Should I cancel life insurance to cut my monthly bills?

All protection
The short answer

Think carefully first. Life insurance protects the people who rely on you if you die. Before cancelling, check whether that need still exists, and whether reducing the cover or term would lower the cost enough. Replacing cover later can be more expensive or unavailable if your health changes.

Questions to ask yourself

Who would struggle financially without the payout? Do you have other cover, such as through work? Has your mortgage or family situation changed?

Lower-cost options

Ask your insurer or adviser about reducing the sum assured, shortening the term or removing optional extras.

Free help

If money is tight, MoneyHelper offers free guidance on managing household costs.

Sources

MoneyHelper

This article is general information about UK protection insurance, not personalised financial advice. Policy terms vary between insurers and products, so always check your own policy documents.

Last updated 27 October 2026