From UK Insurance Index:
Norwich Union has announced a series of rate reductions on its Mortgage Life Insurance (MLI) and Term Assurance policies.
The reprice is designed to make the cost of Norwich Union life insurance more affordable in the light of the recent credit crunch and ease the financial burden for the average home buyer. The reductions are focused on providing affordable cover for sums assured of £175,000 and above as the average house price now stands at £183,959 according to the Nationwide Building Society.
Customers buying cover with critical illness insurance included will also benefit as decreasing and level term insurance with CI cover has been cut by an average of 3% and 2% respectively.
In addition, the reprice will also include mortgage life insurance and term assurance policies with term’s beyond the traditional 25 year mortgage term. This follows changes in market demand as more and more borrowers require policies to cover mortgages of 30 or 40 years.
Head of protection m…