What it has also highlighted, is how fragile life can be. As a result, this has encouraged more and more people to consider what they would leave behind
if they were no longer around to provide for their family.
The most obvious and often affordable form of financial cover is life insurance.
What is life insurance?
Life insurance is simply a financial safety blanket for a worst-case scenario.
You pay a monthly
premium for the duration of the policy and if you were to pass away, a pre-determined cash lump sum is paid to your loved ones.
A pay out can be used as the beneficiaries wish, but is commonly used to pay off the mortgage, cover childcare costs, pay for a funeral, leave an inheritance
or meet future family living costs.
There are a number of different ways you can secure a life insurance policy, including using a comparison website or an FCA regulated broker.
However, insurers want you to buy directly from them, missing out the intermediary ‘middleman’, (who they have to pay a commission to for a sale).
How do life insurance providers entice you to buy from them?
Simple, they offer a free welcome gift.
But who is currently offering the best free gift incentive in the market? Below are the best deals currently available;
1. £195 Amazon gift card – ComparetheMarket.com
Comparison website giant ComparetheMarket.com are offering an Amazon gift card worth up to £195, (depending on the cost of your monthly premium). This is
the highest value gift card currently available in the market from our research, (as of 23/03/21).
However, please note that the value of the Amazon gift card you receive depends on the cost of your monthly premium and also the individual insurer you choose.
For example, if your premium costs between £0 – £10 and you have a Zurich policy you will be eligible for a £35 gift card. In order to get the full £195
gift card your premium must be priced over £50 a month. This is more cover than the average person will ever require.
You will need to pay 3 months’ worth of premiums before being eligible for this free gift.
2. £180 Amazon, M&S or Tesco gift card – Direct Line
Direct Line are offering new customers a gift card from either Amazon, M&S or Love2Shop – up to the value of £180.
The gift card is sent to you after you have paid 6 months premiums. The value of the gift card is again calculated based on how much you pay each month for
For example, if your monthly premium is priced between £6 – £10 you will receive a £35 gift card; if you pay between £10.01 – £20 a month you will receive
a £60 voucher. In order to receive the maximum £180 gift card, you will need to be paying over £30 per month.
3. SunLife – £115 Love2Shop gift card
The third best free welcome gift on offer is from well-known insurer, SunLife. However, SunLife only offer guaranteed over 50 plans, so you will need to
be aged between 50 – 85 years in order to qualify for this one.
If you have not heard of
Love2Shop, their gift cards are accepted at over 150 brands, such as Argos,
Halfords, PC World,
M&S and Curry’s – offering good variety and choice.
You will have to have paid the first 6 months premiums before being eligible for the gift.
Lastly, as an added benefit you will also be entered into SunLife’s annual £50,000 big cash draw for a chance of claiming this mammoth prize!
4. £180 Amazon, M&S or Tesco e-gift card – Churchill
Churchill are offering a gift card from either Amazon, M&S or Tesco up to the value of £180.
Again, the value of the gift card is dependent on the cost of your premiums and will be issued after you have paid your premiums for 6 months.
In this example, if you pay between £4 – £10 a month you get a £35 gift card; if you pay between £10.01 – £20 per month you receive a £60 gift card… until
the maximum of £180 if you pay over £30 a month.
You may not be aware that Churchill life insurance is actually provided by insurer AIG and as a result if you have previously cancelled an AIG policy or
received a free gift from another incentive you will not qualify.
5. Vitality – A wide range of health-related rewards
Vitality is very different from other insurers and offers an extensive range of discounts, mostly centred around being healthy.
To be eligible for these rewards you will need to be on a VitalityLife insurance policy with either the Wellness Optimiser or Vitality Optimiser, which costs
an additional £4.50 per month.
Your premium would need to be £45 or more, which is more cover than the majority of us need (also remember a policy term can be up to 40 years in length,
so this is potentially a huge outlay).
If your premium is £45 for a single plan or £60 for a joint plan, then you’ll have access to Vitality Lite rewards for an additional £1.75 per person, per
Reward partners include Champneys, Runners Need and Garmin.
If your premium is £45 or over for a single plan, then you’ll have access to Vitality Plus rewards for an additional monthly fee of £4.50 per person.
Reward partners include Cineworld, Virgin Active and Amazon Prime.
If your monthly premium is £60 or more (single and joint plans), then you will have access to the full range of Vitality Plus rewards for an additional monthly
fee of £4.50 per person.
Vitality also offer their policyholders 40% off gym memberships with Virgin Active and Nuffield Health.
However, you must have a VitalityLife plan with Vitality Optimiser or Wellness Optimiser for an additional monthly fee.
Life insurance with a free Will
As well as free gift incentives some insurers, such as Beagle Street, Smart Insurance, Virgin Money and British Seniors now offer a free Will writing service.
How does it work?
After you have purchased your policy, the insurer will pass your details onto the Will writing specialist they are partnering will, who will send you their Will pack.
The pack will contain a questionnaire for you to fill out, which will help draft your Will.
Then you will receive a call, in order to gather the final information, they need in order to complete your Will.
Once you are happy with the draft, you can sign the Will and it then becomes a legal document.
Are the free gifts worth it?
The answer is, it depends. The most important thing is to ensure you secure the right policy, with the right level of cover and the required term length – nothing should detract from this.
In order to get make sure your policy meets your needs consider;
- Your daily family living costs
- The age of your children, (how long until they are financially independent)
- How much is left on your mortgage?
- Do you have any cover through your employer?
- Do you have any savings?
- Would your partner need to return to work if you were no longer around?
- Could you afford childcare costs?
- Could you afford funeral costs?
Once you have answered all these questions and understand your individual requirements, it is vital to compare multiple quotes as the cost of premiums can vary significantly.
If, it turns out all your quotes are similar in cost then you should definitely be influenced by the most generous free gift on offer, (but never at the expense of your policy).
If you require more comprehensive details on the most up to date free gift offers available, visit award-winning broker; Reassured – Life Insurance.
After all, everybody loves a freebie!