Best UK life insurance policies

Remember, it’s a good idea to speak to an insurance expert before choosing a policy. At Tembo, our in-house team of award-winning advisers can compare the top life insurance policies to find the most suitable cover for you and your family. 

Top 5 life insurance policies in the UK:

1. Royal London

Royal London has a good track record when it comes to paying out insurance claims - they paid out 99.4% of claims in 2022, helping more than 79,000 customers and their families. Royal London offers a range of policies including level and decreasing term life insurance as well as critical illness and income protection. Plus, they promise to make an immediate payout of at least £5,000 for funeral costs, even if the rest of the claim is delayed. This means your loved ones won’t need to dip into savings or borrow money to pay for your funeral costs while they wait for a payout. 

However, Royal London life insurance might be pricer than other providers. For a 30-year-old, a level term life insurance policy for £300,000 would cost £127 per year, which is more than average.

If you’re buying life insurance through a broker, you can add a waiver of premium to your policy. This means that if you’re ever seriously ill for between 4 to 52 weeks during your policy, you won’t need to pay your life insurance premiums during this period.

2. Vitality

Vitality takes a more health-orientated view of life insurance, rewarding its members for living a healthy lifestyle. This makes them a perfect choice if you spend a lot of time in the gym or you want to get fit this year. Get involved in the Vitality Rewards programme and you’ll have access to discounted gym memberships, free cinema tickets and coffees, and even money off spa retreats. According to Vitality’s claims report, members who made the most of these benefits had a 41% lower mortality rate than non-engaged members.

Vitality also has a solid record when it comes to paying out on claims - in 2022, they paid out 99.7% of all life insurance claims in 2022. Their life insurance can start from as little as £5 a month, plus you can get up to 40% off your premiums in the first year with the help of its Optimiser add-on. In fact, in 2022 Vitality members saved £42m through Optimiser discounts.

3. LV=

LV= is also up there when it comes to paying out on life insurance claims. They paid 97% of claims in 2022, including life insurance, terminal illness and income protection products. 

When you take out an eligible LV= life insurance policy, you’ll also have access to LV= Doctor Services, a Legal Advice Line and other member benefits at no extra cost. Its Doctor Services offering gives you remote access to more than 5,000 medical professionals, up to 5 remote physiotherapy sessions and mental health sessions a year, and discounted health MOTs. 

With the Legal Advice Line, you’ll get 24-hour access to free legal advice, where you can get advice relating to employment rights, neighbour disputes, property-related issues, consumer rights, and wills and probate. 

Learn more: Best income protection policies in the UK

4. Aviva

Aviva paid out 99.4% of their life insurance claims in 2022, earning them a spot on our best UK life insurance policy list, as this makes them one of the best insurers in terms of payout rate.

Aviva sells a wide range of life insurance policies including level, decreasing and increasing term cover. Its policies also have the option to add critical illness cover, which could work out more cost-effective than taking out a separate critical illness policy elsewhere. 

You also get access to the Aviva DigiCare+ smartphone app, which helps you check your health, provides advice and can be used to connect to clinicians, nutritionists and therapists.

Aviva is a signatory to the Protection Distributors Group Funeral Payment Pledge, which requires insurers to make an immediate payment of at least £5,000 for funeral costs when other parts of valid claims are held up (for example, by probate delays). 

Looking for over-50s life cover? Aviva offers life insurance to over 50s and promises to pay out on every single claim. There’s no need for any health questions or checkups. Your monthly payments will stop after 30 years (or our first policy anniversary after your 90th birthday), but your cover will continue. 

Learn more: Can I have more than one life insurance policy?

5. Zurich

Zurich provides a range of life insurance options, including level, decreasing and increasing term life insurance policies, along with critical illness cover and income protection cover. They have a good track record for claim payouts - in 2022 they paid out on 98% of death claims.

With Zurich’s life insurance, customers and their families get access to the Zurich Support Service. This is a 24-hour helpline where you can get support and advice regarding big financial decisions, debt concerns, consumer rights issues, mental health struggles, and a number of other issues. 

Zurich is also a partner of Trees for the Future, an initiative which funds tree planting and restoration projects in Africa. The insurance providers promise to provide enough funding for more than a million trees to be planted across Mali and Senegal over the next two years.

Learn more: Do beneficiaries pay taxes on life insurance?