What is cashback?

Cashback websites offer a way for consumers to earn money back on their purchases.

Money back can be earned on all manner of products, including life insurance.

Every time you click through from a cashback website, either to an insurer or a comparison site, they pay a commission for the customer referral.

Life insurance with free cashback

The cashback site then passes this commission back to you in the form of cashback.

But are these enticing life insurance with cashback offers actually worthwhile and is this a good way of buying your policy?

*Please note: this 'life insurance with cashback' article was updated on 28/04/22

Cashback websites

Currently, there are two main cashback websites in the UK who dominate the market; TopCashBack and Quidco.

Both these sites offer cashback on the purchase of life insurance via their platforms.

In order to benefit from these incentives, you'll need to register your details with these cashback sites.

In the first instance, this means submitting your name and email address, but further down the line, you'll also need to set up BACS details.

Some of the UK's top insurers currently have cashback offers on these sites, including:

Smart insurance currently offers cashback directly to customers via their website.

They pay back 10% of the life insurance premiums paid within 14 days of you paying your 12th monthly payment.

Vitality (also known as VitalityLife) is another insurer that offers cashback opportunities directly.

To be eligible for their cashback rewards you would need to sign up for one of their benefit plans, such as Wellness Optimiser.

The best cashback on life insurance offers

Whilst the below offers were the best we identified at the time of writing this review, it's important to say these offers are constantly changing.

What's more, cashback sites also label certain life insurance offers as either promoted (where the insurer pays for the no. 1 position) or exclusive listings.

Both these techniques are used to make certain insurers and their offers more prominent within their results.

However, the benefits of and principles behind cashback sites remain.

TopCashBack life insurance

TopCashBack don’t provide their own life insurance product, but customers can use their site to browse cover options from a range of insurers with the opportunity to receive cashback on their purchase.

Let’s look at some of the best deals from TopCashBack…

Top 5 offers:

Top cashback logo Life insurance providerCashback value
LV= LV= life insuranceUp to £1,300 cashback
Beagle Street logo Beagle Street life insuranceUp to £1,150 cashback
Aviva logo Aviva life insuranceUp to £1,150 cashback
Legal & General Legal & General life insuranceUp to £1,150 cashback
Virgin money1 Virgin Money life insuranceUp to £1,050 cashback

Source: www.topcashback.co.uk
These offers and prices are correct as of 28/04/22 but are subject to change or withdrawal without notice by the cashback site and/or provider

There’s also offers from other leading insurers. These include:

  • Co-op - Up to £1,050 cashback
  • Royal London - Up to £1,000 cashback
  • Post Office - Up to £1,000 cashback

LV= up to £1,300 TopCashBack offer

Let's look at the headline offer from LV= on TopCashBack.co.uk of up to £1,300 cashback.

Sounds pretty appealing. Let's look at the detail...

Firstly, is everyone entitled to claim the £1,300 cashback when taking out a policy with LV=?

The answer, unfortunately, is no.

While you’ll be entitled to claim cashback when taking up this offer, only those who obtain the maximum sum (a premium of £250+) will be eligible to claim £1,300 cashback.

The reality for most of us, regardless of policy type and cover amount, is that our premiums will cost nowhere near £250 a month.

The £1,300 figure is quoted to encourage click-throughs, thereafter the cashback offer (as with ALL offers) is scaled.

The higher the monthly premium, the more cashback you receive. Which can lead you to pay more than is necessary if you’re unsure of the level of cover you require.

A more common premium would cost around £14 a month, which could still earn you £80 cashback - not bad.

However, as with life insurance with free gift offers, the monetary value of the cashback over the course of an entire policy term is relatively insignificant.

Think about if you were to take out this hypothetical family life insurance policy over a 30-year term to protect your loved ones.

A £14.50 monthly premium for £200,000 worth of cover offers £80 cashback.

However, you could secure a cheaper policy from another provider - for example, a £12.25 monthly premium for the same amount of cover.

Over the 30 year term, the saving from the cheaper policy would be much larger than the cashback incentive.

The most important thing when securing life insurance is making sure you get the right policy, an appropriate term length, whilst locking in the best premium.

Remember your motive for taking out life insurance in the first place; to make sure your family would be protected if anything were to ever happen to you.

Try not to let a cashback incentive detract from your original motivation for life cover.

What's in the TopCashBack small print?

  • The quote has to be started and completed solely on TopCashback
  • Only available to new customers
  • You’ll need to pay a certain amount of premiums before cashback is issued (typically this is 6 months of premium payments)
  • Quotes obtained through a comparison site and then completed on TopCashback won't be eligible
  • You must have your BACS details registered in order to acquire cashback
  • Cashback rates are subject to change, (up and down)
  • Cashback offer won’t be completed if you cancel the policy
  • It’s wise to check the insurer's policy terms and conditions on their website

As you can see from the above, if you decide to go down the cashback route, it's important to read the small print to check you're eligible.

Quidco life insurance

Similarly to TopCashBack, Quidco don’t provide their own life insurance product.

Instead, you can browse deals from various providers and receive cashback if you secure cover through one of their offers.

Let’s look at some of the best deals from Quidco…

Top 5 offers:

Quidco cashback Life insurance providerCashback value
Legal & General Legal & General life insuranceUp to £1,150 cashback
Aviva logo Aviva life insuranceUp to £1,145 cashback
LV= LV= life insuranceUp to £1,295 cashback
Beagle Street logo Beagle Street life insuranceUp to £1,200 cashback
Royal london logo Royal London life insuranceUp to £1,000 cashback

Source: www.quidco.com
These offers and prices are correct as of 28/04/22 but are subject to change or withdrawal without notice by the cashback site and/or provider

You can also find offers from other leading providers, including:

  • Virgin Money - Up to £1,000 cashback
  • Co-op - up to £1,000 cashback
  • Post Office - Up to £999.99 cashback

Legal & General £1,150 Quidco cashback offer

This time let's look Legal & General’s £1,150 cashback offer currently available via Quidco.com.

Again, the only way you'll be eligible for the headline cashback offer is by paying the maximum sum (a premium of £250 or more).

For most, the level of cover £250 a month buys you is simply not necessary.

Generally speaking, life insurance needs to cover your mortgage debt, the cost of family living costs and things like our funeral. These costs, in the vast majority of circumstances, can be covered for a mere fraction of £250 a month.

For example, Beagle Street's current TV advertising campaign promotes up to £200,000 worth of cover from around £7 a month** - which would get you £55 cashback.

Another more common premium price would be between £15 to £30. This premium cost would entitle you to cashback from £130 - £210.

As previously mentioned, if you know the policy you require and you can secure it through a cashback site, then it makes sense to benefit from some money back in the process.

However, the main objective should always be to take out the right long-term cover for you and your loved ones.

What's in the Quidco small print?

  • The offer is only available to new customers if you're renewing you're not eligible
  • If you apply an additional discount that reduces your overall purchase, this may cause your cashback to be declined
  • Quotes obtained through a comparison site and then completed on Quidco won't be eligible
  • Quotes obtained through Virgin Money and then completed on Quidco won't be eligible
  • You must have your BACS details registered in order to acquire cashback
  • You have to complete your purchase online to qualify, (not over the phone)

Life insurance with cashback at the end of term

Life insurance that gives cashback at the end of the term and life insurance with cashback are two completely different cover options.

When taking out life insurance with cashback, you’ll secure your cover through a cashback site (like the examples mentioned in this article).

You’ll then receive a specified amount of cashback once you’ve paid a certain amount of premiums (most commonly this is 6 months premiums, but this can vary depending on the provider and the offer).

Whereas life insurance with cashback at the end of the term is often referred to as ‘return of premium life insurance' or the ‘return of premium option’.

This is because it’s an option that can be added to a life insurance policy that allows the policyholder to claim back all the premiums they’ve paid into the policy if they outlive the term.

This is in contrast to a standard term life insurance policy that simply expires if you outlive the term, without giving any cashback.

As the return of premium option is an added benefit, it’s likely you’ll end up paying a lot more for your cover to have this option included.

Typically, you could end up paying up to 40% more than with a standard life insurance policy (although this can vary depending on providers.

This type of cover may also be hard to secure as very few providers in the UK offer this option and it’s not something we can provide for you at Reassured.

While getting money back always sounds tempting, it shouldn’t be the main focus that drives you to take out a policy.

The most important thing is that you secure cover that protects everything you need it to, at a price that fits within your budget.

Why not let our award-winning team compare life insurance quotes for you today?

The importance of comparing quotes

The most effective way of securing suitable life insurance is to compare different policies and quotes.

No two policyholders circumstances are ever the same. We all have a different medical history, different aspects of our life we need to protect, different budgets etc.

As a result, the right policy and insurer for one might be completely unsuitable for another.

One option is to carry out the research yourself, this can be a good option and opens you up to the entire marketplace.

However, this approach can be very time-consuming. Also, if you have questions regarding how policies differ or perhaps life insurance jargon you don't understand you may find it more difficult to get the answers you need.

Another option is to use comparison websites, such as comparethemarket.com or gocompare.com.

This option is very popular, in part because it's so convenient. However, there will be certain insurers not listed in their comparison findings.

Lastly, there's the option of a life insurance broker...

How much life insurance do you need?

Enter your financial commitments to understand the level of cover you require.


£121,687 is the estimated average outstanding mortgage per household in the UK.

Our property is generally the largest financial commitment any of us will make.

Your life insurance should cover this significant debt should you no longer be around.


According to Money Advice Service, full-time childcare in the UK now costs £242 a week.

The loss of a parent could result in the need for additional childcare whilst the surviving parent increases their hours to account for lost income.

Your life insurance cover should factor in this additional required outgoing.


The average level of debt (minus a mortgage) in the UK is £15,385.

Factoring in any outstanding debts in your name when arranging life insurance ensures this burden is not passed to loved ones.


You may wish to leave your loved ones an inheritance or lump sum gift upon your passing.

Factoring in the gift amount when arranging your cover will ensure the pay out amount will be sufficient to provide your loved ones with this selfless gesture.


According to SunLife, the average cost of a UK funeral is now £4,417, whilst the total cost of dying is £9,493.

This is a 130% increase over the past 16 years and shows no signs of slowing down.

A significant cost which should be factored into the amount of life insurance you secure.


If you are one of the 65% of the UK who are lucky enough to have savings, this could be used as protection if you were to pass away.

Any pay outs from existing life insurance policies and investments can also be used as financial protection for your loved ones if you were no longer around.

Factor this into your required cover amount.

£ -

Your total cover estimate

£ 0

Let us find your best quote.

The benefits of using a life insurance broker

The key benefit of using a life insurance broker, such as Reassured, is you can draw on our vast industry experience.

A broker takes your individual details; age, budget, dependants, cover amount (or sum assured), term length and searches some of the best life insurance providers, sourcing the most attractive quotes.

We then pass these quotes back to you to choose the most suitable policy to meet your needs and answering any questions that you make have.

Cashback and life insurance in summary...

Cashback websites are a very viable option in 2022, especially if you know exactly the type of cover you want.

However, always compare quotes, as premium prices can vary wildly due to different processes and underwriting criteria.

If you need help running a quote comparison and unpicking the jargon, as well as support during the application, get in touch.

We'd love the opportunity to help secure your family's financial future, whilst saving you time and money.


Please note, if you purchase life insurance through a broker, like Reassured, you'll not be entitled to cashback

[1] https://www.topcashback.co.uk/category/life-insurance/

[2] https://www.quidco.com/life-insurance/

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