In general, life insurance isn’t just something you sign up for, pay premiums on, and then leave to its own devices. Life circumstances change and, when they do, they can affect the amount of insurance you need, and the premiums you pay. Compare life insurance policies before buying, and once you have a policy, remember to contact your insurer in any of the following situations.

1. If you quit smoking and don’t use tobacco-based products for 12 months

Quitting smoking and forgetting to tell your life insurer may mean that you’re paying premiums that are too high. Research by Sainsbury’s Life Insurance showed that former smokers are paying an unnecessary £316 million per year in premiums by not telling their insurers they have stopped smoking.

2. If you experience changes in your health, you should inform your insurer

Your ability to buy additional life insurance could be affected, and you may be advised to change from having term insurance to buying a permanent policy to fix your rates at their current level.

3. If you get a divorce

Some settlements may require that one partner take out life insurance to provide continuation of support payments to the former spouse in the event of the insured party’s death. This may also be the time to change named beneficiaries on a policy or set up a trust if children become the beneficiaries.

4. If you have a child

Consider increasing the amount of life insurance cover you have with every child you add to your family. Besides paying off the mortgage, survivors would be faced with child care costs, education fees, and many other costs. Partners who stay home to raise children provide services that are very expensive to replace in the event of their death. Many families purchase decreasing term life insurance, where the amount of cover diminishes over the policy term as the amount owed on a mortgage decreases. This can be an inexpensive form of term life insurance for young families.