Some Things Just Don't Add Up

Let's say you are a 44 year old male and a non-smoker. You want to buy €100,000 worth of life cover and you are unsure as to whether you should but a Term Insurance or Guaranteed Whole of Life product.

The current cost of a Term Insurance policy to age 89 with Aviva Life and Pensions is €61.31 per month.

The current cost of a Guaranteed Whole of Life policy with Aviva Life and Pensions is €142.01 per month.

If you bought the Term Insurance and had the discipline to save the difference in premium of €80.70 per month over the 45 years,you would end up with a fund of over €160,000 (assumes growth rate of 5%pa net).

So why would you buy the Guaranteed Whole of Life product from Aviva?

Answer : You wouldn't.