Shepherds Friendly Over 50s life insurance review

8 min Read Published: 13 Apr 2022

Shepherds Friendly logo Shepherds Friendly mutual society is a provider of savings and investment plans as well as some personal insurances. The Over 50s life insurance from Shepherds Friendly provides a payout on death that can be used to pay for a funeral and any other bills.

In this article, we will show you how Shepherds Friendly life insurance for people over 50 works, what it costs and how to compare it with other similar products in the market.

Who is Shepherds Friendly

With over 100,000 members, Shepherds Friendly is a mutual society based in Cheshire that offers an assortment of savings and investment plans as well as some personal insurance products that include income protection insurance and over 50s life insurance.

Shepherds Friendly is the trading name of The Shepherds Friendly Society Limited and is authorised by the Prudential Regulation Authority. Shepherds Friendly is regulated by the Financial Conduct Authority and the Prudential Regulation Authority.

Shepherds Friendly began by providing insurance against sickness and injury in 1826, but while it has continued to provide these personal insurances, it has expanded its offering to ISAs, Savings Bonds and Junior ISAs.

Shepherds Friendly Over 50s life insurance policyholders can also benefit from its partnership with Cooperative Funeralcare, which offers a discount for Shepherds Friendly members.

Shepherds Friendly Over 50s life insurance is rated 5 stars by Defaqto, the financial information agency, and was highly commended for the Best Claims Support award at Moneyfacts 2021.

What is Over 50s life insurance?

Over 50s life insurance covers people over the age of 50 so that a lump sum of cash can be paid when they die. The levels of cover are usually small and can range between a few thousand pounds up to £50,000 but are usually limited by your age and how much you wish to spend on the policy each month.

The main benefit of an Over 50s life insurance policy is that you don't have to answer any medical questions to qualify so you are guaranteed to be accepted. If you are someone without any health problems, you should explore all life insurance options before you opt for Over 50s life insurance as it may not be the most cost-effective solution for you.

Shepherds Friendly Over 50s life insurance policy summary

Shepherds Friendly Over 50s life insurance features How it works
Policy types Over 50s life insurance covers the insured person for the whole of their life and pays out a cash sum on death
Qualifying rules
  • UK  or Isle of Man residents can apply
  • Must have a UK bank or building society account (must be maintained if the insured person moves abroad)
  • No medical questions to answer
Age restrictions Applicants must be aged between 50 and 80 years old
Amount of cover Up to £19,400 cash sum available depending on age, smoker status and monthly premium
Policy payment
  • payable monthly
  • ranges from £10 to £50 per month
  • guaranteed not to increase
  • stops being payable after 30 years or when you turn 90 years old, whichever happens first
Increasing cover No increase option
Term of cover Whole of life cover that pays when you die
Options
  • The funeral benefit option directs the payout upon death to Cooperative funeral care services and any surplus or deficit between the payout and the cost of the funeral service including is returned to the deceased person's estate.
  • If you choose Cooperative funeral services, a discount of up to £250 will be applied to the funeral costs including any funeral director fees
Restrictions
  • Death due to natural causes or a medical condition in the first 2 years of the policy will result in a payout equal to 150% of the premiums paid and not the insured amount
  • Death due to an accident in the first 2 years of the policy will be paid as normal

How much does Shepherds Friendly Over 50s life insurance cost?

Shepherds Friendly Over 50s life insurance prices start at £10 per month but you could pay up to £50 per month depending on your age, smoking habits and the level of cover you choose.

Amount of Over 50s life insurance cover available for a monthly premium of £20

Age Cash sum paid on death - non-smoker Cash sum paid on death - smoker
50 £7,760 £5,798
60 £5,929 £3,102
70 £3,282 £1,750
80 £1,656 £842

The prices are fixed once your policy starts and won't change each year. Shepherds Friendly won't ask about your health for over 50s life insurance, so you are guaranteed to be accepted as long as you are between the ages of 50 and 80 years old.

Shepherds Friendly customer reviews

Shepherds Friendly Trustpilot reviews rate it 4.2 out of 5 stars based on 325 reviews of which 68% gave Shepherds Friendly an excellent rating, citing ease of online applications, good customer service and a positive claims experience. 15% of the reviews gave Shepherds friend a bad rating and described issues with customer service.

Is Shepherds Friendly Over 50s life insurance any good?

Shepherds Friendly Over 50s life insurance stands up against most Over 50s life insurance policies available in the market. Although it doesn't offer an increasing option that protects the value of the payout amount against the effects of inflation, it does include most of the other basic features of an over 50s life insurance plan.

The price of Over 50s life insurance and the value that it provides varies across different policies. You should compare what is available through an independent over 50s life insurance adviser*. They will find the best policies in the market and compare the price based on your age and the level of cover that you need before making a recommendation. The adviser will also support you to arrange a trust for your life insurance so that the money that is paid on your death can be paid to your nominated person(s) without being liable for inheritance tax.

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