Both Scottish Provident and Norwich Union have cut protection rates with effect from July 2005.
Scottish Provident has adjusted premium rates on its death or earlier critical illness (CI) benefits, with the vast majority of rates being reduced.
According to the Edinburgh- based provider, people in their 50s and those who opt for a plan with a 30-year term will see the greatest reductions.
In the meantime, Norwich Union has cut the premium rates on its term assurance products.
Term assurance without guaranteed CI premiums have been reduced by an average of 3.2%, term assurance with guaranteed CI premiums have been reduced by an average of 1.9% and mortgage life insurance without integrated guaranteed CI premiums have been reduced by an average of 2.5%.
Mortgage life insurance with integrated guaranteed CI premiums have also been reduced by an average of 0.1%.
Neil Pine, pricing manager, risk products at Norwich Union Life, said: "There has definitely been a marked increase in term pricing activity in the first half of of 2005.
"We monitor all price changes closely and then decide whether action is needed to ensure that our desired competitive position is maintained.
Consistent with this approach, we are now reducing a large proportion of our term assurance and mortgage life insurance rates," he added.
