Monthly premiums for life insurance with critical illness cover are down across the board for all age groups compared to pre-pandemic levels, according to new research by MoneySuperMarket.
The research, which is based on millions of enquiries generated through MoneySuperMarket’s site, suggests that while prices are rising in a range of other household bill areas, life insurance appears to be going against the trend.
While premiums generally increase with age, those aged between 60 and 64 have seen the biggest falls, with monthly premiums down 36.22% on pre-pandemic levels. They are followed by those aged 55 to 59 who saw their premiums decrease by 22.46% and those aged 44 to 44 who saw their premiums decrease by 16.93%. 18- to 19-year-olds saw the next biggest fall, with premiums down on 19.48% on 2019 levels.
The Northern Irish have the cheapest average monthly premiums for life insurance with critical illness cover (£59.07) followed by those in the North East (£61.09) and those in Wales (£63.41).
At the other end of the scale, Londoners have the most expensive average premiums, paying £95.67.
The story is almost identical for policies that are solely life insurance, with the Northern Irish paying the lowest monthly premiums (£22.27), followed by residents of the North East (£23.28) and Wales (£24.37). Londoners pay the most on average (£35.20).
Neal Cross, life insurance spokesperson at MoneySuperMarket, said: “The cost of living crisis is impacting most household bills. However, life insurance with critical illness cover appears to be falling across the board on pre-pandemic levels.
“Whatever the cause, it’s no surprise that rural areas like Northern Ireland, the North East and Wales have the cheapest average monthly premiums while metropolitan areas like London typically pay more. This is often because property prices and salaries are higher in metropolitan areas, so people tend to have a greater need for life insurance.
“Life insurance can cover your outgoings such as bills, mortgages, even school fees, should the worst ever happen. With premiums at such competitive levels, now is a good time to consider taking it out, particularly if you’re a young adult with dependents and financial obligations. Premiums tend to increase the older you get, so the sooner you start, the less you’ll pay over the long run.
“Contrary to popular belief, life insurance can also be very affordable, with policies on MoneySuperMarket starting from as little as £4.74.”