We offer a range of postal services to send, collect and return items, including regular sender services.
We provide a range essential financial services, from savings, borrowing to money transfers.
Plan your getaway with travel essentials including travel money, insurance and documents.
Protect what’s most important to you from your mobile phone to the future of your family.
Apply for passports, licences and permits, get documents certified, your identity verified.
We offer a range of other useful products and services.
For further information about the Horizon IT Scandal, please visit our corporate website
Level term life cover can help provide for your loved ones or pay off an interest-only mortgage after your death. We’ve compared its benefits with other types of term life policy.
Level term life insurance provides your loved ones with a fixed lump sum if you die within the policy term.
Knowing they’ll get a specific amount can help you all plan for a time when you're no longer around. And they can use the money to pay off debts, an interest-only mortgage, maintain their lifestyles or gift to the next generation.
There are a few reasons you might choose level term over decreasing or increasing term policies.
If you want the peace of mind of knowing you’ve provided for your loved ones or to contribute to their financial security after your death, it may make things feel more secure.
If you’ve a large estate and you know your loved ones can expect a sizeable bill, you might help them meet this obligation without reaching into their personal coffers.
People also take out level term insurance to prevent disruption to their loved ones’ lives should the policyholder die.
For example, if you’ve a child who’s recently enrolled in a fee-paying school, level cover may ensure they can stay in their preferred environment. Level term may be more appropriate than increasing term cover because the time your child is in school won’t be significantly impacted by the effects of inflation.
When choosing life insurance, it's most important to consider what you'd want the payout to go towards.
If you have an interest-only mortgage, the payout from a level term policy can help those you leave behind pay it off.
If you just want to leave loved ones a legacy, level and increasing term life insurance may suit you. Consider increasing term cover if you want your policy to last a long time and adjust with inflation.
If you have personal debts, you may want to consider decreasing term life insurance. This is more specifically designed to repay ongoing financial commitments.
However, your beneficiaries can use your level term payout to clear your outstanding debts. With level cover from Post Office, if you keep paying your premiums and your policy remains valid, you can choose to leave your loved ones as much as £750,000, depending on age.
Here's a quick summary of how the level term cover option works on Post Office Life Insurance.
Yes (for an additional cost)
About critical illness and children’s cover
Level term cover offers a fixed sum which doesn’t adjust for inflation. This means that its value when it’s paid may be less than its value when it was purchased.
If you think of the value of the property market as an example, £500,000 was worth considerably more a decade ago than it is today. If the policy covers a short period of time, the difference will be minor. But life insurance policies are typically designed for longer periods, so the total value of coverage may be worth less in 30 or 40 years compared with the same amount today.
It’s important to note payouts from level term life cover may be subject to inheritance tax. This is something to consider when deciding how much cover you need.
Post Office offers three types of term life insurance. As well as level term cover, we can provide decreasing and increasing term cover too.
If you have a repayment mortgage, decreasing term cover may suit you better. It maintains the same value as your mortgage while you pay it off. Your payout decreases in value as your mortgage gets smaller. And it gives peace of mind that, if you die while repaying your provider, your outstanding debt won’t fall to your loved ones. The cap on mortgage interest rates insurers cover can differ by provider. Always ensure it’s in line with your mortgage. If your mortgage interest rate is 8% or less, Post Office Life Insurance decreasing option may be right for you.
Increasing term cover considers the rising cost of living (inflation), so the payout value increases over time. Your premium payments also increase. They’re often higher than for level and decreasing cover (for the same individual). You might want to consider this type of policy if you want your payout to retain its same real-terms value.
With some insurers, level and increasing term life insurance policies can be put into trust. This means, in certain circumstances, they no longer constitute part of your estate. The proceeds from the policy can be paid directly to the beneficiaries rather than your estate so won’t be considered when inheritance tax is calculated. Estate and tax planning can be complicated, so it’s important to seek advice from an independent financial advisor or solicitor to discuss your particular circumstances.
It’s quick and easy to get a quote for Post Office Life Insurance online.
Monday to Friday: 9am - 8pm
Saturday: 9am - 5pm
Closed on Sundays and bank holidays
Choose between level, decreasing or increasing term insurance, each designed to offer you peace of mind based on your circumstances.
If you're aged between 50 and 80, we could help you leave a cash sum for your family or towards your funeral costs.
To make a claim, find answers to common questions, access bereavement and wellbeing support or contact us for something else:
Visit our Life Cover support page
Our guide takes you through what to expect from life insurance, from the ...
Life insurance can help your family financially if the worst should happen. ...
Every family is different, but they can play a big part in our lives. It’s ...
A few milestone birthdays can remind us of the need for life insurance to ...
Life shouldn't stop for your loved ones if the unexpected happens to you. Let's ...
We insure our cars against theft and damage, and our homes in case anything ...
Loads of factors will affect the average life insurance cost, from lifestyle ...
There are big differences between life insurance and life assurance. We want ...
As you approach the latter parts of your life, you may start thinking about ...
If you’re soon to reach 65, then you may be planning for your retirement. This ...
If you rely on death in service cover alone, you may be putting your family at ...
You might be a new mum, single mum, stay-at-home mum, working mum or the sole ...
Working for yourself can come with financial challenges. That's why it's worth ...
If you want to leave your loved ones financial protection for your home, even ...
It seems there are certain events in people’s life that prompt them to buy life ...
All you need to know about life insurance in plain English.
For many people, life insurance is an extremely important financial product - ...
Life insurance can help your family financially if the worst should happen, ...
*0330 & 0345: Calls to 03 numbers will cost no more than calling a standard UK number starting with 01 or 02 from your fixed line or mobile and may be included in your call package. Calls may be monitored or recorded for training and compliance purposes.
^ Your cash sum is dependent on your age, smoker status, length and type of cover and your personal circumstances at the time you apply.
Post Office Life Insurance offers up to £750,000 cover, depending on your age, for customers who are UK residents aged 18-70 at the start of the policy. The minimum term is 5 years and cover must end before your 90th birthday.
We won’t pay a claim on death if it was as a result of suicide or intentional self-inflicted injury within 12 months of the start date of your policy.
Critical Illness Cover can pay an extra cash sum if you’re diagnosed, during the term of your policy, with one of the four critical illnesses covered that meets our definition.
We won’t pay a claim on terminal illness if you don’t meet our definition of terminal illness; or terminal illness is caused by intentional self-inflicted injury within 12 months of the start date of your policy. The full definition of terminal illness can be found in the terms and conditions.
We won’t pay a claim if you don’t keep your payments up to date as you will no longer be covered under the policy. If you don’t tell us something or give us incorrect answers to our application questions that affects your cover, we may reduce the amount we pay for a claim or at worst cancel your cover and not refund your monthly payments. If you’re a UK resident aged between 18 and 70, you can apply for cover. Please see terms and conditions for further details about the restrictions that apply.
Post Office Life Insurance is underwritten and administered by Scottish Friendly Assurance Society Limited. Neilson Financial Services Limited assist in the administration.