Choose your cover
Decide how long you want the policy to last and the cash sum you’d like your loved ones to receive if you pass away during that period.
Level term life insurance
Compare level term life insurance.
Quotes from £7.19
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What is level term life insurance?
Level term life insurance provides a fixed amount of cover and a consistent payout throughout the policy term. The premium you pay also stays the same, so your payments won’t increase over time.
If you pass away at any point during the policy, your loved ones receive the same cash sum. This makes it a straightforward way to offer financial protection and peace of mind.
Many people choose level term cover to:
replace lost income
help with ongoing household costs
cover expenses such as mortgage repayments or school fees
How does level term life insurance work?
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Apply for cover
Complete an application, which includes personal and health details. You'll need to declare any medical conditions you have.
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Underwriting
The insurer reviews your information. They may ask extra medical questions or request a GP report to confirm your health status.
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Policy starts
Once approved, you’ll receive your policy documents confirming your cover amount, term length and monthly premium.
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Pay your premiums
You’ll pay the same fixed amount each month throughout the policy term, keeping costs predictable.
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Make a claim
If you pass away during the policy term, your beneficiaries notify the insurer to start the claims process.
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Payout
After the claim is approved, the insurer pays the agreed lump sum, usually within a few weeks.
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Policy ends
If you outlive your policy term, the policy simply ends. No money is paid out or refunded.
How much does level term life insurance cost?
How much is level term life insurance?
£23
.50^
51% of MoneySuperMarket customers pay this price or less for a level term policy.
What's the cheapest price I could pay?
£8^
10% of MoneySuperMarket customers pay this price or less for a level term policy.
What impacts the price of level term life insurance?
Your age
Your health
If you smoke
The risk level of your job and hobbies
Policy length and level of cover
Age 18-49 | Age 50-59 |
|---|---|
£21.06 | £31.57 |
Non-Smoker | Smoker |
|---|---|
£19.88 | £27.97 |
Tables show median life insurance prices for MoneySuperMarket customers.
How much level term life insurance cover do I need?
How much level term life insurance cover you need depends on your financial responsibilities and what you want the payout to achieve.
A common starting point is to choose an amount that would cover major costs such as your mortgage, everyday living expenses, childcare, and any debts. Think about how long your family would need financial support, whether you want to completely replace your income, and any future big costs like education fees.
10x your salary
One rule of thumb is that your life insurance cover should be enough to replace the salary of the highest earner in your household for a decade.
Expense | Average Cost |
|---|---|
Everyday bills | £1,657.67^ per month |
Cost of raising a child (lone parent) | £16,111^ per year |
Unpaid care for children and elderly relatives | £16,773^ per year |
Funeral costs | £4,285^ |
Have you thought about financial gifts?
You might also want your life insurance to include money that could replace the help you’d have given to your children if you were still around. For example:
University fees: 71% of parents contribute to their child’s higher education, spending on average £8,723 a year
^ House deposit: Family members contribute £27,400
^ on average to help first-time buyersWeddings: 36% of parents plan to contribute to their kids' weddings; most budget £1,000 – £5,000
^
What are advantages and disadvantages of level term life insurance?
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Advantages
Fixed premiums mean you can lock in lower payments while you’re younger, and you’ll always know what you’ll pay each month
The payout stays the same throughout the policy, giving your dependants certainty about what they would receive
Flexible term lengths (for example 10, 15, 20 or 30 years) let you tailor cover to major financial commitments such as a mortgage
It’s usually cheaper than whole-of-life insurance for the same payout because it only covers a set period
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Disadvantages
The fixed payout doesn’t account for inflation, so its real value may reduce over time unless you choose index-linked cover, which is more expensive
If you outlive your policy term, the cover ends with no payout and no refund of your premiums
You’re locked into your policy once it starts. If you later need more cover or a longer term, taking out a new policy can cost much more due to your age
Only pays out if you die; there's no protection if you develop a chronic or long-term illness (unless you add critical illness cover)
How can I make my level term life insurance cheaper?
When it comes to picking life insurance, cheapest isn’t always best. Cheaper premiums often mean less cover, which could leave your family under-protected if the payout or features don’t match what they’ll realistically need.
However, there are ways to get a better deal on your ideal policy:
Compare quotes
Different insurers can offer very different prices for the same level of cover, so shopping around is one of the easiest ways to avoid overpaying. MoneySuperMarket helps you quickly compare a wide range of policies in one place, so you can find the right cover at a price that works for you.
Buy early
Life insurance usually costs less when you take it out at a younger age. Applying sooner can lock in cheaper premiums for the whole term of your policy.
Limit risk factors
Improving your lifestyle – for example by quitting smoking or reducing alcohol intake – can lower your health risks and may reduce the cost of your life insurance.
💡 Top tip: Many insurers will review your price once you’ve been an ex-smoker or vaper for a full year. It’s worth asking for a reassessment if you’ve quit.
Don’t over-insure
Choosing cover, add-ons or a higher payout than you really need will push up your premiums. Working out what your family would genuinely benefit can prevent you from paying more than necessary.
Bundle products
Some insurers offer discounts if you take out more than one type of cover with them. For example, combining life insurance with critical illness protection.
While this isn’t always the cheapest overall option, it’s worth checking whether a multi-policy discount could give you more cover at a discounted rate.
Keep your policy up to date
Reviewing your cover regularly helps make sure you’re not paying for protection you no longer need. For example, if your mortgage balance has reduced or your dependants are financially independent, you may be able to adjust your cover and cut costs.
What are the different types of life insurance and protection insurance?
Alongside level term insurance, there are other products that can help protect your family:
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Decreasing term
Payout goes down over the term. Usually matched to mortgages.
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Critical illness cover
Pays out if you are diagnosed with a serious illness.
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Income protection
Pays out a percentage of your salary if you temporarily cannot work.
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Over 50s insurance
A whole of life policy offering guaranteed cover and payouts.
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Joint life insurance
Covers two people. Only pays out once, on the first death.
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Increasing term
Payout increases over time, generally in line with inflation.
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Whole of life cover
Also known as life assurance, pays out whenever you die, rather than being restricted to a term.
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Death-in-service
Some businesses will pay out if staff die while employed by them.
Our expert says…
Level term life insurance remains a popular choice for many MoneySuperMarket life insurance customers, accounting for approximately 62%
^ of our policies sold. It's a cost-effective way to ensure your loved ones are financially protected with the option to also help cover funeral costs.
Kara Gammell Personal Finance & Insurance Expert
Free shopping gift card
Get up to £400^ to spend on a variety of retailers when you buy life insurance through MoneySuperMarket.
Found the perfect policy to safeguard your family's future? Have an extra reward on us.
Gift cards start at £35 for life insurance policies with monthly premiums of £10 or less and go up to £400 for policies with monthly premiums over £90.
See our terms and conditions for more information.
Restrictions apply. One voucher per person. Not available to customers who previously received a voucher with a life insurance policy purchased after 1st May 2022. Offer end date 29th Dec 2025
Compare quotes from leading life insurers
We only work with FCA-regulated companies, which means they meet strict standards for fairness, transparency and customer protection.
Why should I compare level term life insurance quotes with MoneySuperMarket?
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Quotes from 19^ UK insurers
All our insurance providers are authorised and regulated by the Financial Conduct Authority (FCA).
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Rated 4.9/5 on Feefo
We're also the UK's most recommended price comparison website
^ . -
Quick and easy
Give us a few details and we'll show you multiple quotes in minutes, saving you time and effort.
Trusted Service Awards Winners
MoneySuperMarket has won the Feefo Platinum Trusted Service Award, an independent seal of excellence, which recognises businesses that consistently deliver a world-class customer experience.
What should I consider when choosing level term life insurance?
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What to cover
To work out your ideal policy:
✔ Add up your expenses and debts
✔ Estimate how much support your family would need without you
✔ Consider extras like critical illness cover
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When to get it
A good time is during a big life change:
✔ Marriage or divorce
✔ New home or job
✔ New baby
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What to pay
If you miss payments you can void your policy, so think about:
✔ What could you comfortably afford to pay?
✔ Could you still afford it if your circumstances changed?
✔ Can you get it cheaper? (See our cost-cutting tips)
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Compare deals
You can compare quotes via MoneySuperMarket:
✔ See options from16
^ FCA-approved insurers✔ Get a quote in just 6 minutes
✔ Find prices from £7.19
^ a month
Prefer to speak to someone about life insurance?
We’ve partnered with LifeSearch to give people more guidance when buying life insurance. If you’d like some help you can talk to LifeSearch free of charge.
Call LifeSearch on:
0800 316 3166
How do we work with LifeSearch?
MoneySuperMarket has a long-standing partnership with LifeSearch, one of the UK's leading protection advice specialists.
LifeSearch has been protecting people for over 25 years. Since 1998, they’ve helped over a million individuals, families, and businesses secure 1.7 million policies.
When you compare life insurance through MoneySuperMarket, you’ll see options from insurers LifeSearch work with — helping you find cover that fits your circumstances.
Your policy will always be taken out with the insurer you choose, but LifeSearch can support you at every stage, from applying for cover to making a claim. You can also manage claims directly through their website.
We receive a commission for referrals, but this never affects the price you pay for your policy.
➡️ Find out more about how MoneySuperMarket makes money
Opening hours
Opening hours are:
Monday to Friday 8 am to 8 pm
Saturday 9 am to 2 pm
Sunday 10 am to 3:30 pm
What happens if I outlive my level term life insurance policy?
If you outlive the term of your level term life insurance, the policy simply ends and no payout or refund of any paid premiums is made.
If you still want cover, you’ll need to take out a new policy. Be aware that your premiums are likely to be higher because you’ll be older, and you may need to go through medical checks again.
Can I add critical illness cover to level term insurance?
Yes, you can take critical illness cover out in addition to your life insurance or buy a combined policy.
Additional cover pays out twice, once if you become critically ill, and again if you die during the term.
Combined cover only pays out once, either for a critical illness or for death.
Critical illness cover pays out a lump sum if you’re diagnosed with a serious condition, such as a heart attack, stroke or certain cancers. Adding it to your level term policy gives you more protection, but it will increase your monthly premiums.
Should I take out single or joint level term life insurance?
Whether you choose single or joint life insurance depends on your situation. If you’re part of a couple and have dependants, joint life insurance can be a slightly cheaper way to provide financial protection for your family if something happens to one or both of you.
However, most joint policies only pay out once, when the first person dies. You may also need to alter your life insurance policy if you and your partner get divorced.
Will I need to provide medical information to get level term life insurance?
Insurers usually ask for basic medical information to assess your risk and calculate your premiums. This may include details of any pre-existing conditions and relevant family medical history. In some cases, they may ask you to take a medical exam or supply a report from your GP.
Insurers cannot access your medical records without your consent. However, it’s essential to answer all questions honestly. If you don’t disclose important information, your policy could become invalid and may not pay out when you need it.
What happens if I miss a life insurance payment or stop paying?
If you miss a payment or stop paying, your policy may lapse, which means you’ll no longer be covered and you won’t get any of your previous premiums back. Some insurers offer a short grace period to make up a missed payment, but this varies, so check your policy wording.
When you take out a life insurance policy, you may be able to add a waiver of premium. That means if you later become too ill or injured to work and can’t afford your payments, your insurer will pay the premiums for you so your cover stays in place.
Will my level term life insurance payments go up in the future?
No, with level term life insurance, your premiums and payout amount remain fixed for the whole term of the policy.
This means your price won’t rise, but the payout won’t increase with inflation either — its value may reduce over time.
Is life insurance taxable?
Life insurance payouts are not subject to income tax or capital gains tax. However, if the payout forms part of your estate and your estate exceeds £325,000, it may be subject to inheritance tax at 40%.
You can avoid this by writing your policy in trust, which keeps the payout outside your estate and ensures your beneficiaries receive the full amount.
Can I put my level term life insurance policy in trust?
Yes, and it’s often recommended. Putting your policy in trust means the payout won’t form part of your estate, which can help avoid inheritance tax and speed up payment to your beneficiaries. You can also clearly name who you want to receive the payout.
Can I cancel my level term policy if I no longer need it?
Yes, you can cancel your level term life insurance at any time. However, you normally won’t get back the premiums you’ve already paid.
Can I get level term life insurance if I have a pre-existing medical condition?
Yes, most people with pre-existing medical conditions can still get level term life insurance. You may be asked for extra medical information or test results to help insurers assess your risk.
Premiums may also be higher, although it can be more affordable than people think.
For example, a 30 year old non-smoker taking out a £200,000 30-year life insurance policy will on average pay just £3
Can I have more than one life insurance policy?
Yes, you can hold multiple life insurance policies in the UK. However, it’s often simpler and more cost-effective to adjust a single policy rather than manage several.
It is reasonably common for people to hold multiple protection insurance policies simultaneously, because these often cover different things. For example, alongside your life insurance policy you could have critical illness cover in case you are diagnosed with a serious illness or income protection insurance if you're too ill to work.
How does MoneySuperMarket create and review the content on the website?
At MoneySuperMarket, we want to give you clear, accurate and trustworthy information so you can make confident financial decisions for your circumstances.
Every page on our website goes through a careful editorial process before it is published. It’s written or reviewed by one of our experienced experts, checked for accuracy, and updated regularly to reflect the latest information.
We do use AI tools to support our research and drafting, but a human editor is always in the loop to review, fact-check and approve everything before it’s published, so you can trust that what you’re reading is both reliable and up to date.
You can read more in our editorial guidelines.
How does MoneySuperMarket make money?
We get paid by the companies we work with, but the payment we get doesn’t have any bearing on the information we provide. We get paid in different ways, depending on the type of product or service you buy through us. Our goal is to search deals from as wide a range of companies as possible, but we only show results from our partner providers.
Our comparison service is, and will always be, free to use.
Why should I use a price comparison website?
One of the best ways to get the lowest prices and best deals is to compare quotes from different companies. We do the work for you, comparing quotes side-by-side and giving you all the information you need so you can choose the right deal for your needs and your wallet.
We don’t give recommendations or financial advice, but we give you clear information so you can choose financial products that suit your circumstances.
Does MoneySuperMarket work with all the providers on the market?
No, not every company can be included in our service. This is because some companies don’t want their products included on comparison sites, and some decide that they would rather not pay a fee. There are also a few smaller providers who can struggle to cope with the volume of customers that can find their products if they appear on MoneySuperMarket.
Our goal is to search deals from as wide a range of companies as possible so that you can choose the deal that suits you.
Is life insurance eligible for SuperSaveClub and rewards?
No, at this time life insurance is not an eligible product for unlocking our SuperSaveClub rewards. It is also not included in our Price Promise.
Reviewed on 25 Dec 2025 by
Data based on the 10th Percentile price of life insurance sold through MoneySuperMarket for level cover in December 2025.
YouGov Survey 1st July 2024 to 30th June 2025. Net Recommend score derived from “Which of the following online service websites would you recommend to a friend or colleague, or tell them to avoid?” Base: Current Customers of (MoneySuperMarket n=18,382, Compare the Market n=16,802, Go.Compare n=10,162, Confused.com n=8,229, Uswitch n=528).
Shopping Gift Card value varies based on the first monthly premium of the policy and will be confirmed on the results page
Data based on the median price of life insurance sold through MoneySuperMarket for age 18-49 in December 2025.
Data based on the median price of life insurance sold through MoneySuperMarket for age 50-54 in December 2025.
Data based on life insurance policies for £200,000 of cover sold through MSM between 1st April and 30th June 2024
Data based on life insurance policies for £200,000 of cover sold through MSM between 1st April and 30th June 2024
Data from the Association of Investment Companies, 2024.
Data from Legal and General, 2024.
Data from Wealthilfy, 2022
The number of providers for life insurance for level cover in December 2025
Data from LifeSearch, 2025. Prices based on the minimum price for £200,000 30-year life insurance policy for a 30-year-old non-smoker with well-controlled diabetes.
Based on the life insurance policies sold through MoneySuperMarket between August 2025 and October 2025 where the cover type was level.
Data from MoneySuperMarket's Household Money Index 2025.
Data from Child Poverty Action Group's The Cost of a Child Report 2025. Yearly cost based on total cost of £290,000 for a lone parent to raise a child to 18 years old.
The calculation of unpaid work is based on two categories: unpaid childcare and unpaid household work (including unpaid adult care and volunteering)
Source: SunLife Cost of Dying Report 2025. Data sourced October 2025.
The number of providers for life insurance in November 2025
Data based on the 10th Percentile price of life insurance sold through MoneySuperMarket for level cover in November 2025.
Data based on the median price of life insurance sold through MoneySuperMarket for level cover in November 2025.