Life insurance is a contract between you and an insurance provider that guarantees a tax-free lump sum will be paid to your chosen beneficiaries if you pass away during the policy term. In Ireland, life insurance can be taken out as a single policy (covering one person) or a joint policy (typically for couples or business partners). The primary aim is to ensure your loved ones are financially protected, helping to cover funeral costs, mortgage repayments, outstanding debts, or ongoing living expenses.

You pay a monthly or annual premium, and in return, the insurer agrees to pay out a specified amount (sum assured) if you pass away during the policy period. There are various types of life insurance available in Ireland, including Level Term Life Insurance, Whole-of-Life cover, and Mortgage Protection, each designed to suit specific life stages and needs. It’s essential to understand the differences between these types, as some provide cover for a set term while others offer lifelong protection.

According to Brokers Ireland, the average cost of a funeral in Ireland is €4,062, while a standard mortgage runs into the hundreds of thousands. Without a life insurance policy, your family could be left facing significant financial strain. That’s why many Irish families view life insurance not just as a safety net, but as a core part of a broader financial planning strategy. View our “articles here” or try our Quote Calculator to explore your options.

The amount of life insurance you need depends on your personal situation, your income, number of dependents, outstanding debts, and long-term financial goals. A common starting point is to multiply your annual income by 10. For example, if you earn €40,000 per year, a cover of €400,000 may offer adequate protection. However, this should be adjusted based on your mortgage, childcare costs, and whether you want to support your children’s education.

It’s also important to account for inflation and rising living costs. A €300,000 payout today won’t go as far in 10 or 20 years. That’s why some policies offer indexation, an optional feature that allows your cover to increase each year in line with inflation, helping to preserve its real value. Your premium will also rise slightly each year.

Many policies also include conversion options, allowing you to extend or renew your policy without medical checks. For instance, if you take out a 20-year term policy, you can convert it into a longer policy near the end of the term even if your health has changed. This offers long-term flexibility and peace of mind.

Finally, if you’re taking out a joint policy, it’s worth understanding the difference between:

• Joint Life Cover – Pays out once, usually on the first death, after which the policy ends.
• Dual Life Cover – Covers both individuals separately. It pays out on the death of each person, offering two separate payouts.

Dual Life is especially suitable for non-married couples or those with children from previous relationships, as it ensures both parties are individually protected.

You can also take out a “life of another” policy, which means you own a life insurance policy on someone else’s life, typically a partner, spouse, or business associate, provided you can prove what’s called an “insurable interest” (i.e. their death would cause you a financial loss).

For example, a person might take out a policy on their partner’s life (even if they’re not married), or a business partner might insure the other partner’s life to cover debts or loss of income in the event of death. In this case, the policyholder pays the premiums and is the beneficiary of the payout if the insured person dies.

This setup can be useful for cohabiting couples, business owners, or anyone who wants financial protection linked to someone else’s life, but it’s important to get advice, as there may be tax implications depending on the structure. Read more about protecting your life insurance payout if you’re not married.

At LowQuotes, our advisors use a personalised fact-find approach to determine how much cover suits your specific situation. We also provide a free Quote Calculator to help you get an initial idea, and you can speak with our team for a no-obligation review of your existing or planned policy.

In Ireland, the most common types of life insurance include Term Life Insurance, Whole-of-Life Insurance, and Mortgage Protection. Term Life Insurance covers you for a fixed period (e.g., 20 years) and pays out a lump sum if you pass away during that term. It’s generally the most affordable and flexible option. Whole-of-life insurance, on the other hand, guarantees a payout whenever you die, as long as premiums are maintained, making it ideal for those thinking about long-term estate planning, albeit at a higher cost.

There’s also Convertible Term Life Insurance, which gives you the flexibility to extend or renew your policy in the future without having to go through another medical exam. This is particularly useful for younger individuals or families who expect their financial needs to evolve. For couples or partners, Joint Life and Dual Life policies are available. Joint Life pays out once (usually on the first death). At the same time, Dual Life can provide two separate payouts, offering more comprehensive protection.

Another key option is Serious Illness Cover, which pays a lump sum if you are diagnosed with a specified critical illness such as cancer, stroke, or heart attack. While not a replacement for life cover, it can help with medical costs or time off work. In addition, Cancer Cover is now offered as a standalone product by some providers, providing specific protection against various types of cancer. This may be especially appealing to those with a family history of cancer or those who want affordable cover focused solely on that risk area.

At LowQuotes, we work with Ireland’s leading insurers (Aviva, Zurich, Royal London, New Ireland) to tailor policies to your lifestyle, needs, and budget, whether you’re a single professional, a young family, or planning for retirement. We help you combine these cover options strategically, so your protection package is not only cost-effective but also aligned with your long-term goals.

The cost of life insurance in Ireland depends on a range of personal and policy-related factors such as your age, health, smoking status, the type and length of the policy, and how much cover you choose. For instance, a healthy 30-year-old non-smoker might pay just €10–€15 per month for €200,000 of cover over 20 years, while someone in their 50s or with health conditions could pay upwards of €50 for the same cover. The earlier you take out a policy, the cheaper your premiums will likely be, which is why securing protection while you’re young and healthy is often advised.

According to Royal London’s 2023 consumer survey, the average life insurance premium in Ireland falls between €20–€30 per month. But while price is important, it shouldn’t be your only consideration. Add-ons such as Serious Illness Cover or a Conversion Option (which allows you to extend your policy later without undergoing further medical underwriting) can increase the cost, but significantly enhance long-term security. Ultimately, the cheapest policy isn’t always the best; what really matters is how well the cover aligns with your family’s future needs and how flexible it is if your circumstances change.

When deciding how much cover you need, a common rule of thumb is to aim for at least 10 times your annual income. But that’s just a starting point. Consider your mortgage, outstanding debts, day-to-day expenses, education costs, funeral expenses, and any future needs, such as childcare or medical bills. For example, if you earn €50,000 per year and still owe €250,000 on your mortgage, you might look for a policy of at least €500,000, but even that can diminish quickly once real-life expenses kick in. Without proper planning, your family may still struggle financially despite receiving a payout. That’s why our team at LowQuotes goes beyond price comparison to help tailor a policy that truly protects your loved ones. We also offer a Free Will Kit, worth €120, with every policy, so you can clearly outline how your life insurance payout should be used, whether that’s for a child’s education, a trust fund, or a home deposit.

Life Insurance is a broad term that generally refers to policies that provide a lump sum to your beneficiaries in the event of your death. These policies are typically designed to support your family financially, helping to cover ongoing expenses, debts, education costs, or simply providing peace of mind. The policy is flexible and can be tailored to your needs, including options like Term Life, Whole of Life, or Convertible Term.

Mortgage Protection, on the other hand, is a specific type of life insurance that is designed to pay off your mortgage balance directly to the bank if you die during the term of the loan. It’s usually required by lenders when taking out a mortgage in Ireland. This cover decreases over time in line with your mortgage balance and is paid directly to the lender, not to your family. It’s usually the most affordable type of life cover.

For example, if you have a €250,000 mortgage and pass away with 10 years remaining, the Mortgage Protection policy would cover the remaining balance. But if you want to leave a lump sum for your children or spouse beyond the mortgage, you’d need additional Life Insurance. Many families in Ireland choose to have both Mortgage Protection to secure the home and a separate Life Insurance policy to safeguard their loved ones’ future.

The amount of coverage you need depends on several personal factors, including your income, outstanding debts (such as a mortgage or loans), the number of dependents, your lifestyle, and long-term financial goals. A standard guideline is to have cover that’s 10 to 15 times your annual income, but this can vary significantly based on your circumstances.

Start by calculating what your family would need to maintain their current lifestyle if you were no longer there to provide for them. For example, if you earn €50,000 a year and want to ensure your spouse and two children are supported for the next 10 years, you might consider €500,000 in cover. You may also want to include future expenses, such as university fees, childcare, or ongoing bills.

Many insurers in Ireland, including Aviva and Zurich, offer calculators to help you estimate your Life Insurance needs. At LowQuotes, we can assist you with a free, personalised assessment to determine the appropriate cover for your situation. The goal is to strike a balance between affordability and meaningful protection.

Life insurance is a long-term commitment, but we understand that life circumstances can change. If you stop paying your premiums, your policy will usually lapse after a short grace period (typically around 30 days). This means you’ll no longer be covered, and if anything happens to you after that, your beneficiaries won’t receive a payout. It’s also important to note that standard Life Insurance in Ireland, such as term life or Mortgage Protection, is a “pure protection” product. That means there’s no refund or cash value if you cancel or stop paying.

However, cancelling your policy isn’t your only option if you’re experiencing financial difficulty. Some insurers offer premium holidays, which allow you to temporarily pause payments without losing your cover. These are generally only available after holding the policy for a certain number of years and often come with specific terms. Another option might be to reduce your level of cover, for instance, dropping from €400,000 to €200,000 of cover to lower your monthly premium. You could also remove extras, such as Serious Illness Cover, or switch from a Dual Life to a Joint Life policy to reduce costs.

It’s crucial not to let your policy lapse without reviewing your options, especially since starting a new one later could be more expensive, particularly if your health has changed or you’re older. New policies require medical underwriting, and pre-existing conditions can affect your eligibility and premiums. At LowQuotes, our advisors will help you work with your insurer to restructure your policy or explore cost-saving alternatives so you can stay protected without putting extra strain on your finances.

Yes, having a medical condition does not automatically disqualify you from obtaining life insurance in Ireland. However, the insurer will assess your health through underwriting, which may include reviewing your medical history, requesting GP reports, or ordering additional tests. Conditions like asthma, diabetes, or mental health issues are common and can often be covered, though sometimes at a higher premium or with specific exclusions.

Every insurer has different underwriting criteria. For example, one provider may offer standard rates for a condition that another considers high-risk. That’s why it’s critical to work with a broker like LowQuotes, who can compare policies across Zurich, Aviva, Royal London, New Ireland and more to find the most favourable outcome for your case.

We recently helped a client with well-managed Type 2 Diabetes secure cover with no exclusions by presenting the case to the right provider and including a doctor’s statement. Don’t assume you’re uninsurable; it’s worth getting personalised advice before making any decisions.

Yes, most Life Insurance policies in Ireland allow some flexibility. If your circumstances change, for example, you have another child, take on a bigger mortgage, or separate from your partner, you can review your cover. In many cases, you can increase your cover or extend the term without undergoing full medical underwriting, particularly if you’ve added a conversion option when the policy was set up.

You can also cancel your policy at any time by simply stopping the payments; however, as noted, you won’t receive a refund on premiums already paid. It’s important to review any new policy before cancelling your existing one to ensure there’s no gap in cover.

At LowQuotes, we offer free annual reviews for our clients to ensure their Life Insurance continues to align with their life stages. A good example is a client who switched from a basic Mortgage Protection plan to a complete Family Life Insurance package after the birth of their second child, ensuring broader protection without a massive increase in cost.

If you’re not married or in a civil partnership, your partner won’t automatically receive your life insurance payout unless they’re specifically named as the policy beneficiary. Even if they are, the payout may be subject to inheritance tax, up to 33%, unless the policy is set up correctly. To protect your partner and avoid tax, consider placing the policy in a life insurance trust or using a “life of another” setup with clear ownership and premium payments.

If you outlive your term life insurance policy, the cover simply expires, and no payout is made. This is because term life insurance is designed to provide protection only for a specified period (e.g., 20 or 30 years). Once the term ends, your policy ends too, unless you’ve taken out additional features like a conversion option.

A conversion option allows you to extend or replace your policy without undergoing a new medical assessment. For example, if you originally took out a 20-year policy with Zurich or Royal London and included the conversion benefit, you can apply for a new policy even if your health has changed. This can be especially helpful for people nearing the end of their policy term who still need cover for dependents, debts, or final expenses.

If your policy didn’t include conversion and you still require protection, you can apply for a new policy. However, keep in mind that premiums will likely be higher due to your increased age and any new health conditions. In such cases, some people opt for a Whole-of-Life policy, which offers lifelong cover and a guaranteed payout, albeit at a higher cost.

It’s a good idea to review your cover 1–2 years before your policy ends. Our advisors at LowQuotes offer free policy reviews and can help you explore your options for continued cover, whether that’s conversion, replacement, or switching to a more suitable type of protection based on your current needs and budget.

In most cases, a life insurance payout in Ireland is not subject to income tax, which means your beneficiaries receive the lump sum tax-free. However, the Capital Acquisitions Tax (CAT) may apply depending on who receives the payout and the relationship to the deceased. Here’s how it works:

• Spouse or Civil Partner: No tax is due. Life insurance payouts to a spouse or civil partner are fully exempt from inheritance tax.
• Children: Each child has a Group A CAT threshold of €400,000 (as of 2025). This means they can inherit up to this amount from a parent (including the life insurance payout) without paying tax. Anything above this is taxed at 33%.
• Non-married partners, siblings, friends: These fall under Group B or C thresholds, which are significantly lower (Group B: €40,000, Group C: €20,000). If the payout exceeds the threshold, the 33% CAT rate applies to the excess.

To reduce or avoid tax liability, life insurance policies can be put in trust, especially for non-married partners or adult children. This ensures the payout doesn’t form part of your estate and may help in bypassing CAT liabilities.

Example: A single person leaves a €200,000 life insurance payout to their partner (not married). Without a trust, the partner may face CAT on most of it due to the low Group C threshold. But with proper planning, e.g., setting up a Section 72 policy or using a trust, this tax can be reduced or eliminated.

At LowQuotes, we help you structure your policy in the most tax-efficient way possible, ensuring your loved ones receive the full benefit of your protection without unexpected tax bills.

For most individuals, standard personal life insurance premiums are not tax-deductible in Ireland. However, there are important exceptions, particularly for business owners and those using life insurance for estate planning or income protection:

When it is tax-deductible:

• Pension Term Assurance (PTA): If you’re self-employed or don’t have a company pension, you may qualify for tax relief on life insurance premiums under a PTA policy. This can provide income tax relief at your marginal rate (20% or 40%), similar to pension contributions.
• Section 72 Policies: These are specially approved whole-of-life policies designed to cover inheritance tax (CAT). While the premiums themselves are not tax-deductible, the payout is exempt from CAT if used to settle inheritance tax liabilities, effectively making it a tax-efficient estate planning tool.
• Key Person Insurance (for Businesses): Life cover taken out by a company on a key employee may be deductible as a business expense, depending on Revenue guidelines (must meet “wholly and exclusively for the purpose of trade” conditions). The policy must benefit the business, not the individual.
• Executive Income Protection: For company directors or employees, premiums can be paid by the company and deducted as a business expense. These policies replace income if you’re unable to work due to illness or injury.

When it’s not tax-deductible:

• Regular Term Life Insurance, Mortgage Protection, or Whole of Life Cover taken out for personal/family protection usually do not qualify for tax relief.

At LowQuotes, we help you structure your policy in the most tax-efficient way possible, ensuring your loved ones receive the full benefit of your protection without unexpected tax bills.

Yes, life insurance is still available in Ireland after age 65, but the type of cover, eligibility, and cost can vary significantly. Here’s how it works:

1. Whole-of-Life Insurance

This is the most common type of life insurance for people over 65, especially in retirement. It provides lifetime cover and guarantees a payout whenever you pass away, not just within a fixed term.

• Often used for funeral expenses, inheritance planning, or to leave a legacy.
• Premiums are usually higher than term policies.
• You can choose guaranteed premium plans to ensure your cost doesn’t rise with age.

2. Over 50s Life Cover

This is a guaranteed acceptance policy; no medical exams are required.

• Available typically from age 50 to 80.
• Ideal if you’ve been declined cover before or have health issues.
• Payouts are usually smaller (e.g. €5,000–€25,000), mainly covering funeral costs.
• Has a waiting period (e.g. 2 years), if you pass away during this time from non-accidental causes, the insurer refunds your premiums instead of paying out.

3. Pension Term Assurance (limited post-65)

While this can offer tax relief, it’s only available before retirement age, so not suitable once you’ve already retired.

Important Notes:

• Premiums increase with age, so policies taken out at 65+ can be costly, especially for large cover amounts.
• Many insurers in Ireland have upper age limits for term policies, often 74–85 for application, with coverage sometimes ending at 90.
• If you’re using the policy for inheritance tax planning, consider a Section 72 policy, which can cover the tax bill your heirs would otherwise face.

At LowQuotes, we guide you through the tax implications of your policy and help you make the most of available reliefs and tax-efficient structures.

Yes, depending on the provider and policy type, some life insurance plans offer living benefits, meaning you can access support while you’re still alive. Here are a few examples available in Ireland:

• Serious Illness Cover / Critical Illness Cover: If added to your policy, this pays a lump sum if you’re diagnosed with a specified serious illness such as cancer, stroke, or heart attack. This helps cover medical costs, living expenses, or time off work.
• Terminal Illness Benefit: Included in many standard life policies, this allows an early payout of your life cover if you’re diagnosed with a terminal illness and have less than 12 months to live.
• Children’s Life Cover: Many providers include cover for your children up to age 25, with lump sums of up to €25,000 if they pass away or are diagnosed with a specified serious illness. It’s typically included at no extra cost when you take out a policy.
• Helping Hand by Royal London: This feature gives you and your family access to a dedicated nurse adviser, plus bereavement counselling, speech therapy, and second medical opinions, all at no additional cost.
• Aviva Second Medical Opinion: Aviva offers access to Best Doctors®, a global network of medical experts. You can get a second opinion on any diagnosis, treatment plan, or medical concern for you or a covered family member.
• Aviva Care Digital GP: Offers round-the-clock access to qualified GPs via video consultation, making healthcare more accessible for you and your family.
• Aviva Family Care Mental Health Support: Offers support from a professional team of psychologists, giving you access to a wide range of specialised therapies, including counselling and Cognitive Behavioural Therapy (CBT).
• Aviva Bereavement Support: Help is on hand through bereavement counselling support for you or your partner after the loss of a loved one.

While traditional life insurance is designed to provide for your loved ones after you pass away, these additional features offer meaningful support during your lifetime. At LowQuotes, we’ll help you structure your policy with these valuable extras in mind, so you get the most protection possible, both now and in the future.