Legal & General Life Insurance How WeCovr Helps You Compare Better

Discover how WeCovr compares Legal & General’s life cover with other top UK providers to secure the best value and benefits

Navigating the world of life insurance can feel like a formidable task. With so many providers, policies, and pages of jargon-filled small print, it’s easy to feel overwhelmed. At the forefront of the UK market stands Legal & General, a household name synonymous with financial security and reliability. They are, without question, one of the nation's leading insurers.

However, is going directly to a giant like Legal & General always the best route for you and your family? While their products are excellent, the UK insurance market is a dynamic and competitive landscape. Other top-tier insurers like Aviva, Zurich, Royal London, and AIG all offer compelling policies, and one of them might provide a better price, more comprehensive cover, or features that are perfectly aligned with your unique circumstances.

This is where WeCovr steps in. As expert independent protection advisers, our role is not just to sell you a policy, but to empower you with clarity. We meticulously analyse the entire market, placing Legal & General's offerings side-by-side with their main competitors. Our goal is simple: to ensure you don't just get a good policy, but the right policy, at the best possible value.

This definitive guide will explore the ins and outs of Legal & General's life insurance, demystify their products, and demonstrate how using an expert broker like us can unlock superior benefits and savings.

Understanding Legal & General: A UK Insurance Titan

Legal & General (L&G) isn't just a big name; it's an institution in the UK's financial services sector. Founded in 1836, the company has grown into a FTSE 100 giant, managing over £1.2 trillion in assets and providing protection to millions of families and businesses.

Their sheer scale and long-standing reputation offer a significant degree of reassurance. When you choose a life insurance policy, you're making a long-term promise to your loved ones, and you need to be confident that the insurer will be there to honour their side of the bargain decades from now. L&G’s financial strength and history provide that confidence in spades.

Key Facts about Legal & General:

• Market Leader: Consistently one of the largest providers of individual life insurance in the UK.
• High Payout Rates: In 2023, Legal & General paid out over £883 million across their life, critical illness, and income protection claims, helping more than 19,000 customers and their families. Their life insurance claim payout rate stood at an impressive 96.9%.
• Award-Winning Service: They regularly receive accolades for their products and customer service, including 5-Star Defaqto ratings for their Life Insurance and Critical Illness Cover.
• Comprehensive Product Range: L&G offers a full suite of protection products, catering to a wide variety of needs from first-time homeowners to high-net-worth individuals and business owners.

Their reputation is built on a foundation of reliability and a commitment to paying valid claims, which is arguably the most important metric for any insurer.

A Deep Dive into Legal & General's Life Insurance Products

Legal & General offers a core range of protection products designed to provide financial safety nets for different life events. Let's break down what they offer.

1. Life Insurance (Level Term Assurance)

This is the most straightforward form of life cover. You choose a cash sum to be paid out and a policy term (e.g., £250,000 over 25 years). If you pass away during the term, your loved ones receive the full, fixed lump sum.

• Who is it for? It's ideal for covering an interest-only mortgage, providing a financial inheritance for your children, or ensuring your family can maintain their lifestyle without your income.
• Key Feature: The payout amount remains the same throughout the policy term, offering predictable protection.

2. Mortgage Life Insurance (Decreasing Term Assurance)

This policy is specifically designed to cover a repayment mortgage. The amount of cover decreases over time, roughly in line with your outstanding mortgage balance. Because the potential payout reduces, premiums are typically lower than for Level Term Assurance.

• Who is it for? Primarily for homeowners with a repayment mortgage who want to ensure the debt is cleared if they die.
• Key Feature: It’s a cost-effective way to protect the family home, the single largest asset for most people.

3. Critical Illness Cover (CIC)

This can be added to either Life Insurance or Mortgage Life Insurance for an extra cost. It pays out a tax-free lump sum if you are diagnosed with one of a specific list of serious medical conditions, such as some types of cancer, heart attack, or stroke.

• Why is it important? Surviving a critical illness can have devastating financial consequences. The payout can be used to cover medical bills, adapt your home, or replace lost income while you recover.
• L&G's Coverage: They cover a wide range of conditions, including enhanced payments for certain less severe conditions. The quality of the definitions is crucial here—something we at WeCovr scrutinise carefully.

Legal & General Product Feature Overview

Valuable Added Benefits: More Than Just a Payout

Modern insurance policies are about more than just money. Legal & General includes their Umbrella Benefits package, which provides valuable, practical support services you can use without having to make a claim.

These often include:

• Wellbeing Support: Access to registered nurses who can provide practical advice and emotional support on a range of health and wellbeing topics.
• Second Medical Opinion: If you are diagnosed with a serious condition, you can get access to a top medical expert for a second opinion on your diagnosis and treatment plan.
• Rehabilitation Support: If you make a claim on an income protection policy, they provide services to help you get back to work.
• Fracture Cover (Optional): An optional add-on that pays out a lump sum if you sustain a specified fracture, helping with short-term costs.

These benefits add real-world value and demonstrate a shift in the industry towards preventative and supportive healthcare.

Why You Shouldn't Just Go Direct to Legal & General

With such a strong offering, it might seem logical to go straight to their website and get a quote. However, this approach has one significant drawback: you only see one part of the picture.

Legal & General can only sell you Legal & General products. While they are a fantastic choice for many, they cannot be the absolute best choice for everyone, in every situation.

Consider these points:

1. Price Competitiveness: While L&G is often competitively priced, another provider like Aviva or Royal London might offer an identical level of cover for a lower monthly premium based on their specific risk appetite and underwriting philosophy.
2. Underwriting Differences: Every insurer assesses risk differently. If you have a pre-existing medical condition (like well-managed diabetes), a high-risk hobby (like rock climbing), or work in a hazardous occupation, one insurer might offer you standard terms while another increases your premium or applies an exclusion. Without comparing, you'd never know.
3. Definition Discrepancies: This is most crucial with Critical Illness Cover. The definition of a "heart attack" or "cancer" can vary subtly but significantly between insurers. A policy from AIG might cover more early-stage cancers than a policy from L&G, or vice versa. A broker's job is to read the fine print for you.
4. Value-Added Benefits: Other insurers have their own unique support services. Zurich offers access to support for mental health, while Vitality famously rewards healthy living with perks like cinema tickets and discounted gym memberships. The "best" package of benefits is a personal choice.

Going direct is like walking into a single car dealership. You might find a great car, but you won't know if another dealership down the road has a better model for your needs at a more competitive price.

The WeCovr Advantage: A Smarter Way to Compare

This is where working with an independent broker like WeCovr transforms the process. We are not tied to any single insurer. Our allegiance is to you, our client. We use our expertise and access to the whole market to find the policy that truly fits your life.

Here's how we provide a superior comparison:

• Whole-of-Market Access: We compare Legal & General against all the other major UK providers, giving you a complete and unbiased view.
• Expert Analysis, Not Just Price: A simple online comparison tool will just show you the cheapest price. We go deeper. We compare the critical illness definitions, the terms for terminal illness payouts, the quality of the included support services, and the insurer's claims history.
• Personalised Advice: We take the time to understand you. Your family structure, your financial situation, your health, your job, and your future goals. This allows us to recommend a tailored solution, not a generic product.
• Application Support: We handle the paperwork and liaise with the insurer on your behalf, making the process smooth and hassle-free. If there are any medical disclosures to make, we know how to present the information to the underwriters in the best possible light.

How Top Insurers Stack Up: A Comparative Glance

To illustrate the point, here’s a simplified comparison of how different insurers might approach key policy features. Note that these details change frequently, which is why up-to-the-minute advice from a broker is so vital.

As you can see, while broadly similar, there are subtle differences. Royal London may cover slightly more conditions, while Aviva's digital health app might appeal to the tech-savvy. Our job at WeCovr is to translate these small differences into what they mean for you.

Furthermore, at WeCovr, we believe in supporting our clients' long-term health. That's why, in addition to finding you the best policy, we provide our customers with complimentary access to CalorieHero, our exclusive AI-powered calorie and nutrition tracking app. It's our way of going the extra mile, helping you build healthy habits that can lead to a longer, fuller life—and potentially lower insurance premiums in the future.

Real-Life Scenarios: How WeCovr Finds the Right Fit

Theory is one thing; practical application is another. Let's look at how our approach helps real people.

Scenario 1: The Young Family

• Clients: David (34) and Sarah (32), non-smokers with two children (aged 2 and 4). They have a £300,000 repayment mortgage with 28 years remaining.
• Their Initial Thought: Get a Decreasing Term policy directly from Legal & General to cover the mortgage.
• The WeCovr Analysis: We quoted L&G, who offered a competitive premium. However, we also compared it with Aviva and Royal London. We found that Royal London's policy, for a few pounds more per month, included an enhanced Children's Critical Illness Cover benefit that also paid out for specific child-related hospitalisations. Given their young family, David and Sarah felt this added peace of mind was well worth the small extra cost. They wouldn't have known this option existed by only looking at one provider.

Scenario 2: The Self-Employed Tradesperson

• Client: Mark (42), a self-employed electrician. He has no sick pay to fall back on if he's unable to work. His main concern is covering his bills if he gets injured.
• His Initial Thought: He heard about Income Protection but found the options confusing.
• The WeCovr Analysis: Legal & General offers a solid Income Protection product. However, for a tradesperson like Mark, the definition of "incapacity" is critical. We compared L&G's policy with specialist providers like The Exeter and LV=. We found that The Exeter offered an 'own occupation' definition of incapacity for the entire life of the policy, meaning he could claim if he was unable to work specifically as an electrician, even if he could do another, lower-paid job. For a skilled professional whose income depends on his physical ability, this superior definition provided far more robust protection.

Scenario 3: The Company Director

• Client: Susan (50), the managing director and 50% shareholder of a successful marketing agency. Her business partner is concerned about what would happen to the business if Susan fell critically ill or passed away.
• Her Initial Thought: Look into Key Person Insurance for herself.
• The WeCovr Analysis: We explored Key Person cover from several providers, including Legal & General. We also identified a more tax-efficient solution: a Relevant Life Plan. This is a policy paid for by the business that pays out to Susan's family directly. The premiums are typically an allowable business expense, and the benefits are not treated as a P11D benefit-in-kind. We compared Relevant Life Plans from L&G, Vitality, and Scottish Widows to find the best combination of price and benefits, saving both Susan and her company a significant amount in tax.

These examples show that the "best" policy is rarely just about the cheapest premium. It’s about the intricate details that match your specific life, work, and family needs.

Beyond Life Insurance: A Holistic Approach to Protection

While life insurance is the cornerstone of financial protection, a comprehensive plan often involves other types of cover. As your dedicated advisers, we look at your situation holistically.

Income Protection (IP)

Often called the bedrock of any financial plan. Your ability to earn an income is your most valuable asset. According to the ABI, one million workers are off sick for more than four weeks each year. IP pays you a regular, tax-free monthly income if you can't work due to illness or injury.

• Key Consideration: The "deferment period"—the time you wait before the payments start. This can be tailored to match any sick pay you receive from your employer (e.g., 4, 13, 26, or 52 weeks). For the self-employed, a shorter deferment period is often vital.

Family Income Benefit

An alternative to a lump-sum life insurance payout. Instead of your family receiving £300,000 in one go, they would receive a regular monthly or annual income for the remainder of the policy term.

• Who is it for? It can be easier for a grieving family to manage a regular income rather than a large lump sum, making it great for covering day-to-day living costs and childcare. It's often more affordable than an equivalent lump-sum policy.

Business Protection Insurance

For company directors and business owners, protecting the business is as important as protecting the family.

• Key Person Insurance: Provides the business with a lump sum if a key employee dies or is diagnosed with a critical illness. This can be used to cover lost profits or recruit a replacement.
• Shareholder/Partnership Protection: Provides the remaining owners with the funds to buy out a deceased or critically ill partner's share of the business, ensuring continuity.
• Executive Income Protection: A policy paid for by the business to provide an income to a key employee if they are off sick long-term. Like a Relevant Life Plan, it's a tax-efficient way to offer a valuable benefit.

Inheritance Tax (IHT) Planning

For those with significant assets, IHT can be a major concern. A life insurance policy written "in trust" can be used to pay the potential tax bill on your estate.

• Gift Inter Vivos Insurance: If you've gifted a large sum of money or an asset (e.g., a property), it might still be considered part of your estate for IHT purposes if you die within seven years. This type of policy is designed to cover that potential tax liability.

We can guide you through all these options, ensuring every aspect of your financial life is protected.

Health & Wellness: Proactive Steps to a Better Premium (and a Better Life)

Insurers are, at their core, risk managers. They offer lower premiums to individuals who live healthier lifestyles because they represent a lower risk. This means the positive changes you make to your health can have a direct and beneficial impact on your wallet.

More importantly, these changes lead to a better quality of life.

• Quit Smoking: This is the single biggest change you can make. A non-smoker can pay less than half the premium of a smoker for the same level of cover. Insurers typically require you to be nicotine-free (including vapes) for at least 12 months to be classified as a non-smoker.
• Maintain a Healthy BMI: Your Body Mass Index is a key factor in underwriting. A BMI within the healthy range (18.5-24.9) will secure you the best rates. Even small, sustainable weight loss can make a difference.
• Moderate Alcohol Consumption: Being transparent about your alcohol intake is crucial. Insurers look for moderate consumption (typically within the NHS recommended 14 units per week) as a sign of a low-risk lifestyle.
• Stay Active: Regular, moderate exercise is proven to reduce the risk of many conditions covered by life and critical illness insurance, including heart disease and some cancers. You don't need to be a marathon runner; brisk walking, swimming, or cycling all count.
• Prioritise Sleep: Chronic sleep deprivation is linked to a host of health problems. Aiming for 7-9 hours of quality sleep per night is one of the best things you can do for your long-term health.

Taking proactive steps for your health is a win-win. You feel better, live longer, and pay less for the vital protection your family needs.

The Application Process: Honesty is Always the Best Policy

Applying for life insurance involves answering a series of detailed questions about your health, lifestyle, and family medical history. It can feel intrusive, but it's essential for the insurer to accurately assess the risk they are taking on.

What to Expect:

1. Personal Details: Your age, occupation, and smoking status.
2. Health & Lifestyle: Questions about your height, weight, alcohol consumption, and any high-risk hobbies.
3. Medical History: You must declare any past or present medical conditions, treatments, or medications. This includes mental health conditions.
4. Family Medical History: Questions about whether your immediate relatives (parents, siblings) have suffered from certain hereditary conditions (e.g., heart disease, cancer, Huntington's) before a certain age (usually 60 or 65).

It is absolutely vital that you answer every question completely and honestly. Non-disclosure—deliberately withholding or misrepresenting information—is the primary reason that a small percentage of claims are denied. If an insurer discovers that information was withheld, they have the right to void the policy, meaning your family would receive nothing. The peace of mind you are buying is only real if the policy is built on a foundation of truth.

Conclusion: Your Partner in Protection

Legal & General is, without doubt, a first-class insurer with a formidable reputation and a range of excellent products. For many people, they will be the right choice.

However, the UK protection market is rich with choice and competition. The best value—the optimal blend of price, comprehensive cover, and benefits that truly matter to you—is often found by looking beyond a single name. The only way to be certain you've secured the best possible protection for your family's future is to compare the market with an expert eye.

That is our commitment at WeCovr. We provide the clarity, expertise, and personalised service needed to navigate the complexities of life insurance. We put Legal & General's offerings to the test against the best in the market, ensuring you make an informed decision, not just an easy one. Protecting your family's future is one of the most important financial decisions you will ever make. Let us help you get it right.