Life Insurance for Teachers

Teachers life insurance: what you need to know

If you’re a teacher, you might think that getting life insurance will be more complicated. Perhaps you believe the nature of your work or your specific responsibilities mean you need specialist cover, and you’re worried this will be expensive?

The fact is that most teachers can access low-cost life insurance. Most insurers won’t treat you any differently to people in other occupations. This means you can sleep easy knowing you won’t pay the earth for the protection you need.

Life insurance for teachers can cost as little as £6 per month. So, for the price of a Netflix subscription, you can ensure your loved ones will receive financial support if anything happens to you.

You should think about getting teachers life insurance if:

• You have a spouse or partner and joint financial commitments
• You have children
• You have a mortgage
• Your partner would struggle to pay the bills if something happened to you
• You want to leave a legacy to your children.

We work closely with the UK’s leading insurers to help you get the right teachers life insurance at the right price.

Do teachers get life insurance?

If you’re a member of the Teacher’s Pension Scheme, and you die while employed as a teacher, your beneficiaries will receive a lump sum payment. This is called “Death in Service” benefit.

At present, if you die while you're an active member of the scheme your beneficiaries will receive a payment of:

• Three times your average salary, if you’re in a final salary arrangement
• Three times your full-time equivalent annual rate of pensionable salary if you’re in a “career average” arrangement.

If you’re a part-time worker, the full-time equivalent will be used, not your part-time earnings.

Do teachers get free life insurance?

As above, teachers do receive some life insurance if you’re part of the Teacher’s Pension scheme. 

In that sense the cover isn’t “free” – it’s based on you making pension contributions – but you don’t pay any additional amount for this “Death in Service” benefit.

What kind of insurance do teachers get?

While a member of the Teacher’s Pension Scheme, your beneficiaries will receive a lump sum equivalent to three times your income if you die.

This can be a valuable benefit and will ensure your loved ones receive financial support when they need it. However, it’s unlikely your family will be able to rely just on your Death in Service benefit for the following reasons:

• It’s unlikely to be enough to repay your mortgage.
• Three years’ income might not be sufficient to help your partner, spouse, or children maintain their standard of living – especially if they have to pay for childcare etc.
• The cover is job dependent. If you change career and leave the Teacher’s Pension Scheme, you’re likely to lose this benefit which could leave you worryingly underinsured.

While the life insurance you may receive as a teacher is useful, you’ll often find that you do need to put your own, independent cover in place. This way you can ensure that you protect your loved ones if the worst happens.

What happens to my teachers pension when I die?

If you’re married or in a civil partnership your spouse or partner will automatically receive a pension after you die. If you’re neither married nor in a civil partnership but have a partner, as long as they meet certain qualifying criteria, they will also receive a pension after you die.

For your partner to qualify for a pension you must have two years or more pensionable service from 1 January 2007.

In addition, any children born during your lifetime or within 12 months of your death, may be eligible for a child’s pension.

Do I need specialist teachers life insurance?

No. Many teachers assume that they need specialist cover that takes their occupation into account, but this is normally not the case.

Most teachers can take out life insurance on standard terms. Indeed, we work with many teachers and will scour the market on your behalf to find the protection you need at a great price.

Contact us to find out how we can help you or get a teachers life insurance quote online.