Date: Wed, 19 Jan 2005 17:16:18 +0000
From: Reestit Mutton 
Newsgroups: uk.finance
Subject: Re: Life assurance - two identical policies???

Ronald Raygun wrote:
> Reestit Mutton wrote:
> 
> 
>>£200K joint cover £308.81/yr
>>£100K joint cover £120.33/yr
>>
>>Is there anything stopping me taking out TWO policies at £100K rather
>>than ONE policy at £200K, thus saving myself approx 20% on the premiums?
> 
> 
> There are probably exclusion clauses which will prevent you claiming
> on both policies.  It's a bit like insuring a £10k car with two insurers,
> crashing it, and collecting £20k.  It's not on.
> 

True enough, it's common practice with most forms of insurance where the 
insurance is specifically designed to cover the cost of loss of/damage 
to specified items (e.g. car, house, contents etc...) but is this really 
the same for defined benefit cover such as term assurance where, in 
essence, the size of your premium pays for a defined level of cover.

Looks like it's a case of asking some very probing questions of teh 
insurance company concerned and *hoping* that I don't get a numpty on 
teh other end who doesn't know what he/she is talking about.

cheers,
RM