We understand that everyone has different needs, which is why we offer two Policy types – age based and level.
Both our Policy types are flexible. Whether you choose an age based or level Policy, you’ll be able to make changes at any time, as your circumstances change - without any admin fees.
With an age based Policy, your premium is based on your age. The premium is recalculated each year at your Policy anniversary; gradually increasing in line with your age. With an age based Policy, your monthly premium will start lower compared to its equivalent on a level Policy type, so this may appeal to you if you’re on a tight budget during the early years of holding the Policy. Plus, with an aged based Policy, you can keep it for the rest of your life (whole of life) rather than deciding on a fixed term.
The age based Policy also features a 5% automatic annual increase to your chosen cash sum for your Life Insurance and any optional covers you have. This increase is automatic so you don’t have to answer any more health and lifestyle questions. It’s added to your Policy on your policy anniversary each year, for 10 consecutive years from the Policy start date.
Example: If you have chosen a £100,000 cash sum at the start of the Policy, the next year you will be covered for £105,000. At the end of 10 years, as long as you don’t opt out of the increase, your cash sum would be £150,000.
The cash sum increase is a great way of increasing your cash sum gradually over the years, for example, as your family or mortgage grows. You can opt out of the 5% increase if you prefer, so your cash sum will stay the same. If you change your mind, you can always opt back into it during the first 10 years of holding your Policy; whatever suits you best.
The level Policy may appeal to you if you want certainty, knowing that your increasing age won’t affect your monthly premium – it will stay the same each month. With the level Policy, you have the choice of a fixed term from 10 to 40 years. Once you have been covered for the length of the term you choose, your Policy will end.
The 5% automatic cash sum increase is not available on a level Policy, so your chosen cash sum will stay the same. It’s important to note that as your chosen cash sum will not increase, it may not keep up with inflation.
With an age based Policy, the premium is based on the age of the eldest life insured. That could be you, or if you take out a Family Plan, it could be your partner. The premium is recalculated each year at your Policy anniversary; gradually increasing in line with the eldest person getting older. Once that person reaches age 80, there won’t be any more age based increases to the premium. After the eldest person insured reaches 90, you won’t pay any more but you’ll still be covered! With an age based Policy, your monthly premium will start lower compared to its equivalent on a level Policy type, so this might appeal to you if you’re on a tight budget during the early years of holding the Policy.
The age based Policy features a 5% automatic annual increase to your chosen cash sum for your Guaranteed Life Insurance and any optional cover you have. It’s added automatically to your Policy each year, for 10 consecutive years or until the eldest person insured reaches age 74, whichever is sooner.
Example: If you have chosen a £2,000 cash sum, the next year you’ll be covered for £2,100. At the end of 10 years, as long as you don’t opt out of the increase, your cash sum would be £3,000.
If you’re planning to leave your cash sum to pay for funeral expenses, this gradual increase in your cover could help protect from the effects of funeral cost inflation. If you want to opt out of the automatic increase, just let us know. You can still opt back into it during the first 10 years; whatever suits you best.
The level Policy may appeal if you want certainty, knowing that your monthly premium won’t be affected by your increasing age – it will stay the same each year unless you ask us to make changes to your Policy. You’ll be covered for the whole of your life and after the eldest person insured reaches age 90, you won’t have to pay anymore, but you’ll still be covered.
The 5% automatic cash sum increase is not available on a level Policy, so your chosen cash sum will stay the same. With the level premium option, it’s important to note that the value of your chosen cash sum might not keep up with inflation.
Sorted Personal Accident Insurance is flexible, so you can make changes to it at anytime. For example, if you want to include financially dependent children in the future, you can add them, or perhaps you want to increase or decrease your cash sum – that’s fine too.
The Policy features a 5% automatic annual increase to your cash sum for your Personal Accident Insurance and any optional cover you have. It’s automatically added to your Policy on your Policy anniversary each year, for the next 10 years.
Example: If you’ve chosen a £100,000 cash sum, the next year you’ll be covered for £105,000. At the end of 10 years, as long as you don’t opt out of the automatic increase, your cash sum would be £150,000.
The cash sum increase is a great way of increasing your cover gradually over the years, for example, as your family grows. If you want to opt out of the automatic cash sum increase, just let us know. If you change your mind, you can always opt back into it within the 10 years; whatever suits you best.