Guide to life insurance for dads

This content was reviewed and approved by Geoff Eaton and Fiona Robson.

The information on this page should not be considered as financial advice. If you are unsure what’s right for you, please make sure you speak to a financial adviser.

As a dad, you’ll want to make sure your family and children are financially protected. A common way of doing this is with life insurance.

This guide will explain why life insurance for dads offers a vital safety net following the unexpected loss of a parent.

Why is life insurance for dads so important?

If you’re a dad, life insurance provides your loved ones with guaranteed financial support should the unexpected happen and you pass away.

According to the Childhood Bereavement networked based on 2019-2021 data^[1]. It is estimated that one parent dies every 20 minutes in the UK leaving dependent children behind. Between covering the mortgage, household bills, childcare costs, and everyday expenses, your family could struggle to keep up with payments without your regular income.

If something happens to you, life insurance provides financial security for others when you’re no longer around. Given the cost of raising a child to 18 in the UK is approximately £260,000 for a couple and £290,000 for a lone parent based on CPAGs most recent report^[2], life insurance for dads offers an important lifeline for surviving dependants.

What can life insurance for dad’s cover?

As a father, have you considered the impact your death would have on your loved ones? Life insurance for dads offers financial peace of mind if you pass away during the term of the policy.

If you were to die and a valid claim is made, a life insurance cash sum could be used for any reason such as:

What are the different types of life insurance for dads?

There are several different types of life insurance that are worth considering for most dads. From level cover to decreasing cover, life insurance for dads may include:

Level term life insurance for dads

Level term life insurance pays out a cash lump sum if you die during the term of the policy which with LV= can last for between five and 50 years, depending on your age when you take out the policy. Both the value of the payout and the cost of your monthly premiums are fixed throughout the policy term, hence the ‘level’ reference.

Decreasing term life insurance for dads

Decreasing term life insurance is designed to cover the reducing amount owed on a repayment mortgage or loan. The amount of payout you’ll receive gradually decreases, in a similar way to the way the amount you owe on a repayment mortgage reduces, as you make your repayments.. Policies with LV= can run for between 5 and 50 years depending on your age when you take the policy out. However, you’ll always pay a fixed amount for your cover. Decreasing term can be cheaper than other life insurance as the payout from a valid claim reduces over time until it reaches zero, and the policy ends.

Increasing cover life insurance for dads

Unlike decreasing cover, the value of the payout goes up each year, either by a fixed amount or with LV= when inflation rises. Cover is set for a specified term, and the aim is to help protect your policy against increases in inflation or living costs so that your beneficiaries receive a payout suitable for current living standards. With this type of policy, your premiums also go up as your cover increases, potentially at a higher rate than inflation itself.

Note: LV= only offers increasing cover life insurance through financial advisers.

Whole of life insurance for dads

As the name suggests, whole of life insurance protects you for your entire life, as long as you keep up with regular payments. There is no fixed term, and the policy ends when you die, upon which you’ll receive a fixed payout. Whole of life insurance premiums are almost mostly fixed, but they can vary the older you get.

Note: LV= no longer offers whole of life insurance policies.

What type of policy do I need when buying life insurance for dads?

As a dad, you can buy life insurance either as a joint policy or a single policy. A joint life insurance policy covers two people, usually you and your partner. With LV= It pays out when one named person on the policy dies, after which the policy ends. When that happens, the surviving person is no longer covered, and they would need to buy a new policy in their name to protect their children or any dependents.

Joint life insurance policies

Joint life insurance policies are mostly used by couples with children or other financial dependents. The length of cover is fixed once your policy starts, and the payout from a policy can help provide your beneficiaries with financial security. The money could be used to pay off a jointly held mortgage or to cover other expenses when you’re gone.

Single life insurance policies

Single life cover for dads only covers you. It pays out if a valid claim is made during the term of the policy. If the policyholder dies, the policy ends. You can also take out single life policies as a couple. If you or your partner make a valid claim, a plan will pay out and the other person’s policy will continue for as long as regular premiums are met or for the term of the policy.

Is there life insurance for single dads?

Life insurance can be just as beneficial for single dads as it is for those in a relationship or living with a partner. If you are a father, your number one priority is probably ensuring your children are financially taken care of should the unexpected happen and you pass away.

If you’re a parent and are still responsible for the financial wellbeing of your children or other dependents, a life insurance payout will help give them some financial security if you die.

Can you get life insurance for older dads?

Yes, you can take out life insurance if you’re an older dad, although premiums are typically cheaper the younger and healthier you are. However, that doesn’t prevent you from buying life insurance if you’re an older dad, and with LV=you can apply for a policy if you’re a permanent UK resident aged between 17 and 84, but your cover must end before you reach 90 years of age. If you’re adding critical illness cover, with LV= you must be aged between 17 and 64 when your policy starts, and your cover must end before you reach 80 years of age. In both cases your cover must last for at least 5 years, and cannot last longer than 50 years.

If you’re looking for life insurance, making lifestyle changes like quitting smoking and reducing alcohol consumption can often bring the cost of your premiums down. Given the life expectancy of UK men is 79 years, many older dads consider life insurance to provide their family and dependents with financial security.

Is life insurance for dads something you’re considering?

Dads who take out life insurance can help protect their loved ones should the worse happen. It helps provide your dependents with financial security to plan for the future when you’re gone.

If you’re a dad, you can read more about your options in our life insurance guide. Or contact us today to discuss your life insurance needs.

Other resources

^[1] UK Death Statistics | Child Bereavement UK

^[2] The Cost of a Child reports | CPAG

^[3] National life tables – life expectancy in the UK - Office for National Statistics