Generally your term life insurance premium will remain the same throughout the entire policy. This is what is known as a 'Level Premium'.
It is worth remembering that references to 'term life insurance premium' and 'term insurance premium both mean the same thing.
You will choose before the term life insurance policy begins the frequency that you pay the term insurance premium, the options commonly available are:
Payments for your term insurance premium is usually required via direct debit, standing order or cheque.
The factors that are taken into consideration when calculating the initial or base Life Insurance Premium are as follows:
It is possible that the premium can be increased if the policy needs to be medically underwritten, this can be for anything from a life assured being overweight to having a family history of cancer or from being a recreational drug user to having a dangerous occupation such as deep sea fisherman!
For further information please see our Life Term Insurance Underwriting page.
In simple terms each and every person insured pays a term life insurance premium into a huge pool of money and when claims are made the proceeds come from this pool. The insurer needs to ascertain how much of a risk to the pool each new person presents and the term life insurance premium is charged accordingly. If somebody is a higher risk to the pool then they will have to pay more than the people that present little or no risk who will pay the standard term insurance premium that they are originally quoted.
Obtaining a quote for a term life insurance premium is straight forward and can be done by visiting any major insurer, insurance comparison website or by speaking to a financial adviser/broker.