Legal & General offer two over 50s life insurance plans; their ‘Fixed Plan’ which works in a similar way to traditional over 50 plans and their ‘Increasing Plan’ which is reviewed every year in line with the retail prices index (RPI), therefore keeping in line with inflation.
The Legal & General Over 50 Life Insurance Review is a guide to help you understand the features and benefits of the plan, options available and things to consider. Do make sure you read, understand and are happy with the terms and conditions of any plan you decide on.
Why choose the Legal & General Life Insurance plan for Over 50s
Guaranteed acceptance for UK residents between the ages of 50 to 80
Life insurance with no medical or health questions to answer
Premiums from £5 to £75 a month
Choose between fixed or increasing monthly payments and cash sum
Full cover after just 12 months - L&G will refund all premiums paid if you were to die within this initial period
You are immediately covered if death is as a result of an accident
Payments stop on your 90th birthday but cover continues
Non smokers are recognised and get preferential rates
Free Funeral Benefit Option
The L&G Over 50s Plan Funeral Benefit Option is free and available with both fixed and increasing over 50s life insurance. If you choose to add this option, your cash sum will be paid directly to Dignity who will contribute a further £300 towards the cost of a funeral service provided by one of their appointed funeral directors.
If the cash sum exceeds the cost of the funeral, the balance will be paid either to the estate or next of kin. If the funeral costs are greater, the person arranging the funeral services will need to pay the difference.
Unless you die as a result of an accident, you will not be covered for the cash sum during the first 12 months. If you die during this initial period, your monthly premiums would be refunded to your estate.
Monthly premiums are paid until your 90th birthday. If you stop paying, your cover will cease and no money will be paid out.
If you opt for the fixed plan, inflation will reduce its value over time.
If you opt for the increasing plan, make sure you are comfortable with the ongoing increasing monthly payments.
Depending on how long you live, there is a chance that the money paid in will be greater than the cash sum paid out.
The cash sum paid out will usually form part of your estate and therefore could be subject to inheritance tax.
Legal & General Partners
In addition to their own branded plan, the Sainsburys Over 50s Life Insurance plan is provided by Legal & General.