Invalidating life insurance

However, many people don’t get around to reading the small print and this is how some insurance myths have become confused with facts over the years.

Research by Aviva found that 33% of people never fully read their home insurance policy and 25% of people don’t know what it covers them for.

Similar clauses are also written in the small print of travel insurance policies so don’t expect to be covered if you leave your stuff on the beach while you go swimming and return to find it’s been swiped by thieves.

Overweight people get charged more for life insurance True: The higher the risk of someone dying, the more likely an insurance company will increase the client’s premium. “In particular, insurance companies look at family history, medical health and lifestyle (such as dangerous hobbies, occupations, alcohol and drug use),” explains Matt Morris, spokesperson for broker Life Search.

But in recent years drivers with a more risky profile, such as younger motorists, have opted for this cover to keep insurance costs down.

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The idea is that if you died the insurance payout would stop your family from struggling financially and enable them to stay in the family home or children continue in private or further education.

Peter Gerrard, head of insurance at moneyextra.com, says: “Nobody wants to have to claim on insurance, and it is only ever bought as a peace of mind purchase.

However, it is likely that many policyholders aren’t fully aware of what is covered within their motor, home and travel insurance policies, and don’t view their policies from one renewal date to the next.” We’ve looked at some of the most common myths to help you untangle the truth from the fiction.

Research by has found that on average third-party only cover for a driver under the age of 21 is £1,434 a year, which is 50% more expensive than opting for fully comprehensive insurance at £955.

You won’t be able to get insurance if you have motoring convictions False: Having convictions for speeding, using your mobile behind the wheel or even careless driving won’t render you totally uninsurable, but it will make getting insurance more difficult – and expensive.

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