Longevity Life Insurance to See Increased Demand

A recent report published by an insurance company Swiss Re suggests that the demand for longevity life insurance might increase in the United Kingdom. Even though this type of life cover is already the most popular one in the country, experts believe that it will become even more asked-for because life expectancy in the UK has increased.

Let us remind that longevity life insurance is the type of cover that pays out from an old age.

Swiss Re made it absolutely clear that a change in average life expectancy by only 1 year might lead to an increase in liabilities by as much as 5%.

The insurance company also stated that countries like the United States, Switzerland and the Netherlands, which have high levels of private pension plans, should consider introducing longevity insurance cover.  This is the case because life expectancy is increasing worldwide due to healthier lifestyles and advanced medical care and, thus, demand for longevity cover will appear in most developed countries.