Life insurance pointers

CaPPsiE wrote: »

For instance, a claim cannot be made within 12 months or a policy has caveats which neuter the cover until the 12-month marker etc.

Mainstream policies have no such exclusions - other than for suicide, which is often not covered in the first 12 months (so as not to encourage people in financial trouble to think that they can help their families by taking out a big life insurance policy then killing themselves).

Life insurance is actually quite a simple product. You answer some questions about your medical history, the insurer gives you a price based on the answers (or doesn't if they think you're at too high a risk of dying) and it pays out if you die. There are not generally long lists of exclusions and the only common reason for not paying out (other than you not being dead) is if you didn't answer the questions accurately.

There are some niche policies (sometimes marketed as "over 50s plans" which ask no questions about your medical history and guarantee to accept you regardless of your health - but don't pay out if you die on the first 12 months ( they may return your premiums instead). That might be what you're thinking of. However such policies are usually poor value compared to a mainstream policies, even for over 50s, and are best regarded as a last resort for people in seriously poor health who can't get mainstream policies.