Life insurance for women: Cover tailored to your age and needs
Key takeaways:
- The same life insurance policies are available to both men and women.
- There are different types of life insurance policy, but it's important to consider how each policy might suit your personal circumstances and lifestyle.
- Women generally pay less than men for life insurance, but both can benefit from lower premiums by buying a policy early.
What should women consider before buying life insurance?
Buying life insurance is an important consideration, especially if you have anyone that relies on you financially.
Major life events, such as buying a house or having children, can prompt many to consider life insurance or make changes to existing policies. However, increasing your cover to leave behind money for loved ones can raise your premiums as a result.
The common types of life insurance include:
| Term life insurance | Whole-of-life insurance |
|---|---|
| Can get either level-term or decreasing-term | Also known as life assurance |
| Offers cover for a set period (the policy 'term') | Provides a payout when you die, as long as you've kept up with monthly payments |
| Generally used to cover large financial responsibilities, such as a mortgage | Useful if you want to leave behind a financial gift, or cover smaller costs like a funeral |
Critical illness cover is a standalone policy, but you can also add it to an existing life insurance policy – for an additional cost. It'll pay out a lump sum if you're diagnosed with a critical illness covered by the policy, but it can also help with:
- Financial support if you're unable to work
- Any adaptations you need to make to your home
- Private healthcare
- Covering the cost of carers if required
Whatever you decide, you can compare life insurance quotes to find the best policy for you with Uswitch.
Is life insurance cheaper for women?
Women's policies can sometimes be cheaper due to generally longer life expectancy. With that said, life insurance premiums are based on your risk to insurers. Costs are calculated by assessing a range of factors, including:
- Your sum assured - The more cover you want, the more your policy is likely to cost.
- Your age when taking out a policy - The older you are, the more of a risk insurers see you as. This means that life insurance generally gets more expensive as you get older.
- Your financial responsibilities (including mortgages and debts) - If you've got a large mortgage or other debts to cover, you'll typically pay more.
- Your medical history - Insurers base premiums on risk. If you've got any pre-existing medical conditions, pregnancy-related medical history or a family history of conditions such as breast or ovarian cancer, you'll often see higher monthly costs.
- Your lifestyle (including smoker status) - Anything that increases your risk, like smoking or certain professions, can increase how much you pay.
- Your policy type and length - Term life insurance is often cheaper than whole-of-life insurance because the payout amount decreases over time.
How does pregnancy affect life insurance applications?
If you're buying life insurance while pregnant, you'll need to declare your pregnancy during the application. Pregnancy alone shouldn't affect your potential premiums, but you will also have to declare any medical conditions that are related to your pregnancy. For example, gestational diabetes and high blood pressure are two common types of health issues experienced during pregnancy.
Will pregnancy affect existing life insurance policies?
You don't need to inform your insurer if you become pregnant, so it shouldn't impact your existing life insurance.
However, you might want to adjust your cover levels. For example, you may want to increase your cover to include enough financial protection to provide care for your child until they turn 18, or 21. This could cover things like childcare costs or university fees.
Having children can pave the way for a change in circumstances, and some may not return to a full-time role. This can affect household income and is sometimes overlooked when assessing life insurance options, so it's worth bearing in mind when deciding upon a policy.
Life insurance for women as you get older
As you get older, your financial responsibilities may change significantly. This could mean considering commitments such as a mortgage, children, and looking after elderly family members when deciding a cover amount.
If you're thinking of aligning your financial responsibilities with life insurance, a decreasing term policy could be one option. This type of policy tends to be the cheapest life insurance option and can help to cover large debts like mortgages or loans. Crucially, the payout amount will decrease over time in line with reducing debts.
Premiums for life insurance generally increase as you get older as your risk to insurers increases, but life insurance policies can still be affordable – especially for non-smokers.
Over 50s life insurance
When looking for over 50s life insurance, it's worth mentioning guaranteed acceptance policies. This type of cover is targeted specifically to those over the age of 50 searching for a hassle-free policy without full medical underwriting.
Simply falling within the age criteria can guarantee acceptance, with cover lasting for the rest of your life. In addition, your premiums will be fixed throughout the policy, but your eventual payout may be modest in comparison to other policies.
Considerations for women over 60
If you're over 60, your life insurance priorities might shift towards inheritance tax (IHT) planning and covering funeral costs. A guaranteed acceptance life insurance policy might be worth considering if you'd prefer fixed premiums and certainty around your potential payout.
However, if you'd prefer an increased payout, a whole of life insurance policy could be more suitable. These usually cost more than term policies. Whatever you decide, it's always worth checking over any pensions or death-in-service policies you may have that offer similar benefits.
How can women find cheaper life insurance policies?
The best life insurance policy for women is one that aligns your key preferences with your own personal circumstances. Because of this, insurers don't tend to offer a one-size-fits-all life insurance policy. Instead, a number of factors are used to determine your premium, so it's worth considering:
- Your policy preferences: The type of life insurance policy you opt for, your length of cover and the amount of cover you choose all impact the cost of your premiums. This is why it's essential to reflect on what you need life insurance for and what you'd like to cover. Scaling back on life insurance cover you may not need can help reduce what you pay.
- Your medical history: Some life insurance policies may require you to complete a medical questionnaire before receiving a quote, this includes your family medical history. If there's a history of breast or ovarian cancer in your family or you have any long-term complications following pregnancy or child-birth, you'll need to declare these. Your smoking status is also taken into consideration, as smokers tend to pay more compared to non-smokers due to the risks involved. Not smoking and maintaining a healthy lifestyle can help you save in terms of life insurance costs.
- Your personal circumstances: Buying life insurance tends to cost more as you get older due to the increased risk of health issues or dying during the policy term. It's also worth bearing in mind that having a dangerous job or hobby may also increase what you pay.
To ensure you're getting the best deal for the policy you need, you can compare life insurance quotes through Uswitch. You'll be able to compare policies between a range of leading providers and assess a variety of options, including single and joint life insurance. This can help you decide which policy works best for you, especially in terms of family planning.
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