Scottish Widows is cutting its term rates by up to 15% in the latest move in the term cover price wa...
Scottish Widows is cutting its term rates by up to 15% in the latest move in the term cover price war.
The rate cuts apply to the life office's level term assurance and convertible term assurance plans as well as to life cover on its mortgage protection term assurance plan. A series of life offices have been cutting their term rates in the last few years as price competition in the term market intensifies.
This rate cuts mean that rates go down by around 10% for a 10-year level term assurance plan with £100,000 of cover for a non-smoking male aged 30 next birthday. The premiums for this type of policyholder fall from £8.50 per month to £7.50 per month.
The group is cutting rates by around 15% for a 10-year convertible term assurance plan with £100,000 of cover for a non-smoking male, 35 next birthday. The premiums for this category fall from £17 pm to £14.50 pm.
On its mortgage protection term assurance plan with life cover of £100,000 over 25 years, monthly rates fall from £13 to £12.50 for a non-smoking male aged 35 next birthday.
Bob Gibson, head of marketing at the life office, said: 'Scottish Widows has held a commanding position in the term assurance market for several years.
'Combined with our high service standards, these reduced rates represent our continued commitment and will help to ensure we remain at the forefront of this important market.
