Insurance premiums falling

Average term insurance premiums have fallen by 27.5 per cent since 1999, according to new research.

14:25 26 May 2004

Average term insurance premiums have fallen by 27.5 per cent since 1999, according to new research.

Sainsbury's Bank Life Cover, which performed the study, claimed that 1.3 million people who bought insurance just five years ago could save about 60 million a year in premiums by switching provider.

Despite these people now being five years older, with some rates falling by as much as 40 per cent many could still make significant savings on premiums, Sainsbury's said.

Mairi Hutchison, life insurance manager for Sainsbury's Bank, said: "There's no doubt that millions of people are currently paying too much for their term insurance.

"Market rates have dropped by more than a quarter in the last five years alone, which has left many people paying out-of-date, expensive premiums and not realising that, despite being older, they could possibly save thousands of pounds by switching policies."