Level premium Life insurance
Recent news articles have shown that some people are opting for level premium Life cover ahead of rumoured price increases. Level premium means you pay the same premium year after year - sounds pretty good right - no annual increases!
But wait! The alternative and by far more popular stepped premium means the premium starts lower and rises with age, whereas to make a level premium Life policy profitable for them the Life company must charge a much higher initial premium. That means you the client are over-paying for years - generally up to 20 years before you are ahead - potentially!
We only recommend stepped premium policies because we just don't believe our clients benefit from level premium plans.