Some things are for certain in life, like insurance costs going up. Its like a reverse Santa, ready to turn your smile upside down. There are ways to get more control. Some tailor made advice gives you clarity around the few levers to manage costs and cover.
Level insurance premiums do cost more in the earlier years but then stay the same through the level term. It is another way to feel more in control of your premiums. So you could pick a ten year level for example, meaning for the next ten years the premiums can stay the same.
Mortgage repayment cover and income can be very robust as they tend to be easier to claim on then trauma, critical illness and obviously life cover. Often overlooked as they can seem expensive, however here are some of the ways you can adjust premiums. There are two big levers you can pull. The benefit term (how long the cover pays out for while you are unable to work) and the wait period (how long you have to wait before the cover start paying) are two variables that has an impact on the premium cost.
A short benefit term can be cost effective. Especially if for long term issues you have a back up plan, like selling down assets or early inheritance.
A longer wait period can be used to bring down premiums also. Only advisable if you are someone that tends to keep backup savings on hand which can be used up while you wait for the insurance to kick in.
