One Family Life Insurance Review 2025

A relative’s death can have a devastating effect on a family; however, life insurance can provide a small degree of financial relief during a difficult time. One Family Life offers an insurance product aimed at those over 50. Let’s examine what kind of financial protection it can provide.

Who Are They?

One Family is a specialist Over 50’s Life Insurance agency, focused on the needs of the over 50s. They have over two million customers and have received industry recognition for their products and services. One Family is also owned by their customers, and as such, focuses on reinvesting their profits to benefit customers, not shareholders.

What types of life insurance does One Family Life offer?

One Family Life offers a fixed level life insurance policy with set premiums and a fixed payout from the start to the end of your policy:

Level Term Cover

• One Family Life’s life insurance product is a level term whole of life cover. This means the payout is fixed from the beginning to the end of the policy. Therefore, a £10,000 lump sum purchased at the start of the policy is the amount beneficiaries can claim. This also means there are no maximum claimant ages, and you will have coverage for your entire life.

One Family Life Insurance Product Offering

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Life Insurance Features

• Pays out on death, with a cash lump sum payable if death occurs after the policy has been in force for at least two years.
• Terminal illness benefit: 100% of the life cover payout, less any serious illness benefit already paid, may be claimed if you are diagnosed with a terminal illness and have less than 12 months to live, as long as the policy has been in force for at least two years.
• Serious illness benefit: 20% of the life cover if a serious illness has been diagnosed after the policy has been in force for two years *(this benefit can only be used once)*.
• One policy type available: Over 50’s Life Cover
• Guaranteed premiums: your monthly premiums are fixed over time for security and peace of mind, so there won’t be any surprise increases.
• Guaranteed acceptance without a medical, provided you are a UK resident aged between 50-80.

Additional Benefits

• One Family Life Insurance offers additional funding for your funeral, provided by Golden Charter. This benefit includes a £300 contribution from their appointed funeral director towards the cost of your funeral. This is automatically included with your policy.
• Accidental death benefit: if, within the first two years, you die as a result of an accident, the policy will pay a cash lump sum to your estate, triple the sum assured, subject to a maximum payout of £48,000.
• Non-accidental death benefit: If you die within the first two years other than by accident, your estate will receive 150% of the premiums paid.
• Free cover after the age of 90: from the policy anniversary following your 90th birthday, premiums are no longer payable, and your cover continues for life.

Coverage Summary

Minimum Coverage Limits

• £480

Maximum Coverage Limits

• £19,382

Entry Ages

• Minimum age 50, maximum age 80
• Maximum Term: whole-of-life coverage

Why Might One Family Not Payout?

• In the first twenty-four months, full payout will only be paid in the event of accidental death (if death is the result of an accident, then the benefit payout will be three times your originally purchased benefit). If you die within the first two years other than by accident, your estate will receive 150% of the premiums paid.
• Failure to provide accurate policyholder details given at the time of application, such as date of birth.
• Missing scheduled premium payments: if you stop paying your premiums for any reason before your 90th birthday, your policy will be cancelled, and you will not get any money back.

Defaqto Ratings for One Family Life Insurance

Defaqto ratings are an independent assessment of financial products, helping consumers understand the quality on offer. A Defaqto rating of 5 Stars indicates the highest quality products in the market.

One Family’s Over 50s Life Cover has been awarded a 5-Star Defaqto rating. This rating is current as of March 7, 2025.

Compared to some major competitors in the Over 50s life insurance market:

• Legal & General: Also holds a 5-Star rating for their Over 50s Life Insurance Plan.
• Santander, Churchill, and Direct Line: Mirror One Family with 5-Star ratings for their Over 50s life cover.
• Post Office Money, NatWest, Royal Bank of Scotland, and Ulster Bank (NI): Hold a 4-Star rating for their Over 50s offerings.

For consumers, a 5-Star rating for One Family means you are choosing a product considered to be of excellent quality by Defaqto, putting it among the top-rated plans available for over 50s life cover.

Advantages

• As long as you are a UK resident aged 50-80, you have guaranteed acceptance.
• No need for a medical on application, or an extensive personal history regarding your health and lifestyle.
• Whole life cover: some other insurance policies only cover up to a certain age, for example, 80 years old. One Family aims to cover its policyholders for their entire lives.
• At 90 years old, while you no longer have to pay monthly premiums, your cover continues for the rest of your life.
• One Family offers a Serious Illness benefit which is not standard with every Life Insurance policy. This means that if you are diagnosed with a serious illness (as per policy wording), you will receive 20% of your full payout amount.
• It is fully covered by the Financial Services Compensation Scheme, which will compensate customers if One Family is unable to meet its policy obligations due to insolvency or credit default, ensuring they do not lose money.

Disadvantages

• Fixed premiums mean the real value of your policy payout will decrease over time due to inflation. This could lead to the payout being worth less than the total premiums paid.
• Maximum limits of £19,000, which for some, is not enough to keep their family financially secure in the event of their death.
• If Serious Illness Benefit is paid out, this will reduce the value of your Life cover by the amount of Serious Illness Benefit paid.
• Age restrictions with a minimum age of 50 years old.
• Cash lump sum will be payable to your estate and so could be subject to inheritance tax.

Defaqto ratings