Free cinema tickets, coffee and private GP access are just some of the perks on offer from life insurance providers.
Much like banks offering incentives for you to switch your current account, firms offering life insurance also try to set themselves apart with offers that might give them the edge over their competitors.
While it’s not the best idea to make a decision on a life insurance policy based solely on the perks it offers, it’s still worth knowing what’s out there when weighing up which provider suits you best.
Here, Which? takes a look at the perks on offer from some of the main life insurance providers to see how they compare, as well as explaining the other factors to take into account if you’re considering taking out a policy.
What is life insurance?
A life insurance policy is a financial product that pays out if the insured person dies while the policy is in place.
Often, you’ll pay a monthly fee in order to maintain the policy, the price of which will vary depending on your age, lifestyle and health factors.
There are two main types – whole-of-life insurance, and term insurance.
Whole-of-life insurance will pay out when you die, no matter what your age. One of the biggest selling points for this kind of cover is that families can use it to cover any inheritance tax bills.
Term life insurance provides a cash lump sum for your family if you die within a set period of time. For example, some people may choose to take out a type of term insurance in order to support their family to pay off a large debt, such as a mortgage, if they die.
- Find out more: term life insurance explained
What life insurance policy perks can you get?
While your life insurance agreement is in place to help support your family once you’ve gone, perks such as gift cards, health insurance, access to a GP 24/7, cinema tickets or coffee mean you can benefit from it, too.
We took a look at some of the biggest UK life insurance providers to see what incentives are on offer, and how you receive them.
Direct Line
Direct Line life insurance is underwritten by AIG Life UK, which has 1.2 million customers.
How much does it cost? Premiums start at £5 a month.
What perks are on offer? If you are already a Direct Line customer, you can save 7% on your life insurance premiums.
All customers can get a gift card worth up to £180, along with access to several healthcare-based services.
You’ll get access to Smart Health, a healthcare app that provides 24/7 access to a UK-based GP, a second medical opinion from Best Doctors, mental health support, a nutritionist consultation and a four- or eight-week personal fitness programme.
How do you receive your perks? The 7% discount for existing customers will be applied to your policy once you have filled in all your details – there’s a section that asks you if you’re already a customer.
Your gift card will be sent to you once you’ve made monthly payments for six months. Depending on your premium, you will receive up to £180 that can be used at many outlets, including Amazon and Marks & Spencer.
Smart Health is available via an app, online or by telephone, and is accessible 24 hours a day, 365 days a year. You, your partner and children up to the age of 21 can use it from the first day of your policy.
- Find out more: How to write life insurance in trust
Vitality
Vitality offers life insurance policies to anyone aged 18-55, but a lot of its marketing and perks are aimed at people in their 20s and 30s.
How much does it cost? Prices start at £5 a month. You can get a monthly rolling policy to help keep costs down, which allows you to take a break if your financial situation gets a little tight.
What perks are on offer? There’s a fairly extensive rewards scheme, where you can take out a plan, use a smartwatch or fitness tracker to monitor your activity, and earn points. These points can then be turned into rewards.
The healthier you are, the lower your premium – you can earn up to 40% off your premiums if you’re active and lead a healthy lifestyle.
You can also get discounted gym membership, spa breaks and coffee vouchers.
How do you receive your perks? Once you’ve bought your policy, you need to register with the Vitality Member Zone and complete a health review and questionnaire. When you link up your fitness tracker and get active, you’ll then be able to view your rewards and points in the Member Zone at any time.
- Find out more: Family income benefit insurance explained
Legal & General
An established life insurance provider, Legal & General (or L&G provider) covers policies for anyone aged 20-70.
How much does it cost? Fixed monthly premiums start at £5, and you can get an online quote in just two minutes.
What perks are on offer? A £100 gift card for Amazon or M&S, and a Wellbeing Support service provided by RedArc.
How do you receive your perks? You will be eligible for your e-gift card six months after your policy start date, sent to you via email.
Wellbeing Support starts from the first day of your policy. It provides support from a dedicated nurse and can include information and advice, as well as clinic assessments.
You, your partner and your live-in children can access the service, and you don’t need to make a claim in order to use it.
Scottish Widows
Scottish Widows has more than 200 years’ experience providing life insurance policies.
How much does it cost? No upfront cost is provided, but Scottish Widows does have a calculator you can use to estimate what your premiums may be. There’s also a flexible plan option, where you can make changes if your circumstances change.
What perks are on offer? Policies come with RedArc wellbeing services, and Clinic in a Pocket remote GP and prescription delivery services, which can be used by you, your partner and your children.
How do you receive your perks? RedArc is accessible by calling the Scottish Widows customer support team, which will refer to you to the right department at RedArc.
Your welcome pack includes all the information you need to access the Clinic in a Pocket service. Once you’ve registered, you’ll be able to receive all the help you need through the app that’s available on all Android and Apple devices.
LV
LV is a well-established life insurance provider, offering services to any UK resident aged 17-84.
How much does it cost? Prices start at £5 a month.
What perks are on offer? Access to LV=Doctor services, and terminal illness cover included at no extra cost.
The LV=Doctor health app is provided by Square Health, where you have access to six different services: remote access to more than 5,000 UK medical professionals, a second medical opinion, prescriptions, physiotherapy, support with mental health concerns and access to a health MOT.
How do you receive your perks? LV=Doctor services starts from the beginning of your policy and is accessible via an app or over the phone.
Your critical illness cover forms part of your life insurance policy and starts when your policy does.
- Find out more: Critical illness insurance explained
Are the perks worth it?
While these perks may seem attractive, you’ll need to weigh up how much value you’ll get from them with the cost of your premium based on your age, health and occupation.
It’s important to shop around and find the best policy for you, regardless of the perks that come with it. If you’re not sure what suits your circumstances, it might be worth talking to a financial advisor before taking out any policy.
We have partnered with Life Search to help find you the right policy.
Do I need life insurance?
Everyone’s circumstances are unique – and some people will not need life insurance. But if you have parents, partners or children that rely on your income, taking out a policy will ensure they’re supported after you die.
An easy way to think about it is: if your income were to disappear, how would the people around you look after themselves? If you have young children and a mortgage to pay, a term life insurance policy might be useful. If you have older children, or have paid off your mortgage, whole-of-life insurance could be a better fit.
There are many different types of life insurance available, and it’s important to make sure you find the right policy for you and your family. Our collection of life insurance and protection advice guides can help you make the right decision.
- Find out more: Should I buy joint or single life insurance?
Which? Limited is registered in England and Wales to 2 Marylebone Road, London NW1 4DF, company number 00677665 and is an Introducer Appointed Representative of the following: 1. Inspop.com Ltd for the introduction of non-investment motor, home, travel and pet insurance products (FRN 610689). Inspop.com Ltd is authorised and regulated by the Financial Conduct Authority (FCA) to provide advice and arrange non-investment motor, home, travel and pet insurance products (FRN310635) and is registered in England and Wales to Greyfriars House, Greyfriars Road, Cardiff, South Wales, CF10 3AL, company number 03857130. Confused.com is a trading name of Inspop.com Ltd. 2. LifeSearch Partners Limited (FRN 656479), for the introduction of Pure Protection Contracts, who are authorised and regulated by the FCA to provide advice and arrange Pure Protection Contracts. LifeSearch Partners Ltd is registered in England and Wales to 3000a Parkway, Whiteley, Hampshire, PO15 7FX, company number 03412386. We do not make, nor do we seek to make, any recommendations on financial products or services that are regulated by the FCA, as we’re not regulated or authorised by the FCA to advise you in this way. In some cases, however, we have included links to regulated brands or providers with whom we have a commercial relationship and, if you choose to, you can buy a product from our commercial partners. If you go ahead and buy a product using our link, we will receive a commission to help fund our not-for-profit mission and our campaigns work as a champion for the UK consumer.
