What’s the difference between Whole of Life Insurance and Term Life Insurance?

Whole of Life Insurance does exactly what it says on the tin. It covers you for your whole life, paying out on your death, whenever that is (providing you keep paying premiums). The payout is guaranteed as the event is assured to happen. For this reason, insurers sometimes call it Whole of Life Assurance or Permanent Life Insurance. Term Life Insurance covers you for a set term and then ends. If you pass away during the policy term, you receive a payout. Premiums are much higher with Whole of Life Insurance because the insurer guarantees a pay out on your eventual death. Clients therefore typically use it for smaller benefits. Term Life Insurance, on the other hand, has an end date. After this, the cover stops and the insurer doesn’t pay out. This end date means lower premiums.

Do Seniors Need a Medical for Life Insurance?

This depends on the type of cover you need and the size of the benefit you require. For Over 50s Life Insurance, most insurers guarantee acceptance if you’re under a certain age. They won’t ask any questions about your medical history, except perhaps your smoker status. However, all other Life Insurance for seniors needs some form of health assessment. This could be as simple as a list of medical questions. For older adults, those applying for higher benefits or with medical conditions, the insurer might ask your GP for access to your medical records. They may even want a full medical assessment by a nurse or doctor depending on your circumstances.

What's the maximum age I can take out Life Insurance?

This depends on the insurer. Many Life Insurance providers have a minimum term requirement, which means they won’t offer coverage for a period shorter than that minimum. While insurers each have a maximum entry age, the minimum term applies. It’s best to speak to an adviser to find an insurer that meets your requirements. Call 02084327333 or compare quotes online to find out your options.

How can I bring down the cost of Senior Life Insurance?

Life Insurance has fewer adjustable policy options than other protection plans. This makes it harder to reduce the overall monthly premium with seniors Life Insurance. However, if premiums seem too expensive, you could use following options to cut the cost: Quit smoking If you go nicotine-free (including substitutes such as vaping / nicotine replacements) for 12 months, you can apply for lower premiums Reduce your benefit Carefully calculate your benefit. For example, if the plan is for a funeral and cremation is acceptable for you and your loved ones, it’s usually cheaper than a burial. Or if it’s for an inheritance tax bill, there may be inheritance tax planning opportunities to lower the bill while you’re still alive Reduce the term For term insurance, consider how long you’ll realistically need cover. The longer a policy lasts, the more it costs. Will you need a payout after your mortgage ends? Is cover to the maximum age essential or just nice to have? If so, you could reduce the term to cut premiums.

How will HMRC tax the payout?

When you pass away, the value of all your assets forms your estate. If your estate exceeds your nil-rate band threshold, HMRC charges inheritance tax at 40% on everything above the nil-rate band. For inheritance tax, assets include payouts from Life Insurance. The size of your estate could therefore be boosted significantly by Life Insurance, resulting in a higher inheritance tax bill. For most people, this is the exact opposite of what they want. Why pay premiums for a benefit only for HMRC to take a chunk before your family gets it? However, if you’re planning to use Life Insurance to cover your inheritance tax bill it would be even worse, having exactly the opposite effect you intended. That’s one of the many reasons it might make sense to write Life Insurance into trust so it’s separate from your estate when you pass away. The insurer pays the benefit to the trust first before the trustees pass it to your beneficiaries. As the payout never falls into your estate, you avoid inheritance tax on it.

What about specific over-50s Life Insurance policies?

Over 50s Life Insurance is a specific type of Whole of Life Insurance. It’s slightly different in that many insurers offer guaranteed cover for anyone under a minimum age, regardless of your medical history, without needing a medical. As insurers don’t ask about your health, they can’t use it to assess the risk and calculate your potential life expectancy. The maximum benefit available is usually therefore much lower, and premiums usually higher in terms of the payout you get for your money, than cover which looks at your medical history.

Is Over 50s Life Insurance the best option for me?

This depends on your circumstances. For example, if you’re in your early 50s, a non-smoker and healthy, you may be better off with a policy that looks at your medical history. That’s because you’ll likely find you can get a higher benefit at a lower cost than with most Over-50s Life Insurance plans. However, if you’re older, a smoker and / or in poor health, the lack of medical questions could work in your favour. Cover with an insurer that asks health questions will likely be more expensive for you than an Over-50s policy. Insurers which assess your health also tend to offer higher maximum benefits as they can better price risk. For example, the maximum benefit on Over-50s Life Insurance is typically just £25,000. If you need a higher benefit than this, then Over-50s Life Insurance is unlikely to work for you.

Do Over-50s Life Cover policies have qualification periods?

Most policies have a qualification period: insurers also call it a moratorium or waiting period. It’s a length of time at the start of the policy where it won’t pay out if you die. This might be 12 or 24 months. Some insurers waive this if you die in an accident (for example a car crash) during this period rather than of natural causes. However, others won’t pay out for any death at all during this period. If this happens, your loved ones typically get a refund of the premiums you’ve paid up until that point, but certainly not the full benefit you were expecting. These qualifications period are not required on traditional life insurance policies where your cover is medically underwritten. As soon as your policy is live you are covered on a traditional plan.

What Is The Best Life Insurance For Seniors In the UK 2025?

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Natalie JenkinsonDigital Marketing Manager

0208 432 7333

18/12/2025

10 mins

IMPORTANT❗️
Our “best” insurer lists reflect our independent analysis of product features, service quality, and value. They are intended as a guide only – the right provider for you may differ depending on your needs and circumstances.

The best Life Insurance for seniors and older adults depends on what you need a payout for. We often help people in this age bracket arrange Life Insurance to:

Pay for a funeral
Meet an inheritance tax bill
Pay off small debts, such as personal loans or credit cards
Cover inheritance tax on certain gifts they make during their life
Cover a mortgage if they pass away before repaying it
Protect dependent family members with a lump sum if they die.

Types of Life Insurance For Seniors

There are four main types of Life Insurance for seniors to consider. All offer peace of mind in various ways, but which one you need depends on your desired end goals.

The four types of Life Insurance are:

Types of Life Insurance for Seniors
Whole of Life Insurance	Covers you for your entire lifetime and pays out a lump sum whenever you die. Guarantees a payout for things like funeral costs or estate planning, no matter when death occurs.
Gifts Inter Vivos Insurance	A group of linked policies designed to cover the inheritance tax on gifts. Helps protect loved ones from an unexpected tax bill if you give away money or assets later in life.
Level Term Life Insurance	Provides a fixed payout if you die within a set number of years, with the benefit staying the same throughout the term. Offers stable, predictable protection for a set period: useful if you need clear, consistent cover.
Decreasing Term Life Insurance	The payout reduces gradually over the policy term, finishing at zero when the policy ends. A cost-effective way to cover a repayment mortgage that shrinks over time.

Which Life Insurance Type is Best For You?

Different kinds of Life Insurance do different jobs, so it’s normal to feel unsure about which one fits your situation.

We’ve broken it down by the most common needs for seniors. If it still feels confusing, don’t worry. Call us on 02084327333 and we’ll explain everything in plain English.

Covering Funeral Costs

If you want to make sure there’s money for your funeral whenever you pass away, Whole of Life Insurance is usually the best choice. A typical UK funeral now costs over £4,000, and this type of policy can help your family avoid finding that money at short notice.

Protecting Against Inheritance Tax

If your estate may face an inheritance tax bill, Whole of Life Insurance can provide a payout that helps cover it. This can stop loved ones from losing 40% of anything you leave above the tax-free threshold.

Protecting Your Family

If you still have a mortgage or anyone relying on your income, Term Life Insurance is likely the right option. It pays out if you die during a set period, i.e. before your mortgage is paid off or while your partner or children still depend on you.

You can choose Decreasing Life Insurance (cheaper, falls in line with a repayment mortgage) or Level Life Insurance (more expensive, but the payout stays the same throughout the term).

What’s “best” for you will depend entirely on your situation. We help people from all walks of life secure the most suitable coverage for their needs. We’re a friendly bunch, so give us a call on 02084327333 to talk through your options. Plus, our advice is fee-free.

Alex Weir
Independent Protection Specialist

Compare Best UK Life Insurance Providers For Seniors In 2025

The UK has a few major senior Life Insurance providers to choose from, each with their own unique policy types, pricing structure, and underwriting process.

There’s no one-size-fits-all when it comes to insurance. The “best” product for you won’t necessarily be the best for someone else, as it all depends on your unique situation. That’s why it’s important to compare quotes and policies from different providers. And the cheapest quote isn’t always the best.

GOOD TO KNOW 🤓
As an FCA-authorised firm, you can trust Drewberry to guide you with integrity and knowledge. You can find us on the Financial Services Register.

How We’ve Chosen Our Top Providers

As an independent insurance broker, we deal with a number of leading Life insurers every day. We’ve weighed up the key features and benefits of each provider’s offering to create this shortlist. Details we’ve compared include:

Claims payout rates
Defaqto rating and Trustpilot review scores
Free policy benefits
Optional policy add-ons.

Best Whole of Life Insurers For Seniors

While every Whole of Life Insurance provider offers Term Life Insurance, not every Term Life Insurance provider offers Whole of Life Cover.

Our list of “top” Whole of Life insurers has been put together by considering product offering, company size, longevity, and customer reviews.

Aviva

Aviva is one of the UK’s largest insurers, serving more than 20 million customers across the nation. They recently acquired AIG Life UK (now Aviva Protection UK) to strengthen their personal protection offering.

Key Facts

Maximum entry age: 85
Claims payout rate: 98.8% in 2024
Standout features: Optional waiver of premium, Aviva DigiCare+ for health support.

Why It’s Good for Seniors

Guarantees payout for funeral or estate planning
Predictable premiums and flexibility for life changes
Can increase cover without medical underwriting if IHT rules change.

Enquire about an Aviva Whole of Life policy.

Royal London

Royal London is the UK’s largest mutual life, pensions, and investment company, owned by its members rather than shareholders. With over 2.3 million members, it’s known for its customer-first approach – scoring highly on review sites.

Key Facts

Maximum entry age: 88
Claims payout rate: 99.9% in 2024
Standout features: Helping Hand wellbeing service, guaranteed insurability for certain life events without new medical evidence.

Why It’s Good for Seniors

High flexibility for estate planning and legacy
Strong customer ratings and Defaqto 5-star rating
Excellent claims record for Whole of Life product.

Enquire about a Royal London Whole of Life policy.

Scottish Widows

Part of the Lloyds Banking Group, Scottish Widows is one of the UK’s oldest financial institutions, founded in 1815. With over 200 years of experience, they have built a strong reputation for stability and customer care, offering a wide range of protection, pension, and investment products.

Key Facts

Maximum entry age: 79
Claims payout rate: 99% in 2024
Standout features: Access to Scottish Widows Protect: a range of practical and emotional support services at no extra cost.

Why It’s Good for Seniors

Excellent claims record
Cover lasts to age 90
Terminal illness cover included.

Enquire about a Scottish Widows Whole of Life policy.

Vitality

Vitality is a leading insurance and investment company, offering a range of Life and Health Insurance products. Its core purpose is to make people healthier and help them to protect their lives, offering perks and incentives for policyholders who practice healthy habits.

Key Facts

Maximum entry age: 84
Claims payout rate: 99.7% in 2024
Standout features: Unique rewards and discounts for adopting a healthy lifestyle.

Why It’s Good for Seniors

Discounts and rewards for healthy living (up to 40% off premiums)
Optional extras for later life care and illnesses such as dementia
Strong claims payout record.

Enquire about a Vitality Whole of Life policy.

Zurich

Zurich Insurance Group is a global insurer with over 150 years of experience, serving customers in more than 200 countries.

Key Facts

Maximum entry age: 83 (for single life cover)
Claims payout rate: 99.8% in 2024
Standout features: Increase cover without medical underwriting.

Why It’s Good for Seniors

Ability to adjust cover without medical checks
No upper age limit at claim
Strong financial stability and high claims payout rates.

Enquire about a Zurich Whole of Life policy.

Best Term Life Insurers For Seniors

There are more Term Life Insurance providers than Whole of Life Insurance providers, so you’ll have a few more to choose from if you go for this option.

Our list of “top” Term Life insurers has been put together by considering product offering, company size, longevity, and customer reviews.