Direct Line Life Insurance

Updated: Every six months. Details correct at the time of publication - October, 2008.

Direct Line has grown from humble beginnings focusing purely on car insurance to become an industry leader with more than five million customers across the UK and Europe. The famous red telephone is now symbolic of one of the leading UK life insurance companies, with a number of different life insurance policies on offer, including mortgage life insurance, fixed-term life cover (also known as ‘Direct Line life assurance’ or ‘Direct Line term assurance’) and critical illness cover.

According to the Direct Line life insurance website, cover starts from 20p a day dependent on your age and personal situation – you can be covered with Direct Line life insurance from the ages of 17-70, with the maximum age to start a policy being 65 on your next birthday.

Its fixed-term life insurance cover is a protection policy designed to ensure that a specified cash sum is paid out if a death occurs within the policy term. The amount of cover remains constant throughout. By contrast, Direct Line’s mortgage life insurance policy pays out a lump sum that should be sufficient to repay the loan in the event of a death but the level of cover reduces each year in line with the outstanding balance. The minimum term for a Direct Line life insurance policy is five years and the maximum sum assured is £2million.

Direct Line also offers over 50s life cover with guaranteed acceptance if you are aged 50-75. It covers you for life with no premiums to pay once you reach 90. You can also take out life insurance with critical illness cover to protect you if you are diagnosed with a critical illness that matches the policy definition.