Many UK Adults Overestimate The Cost of Life Insurance.

According to a survey from L&G, respondents believe that life insurance typically costs around £79.50 per month. In reality, the average Legal & General policy was £27.95 in 2024, meaning that people are overestimating the cost of cover by an average of 184%. This highlights the misunderstanding around the true price of insurance and how affordable protection can be.

Misconceptions About Cost

The survey revealed that the biggest barrier to insurance was the cost, with 27% of adults believing that life insurance is too expensive. But the findings suggests that many people are basing important financial decisions on inaccurate assumptions, potentially leaving their loved ones exposed. If more adults understood the true cost of protection, they might feel confident enough to take out life cover, safeguarding their family, home, or other financial responsibilities.

Attitudes Across Different Age Groups

The research also highlighted differing opinions across age groups and regions:

• 45 to 54-year-olds in Brighton were most concerned about the price.
• 18 to 24-year-olds also saw the cost as a barrier, even though this group is highly engaged with their finances, reviewing them on average 35 times a year.
• Motivation and timing are challenges too: 24% of younger adults said they don’t plan to take out life cover, while 13% admitted they simply haven’t had the time to look into it.

Don’t Wait For Big Milestones

Previous research from L&G found that many adults are waiting to reach key milestones before taking out products such as life insurance. However, with people getting married and buying houses later in life, many could be delaying having important conversations about financial security. Life insurance is not just applicable to those who have experienced a major life event. If you rent a property, have you considered how others in your household would keep up with payments if you were no longer around? Or if you have other dependents who rely on you financially, taking out cover sooner rather than later can make a real difference.

Take Action

Securing life insurance provides a long-term peace of mind that your loved ones will be financially supported if the unexpected happens. For younger adults getting protection now could result in cheaper premiums in the long run, as it is generally more expensive to take out a policy when you’re older. We can help you find a life insurance policy that fits your budget, aligns with your financial goals and protects the people who matter most.

Get in Touch

Source:

https://protectionreporter.co.uk/uk-adults-overestimate-life-insurance-costs-by-184.html

As with all insurance policies, conditions and exclusions will apply. Your home may be repossessed if you do not keep up repayments on your mortgage