiums are often lower than that of a policy where the claim pay-out doesn’t decrease.

Deceasing term insurance would pay out if you passed away, which would allow your loved ones to cover the mortgage and potentially clear outstanding debts that you might leave behind.

heart in head

How much can I expect to pay for family life insurance?

The premium you’re shown on our site can come down to a range of variables about yourself including, your age, smoking history and the level of cover that you’re looking to acquire.

The best way to get an idea for how much you could expect to pay is by doing a quick comparison and telling us everything we need to know about you and the level of cover you’ll need. We’ll give you a quick indication to what the cost of the insurance might be for you. All you need to do is compare the various options and policy details to find one that is right for you.

If you have a pre-existing medical condition, you will still be able to get life insurance cover, but the monthly premiums could increase due any higher risk associated with the condition. If you do feel as though you need any more help we have a friendly team at LifeSearch (our specialist partners in life insurance) who are on hand to provide any help and advice you need.      

0800 197 8912                                                                                                                                     

Mon-Fri: 8am - 8pm Sat: 9am - 2:30pm

What else do I need to take into account when looking for family life insurance?

There are a lot of other factors to consider about life insurance not just the amount of cover you want and how long for.  One of the most important is Critical Illness Cover:

You can have this included within your life cover or separately. Critical illness means you receive a lump sum pay-out in the event that you are diagnosed with a serious health condition such as cancer. Take into account however; claiming critical illness combined with life insurance means your family might not get a second pay-out again in the event of your passing.

Where can I get the best deal on family life insurance?

You can search for deals available at a level of cover that best suits you by using our family life insurance comparison service.  We’ll show you the policies available to you, so you can find the cover that’s right for you and your family.

Compare life insurance

Get a life insurance quote and start saving now

Get a quote