Term Life Insurance Premium Calculator
Your Premium Estimate
Monthly Premium-
Annual Premium-
Total Premiums Over Term-
Cover Amount-
Average Monthly Premiums (£250,000 cover, non-smoker)
| Age | 10 Year | 20 Year | 30 Year |
|---|---|---|---|
| 25 | £5.50 | £7.20 | £10.50 |
| 30 | £6.20 | £8.80 | £13.50 |
| 35 | £7.50 | £11.20 | £18.00 |
| 40 | £10.50 | £17.80 | £28.50 |
| 45 | £15.80 | £28.50 | £48.00 |
| 50 | £24.50 | £46.00 | N/A |
Indicative premiums based on average UK provider rates. Actual premiums vary by provider, health, occupation and lifestyle.
Key Facts
Smoker Premium
+50–100%
Trust Benefit
IHT-Free
Payout
Tax-Free
Min Cover
£25,000
Max Cover
£5m+
Avg UK Cover
£200,000
How to Use This Calculator
1
Enter your age
Your age is the biggest factor in life insurance premiums. Younger applicants pay significantly less.
2
Enter cover amount
Consider your mortgage, debts, income replacement needs and children's education costs.
3
Select policy term
Match to your mortgage term or until your youngest child is financially independent.
4
Select smoker status
Smokers and vapers pay significantly higher premiums, typically 50-100% more.
5
Review your estimate
See monthly, annual and total premium costs over the policy term.
Frequently Asked Questions
How much life insurance do I need?
A common rule of thumb is 10-15 times your annual income, plus your mortgage balance and any other debts. Consider your partner's income, children's needs, and funeral costs. Use a needs-based analysis for the most accurate figure.
Is life insurance tax-free?
Yes, life insurance payouts are free from income tax and capital gains tax. However, if not written in trust, the payout forms part of your estate and may be subject to inheritance tax (40% above £325,000). Always write your policy in trust.
What is the difference between level and decreasing cover?
Level term cover pays the same amount throughout the policy. Decreasing term cover reduces over time (matching a repayment mortgage). Decreasing cover is cheaper but may leave your family underinsured if your mortgage is paid off early.
Do I need to disclose medical history?
Yes. You must answer all health questions honestly. Failure to disclose relevant medical history could invalidate your policy. Pre-existing conditions may result in higher premiums or exclusions.
Can I get cover if I smoke or vape?
Yes, but premiums are significantly higher. Most insurers classify vapers as smokers. If you quit smoking, you typically need to be smoke-free for 12 months before being reclassified as a non-smoker.
What is writing a policy in trust?
Writing your policy in trust means the payout goes directly to your beneficiaries without forming part of your estate. This avoids probate delays and potential inheritance tax. Most insurers offer free trust forms.
Official Sources & References
Data verified against official UK government sources. Last checked April 2026.