Best price level term assurance

Puja_2

Following Martin's excellent advice I have recently bought two seperate policies for myself and other half for level term assurance. Cavendish Online with the £35 fee were initially the cheapest, but I found that Moneyworld-IFA beat Cavendish's quote and without a £35 fee!

I simply rang them up and asked if they would beat the price expecting that they would say no, but they didn't!

They offered the same Legal & General policy but at a cheaper price than Cavendish and with no fee. Just thought I'd share that with anyone looking to buy such policies. Details here:

http://moneyworld-ifa.co.uk/

Freephone number: 0808 118 1400

HTH someone

dunstonh

Cavendish are not that cheap. I did some quotes recently against them and found that on comparative terms, I was cheaper on premiums. This would apply for many other IFAs as well (mainly those belonging to the larger networks). However, where Cavendish win is that smaller IFAs cannot afford to provide the service at the margin Cavendish can.

Whilst you are content about what you have bought so cheap, I bet neither have told you that you could save between 22 and 40% on your premiums from next month and could have been preparing yourself for that now?

Barter

Can you explain the ref. to 22 - 40% off premiums next, now this, month, please?

Papillon

I second that!

It would be great to get some more info on that.

Cheers

Puja_2

Pls explain!

Thanks in advance.

dunstonh

Its called pension term assurance and the old limits which make it almost impossible to have (unless you have a pre 2001 policy already) are being relaxed from April. This means that as long as you are not paying any more than 100% of your salary (upto £215,000) or £3600, whichever greater per year into a pension, you can get tax relief on your life assurance. Providing that is, that it is a pension term assurance.

Currently pension term assurance is a designated investment product meaning that any investment class advisors can recommend or distribute it. Protection only class advisors advise or distribute it. That is likely to change before 6th April in time for launch but hasn't yet.

It is possible to sign up for a pre-pension term assurance policy now on the same terms as a level term assurance which will auto switch to pension term assurance on 6th April.

Biggest benefit is 22% tax relief on premiums with higher rate tax payers being able to claim a further 18% through their self assessment return.

julesnye

where can I find this pre-pension term assurance from then?
Regards
Julesnye

dunstonh

AFAIA, the only providers offering "pre" pension term assurance are those through IFAs. Currently the product is under the classification of investment class . Protection advisors are not authorised to sell pension term assurance until 6th April when they get permission to able to sell it (with warnings when not done on advice basis). This is why you dont see it being referred to yet on most quote portals.

julesnye

Many thanks for your quick response.