Decreasing Term Life Insurance | Mortgage Protection

Decreasing term life insurance provides cover that reduces over time — ideal for protecting a repayment mortgage at an affordable cost.

Compare trusted UK insurers in minutes. No obligation.

What Is Decreasing Term Life Insurance?

Decreasing term life insurance is a type of life insurance where the amount of cover reduces over time, usually in line with a repayment mortgage. If you pass away during the policy term, the policy pays out a lump sum designed to clear the remaining mortgage balance.

Unlike level term life insurance, where the payout stays the same, decreasing term cover reduces gradually each year. Because the insurer’s risk decreases over time, premiums are typically cheaper than level term policies.

This type of cover is most commonly taken out by homeowners who want reassurance that their loved ones won’t be left struggling to pay the mortgage if they die. The policy usually lasts for the same length of time as your mortgage — for example, 25 or 30 years.

At Insured Life, we help you match the right decreasing term policy to your mortgage details, ensuring the cover reduces at the correct rate and provides dependable protection at the lowest possible cost.

Flexible Plans

Flexible coverage, and plans that suit your needs. With access to compare the market we can provide cover from as little as £5 per month.

FCA Regulated

Fully licenced and regulated by the Financial Conduct Authority.

Quick and Simple

Quick and simple application process. Simply request a quote and our team will compare the market for the best deals.

Trusted

We have provided life insurance for 100's of families across the UK, with excellent reviews on Google and TrustPilot.

Key Features to Compare Before Buying Decreasing Term Life Insurance

To ensure your mortgage is fully protected, compare:

Decrease Rate

Ensure it matches your mortgage repayment schedule.

Policy Term

Must align exactly with your mortgage length.

Joint vs Single Policies

Joint is cheaper but pays out once.

Trust Options

May help speed up payouts.

Premium Type

Guaranteed premiums offer predictable costs.

Terminal Illness Cover

Often included — check age limits.

Claims Reputation

Choose insurers with strong claims records.

How to get Decreasing Term Life Insurance

Fill in our form

Just a few simple questions that should take no more 1 minute to complete.

We'll call you

One of our team will call you to discuss your cover needs in more detail.

Choose your cover

We will share with you the best cover for your needs from the market. Once you confirm we will take care of the rest. Simple.

Who Needs Decreasing Term Life Insurance?

Decreasing term life insurance is best suited to people with repayment mortgages.

Homeowners

Provides peace of mind that your mortgage can be paid off if you die.

First-Time Buyers

An affordable way to protect your biggest financial commitment.

Couples With Joint Mortgages

Ensures the surviving partner isn’t left with mortgage repayments they can’t afford.

Families With Dependants

Keeps the family home secure during difficult times.

Budget-Conscious Buyers

Lower premiums make it an attractive option.

Those With Interest in Simplicity

Straightforward cover linked directly to your mortgage.

Trusted Life Insurance Advisors

How Much Does Decreasing Term Life Insurance Cost?

Decreasing term life insurance is usually cheaper than level term insurance because the payout reduces over time.

Younger applicants receive lower premiums.

Insurers consider medical conditions and medications.

Smokers pay more.

Higher starting cover increases premiums.

Longer terms cost more.

Decreasing Term Life Insurance FAQs

Is decreasing term life insurance only for mortgages?

It’s mainly used for repayment mortgages.

Does the premium decrease over time?

No — premiums usually stay fixed.

What happens if I remortgage?

You may need to adjust or replace your policy.

Can I add critical illness cover?

Yes, many insurers offer critical illness cover as an add-on.

Is the payout tax-free?

Yes, though inheritance tax may apply without a trust.

What if my mortgage is interest-only?

Level term cover is usually more suitable.

Why Choose Insured Life for Decreasing Term Life Insurance?

Choosing the wrong decreasing term policy can leave your mortgage underprotected. Insured Life ensures your policy is correctly aligned with your mortgage and budget.

We compare leading UK insurers, explain all terms clearly, and provide FCA-authorised advice at no cost. Our goal is to secure reliable cover that protects your home and your loved ones.

Compare Life Insurance Quotes

Get your FREE no obligation quote now

Do you know what cover you need?*

Yes, I think so No, I need advice

Is this a single or joint policy?*

Single Joint

Firstname and Lastname*

Date of Birth*

Telephone*

Email*

Life Insurance Designed to Pay Off Your Mortgage