Consumers could be wasting £106m a year by not shopping around for life cover, according to research from Charcol. The broker found a 27% difference between the most expensive to cheapest quotes, and called on brokers to be aware of the opportunity to review cover during the remortgaging process.
For a 30-year old male non-smoker looking for £100,000 cover over 25 years Norwich Union quoted £8.35 a month, while Abbey National quoted £11.44. Charcol concluded that by using a broker to track down the best policy clients can save up to £900 over the life of the policy.
Roderick Rennison, financial services director at Charcol, said: ‘Many people are remortgaging to save money, so why not look at life and general insurance? Some 30% of policyholders have not reviewed their life cover since purchasing it, so if you took out a policy in the last four or five years it is worth reviewing to see if it can be found cheaper.’