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Woman lying down reading billQ: I’m 42 and need life insurance but have heard it’s going to become more expensive. Should I fix my life insurance now?

Sue Garland, Lancs

A: Yes, if you’re considering buying a life protection policy, do it immediately!

On 21st December 2012, the European Court of Justice Gender Directive comes into effect, which means that women’s life insurance premiums are likely to shoot up.

Traditionally, women have paid less than men for life insurance because they statistically have a longer life expectancy, so insurance providers believe the policy won’t be claimed until more premiums have been paid.

However, the EU Gender Directive will prevent insurers taking gender into account when calculating their premiums so, as a result, premiums are likely to rise.

Most people only buy protection policies once, so the best way for women to evade the life insurance price hike is to take out their cover well before 21st December this year.

It can take quite a few weeks to push through a protection application, especially if medical evidence is asked for, so apply now to avoid the price increases next month.

Andrea Ventress, money expert

 

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