How to pick the best life insurance for your needs

Everyone has a personal reason to consider life insurance. Before we examine the different types of life insurance, it's worth thinking about why you’re interested in getting life cover. Some reasons to get life insurance or mortgage life insurance could include:

• You want to leave some money behind to help protect your loved ones, should you die while covered by the policy
• Your partner would not be able to survive financially without you
• You want to give some reassurance to your dependants about their financial future.

Factors that may influence your life insurance decisions

Insurers personalise the cost of life insurance. It's important to have a budget in mind. You should be comfortable that you can afford to pay for your policy now and in the future. The amount of protection you need and length of time you need it for affect the price. Other factors can affect the cost of life insurance. For example:

• Dependents. Do you have children, a spouse or other dependants such as siblings or ageing parents? You can use a life insurance policy to make sure they’re financially protected if you pass away while covered by the policy.
• Health. Your ability to get life insurance will depend on health factors such as your smoker status, alcohol consumption and body weight.
• Age. Taking out life insurance costs more as you get older (though age is not the only factor) so some people like to get a life insurance policy when they’re younger.
• Occupation and hobbies. If your job is perceived to be high risk, or you take part in dangerous hobbies, your may want to speak to a life insurance provider about your options. 

How to choose the best UK life insurance provider

There are hundreds of life insurance providers in the UK, so to help you choose the best option, here are some factors you might want to consider when you compare life insurance providers.

• Consumer protection. It's sensible to choose a life insurance company that's subject to UK regulations. They're required to be financially stable. If the insurer cannot pay it's claims, a government backed scheme (FSCS) pays compensation.
• Compare policies. There is more than one type of life insurance available. Shop around for an insurer that offers the type of policy you need.
• Do they pay out? People buy life insurance to protect their loved ones. It's a good idea to check the insurers pay out record for peace of mind.  
• Reputation. Does the life insurance provider have a track record in the industry and positive customer reviews?
• Additional features. Some insurers provide extra benefits, such as the ability to make changes to your policy, and cover for terminal illnesses and accidental deaths.