The insurance market currently offers consumers many ways that would enable them to reduce the cost of life insurance cover, according to industry sources.

Market insiders also say that consumers must begin to first understand that the term life insurance means that it is the cheapest because it covers a specific length of time.

However, life insurance policies cannot be purchased by someone with serious health problems.

Additionally, permanent life cover can offer benefits while the holder is alive, by allowing the insured person to draw off it and invest it for personal needs.

Consumers interested in purchasing a second life insurance cover can save money by finding insurers willing to allow a rider on an existing policy.

At the same time, young people taking out a life cover now have the option of locking in a level premium, which will not increase as they grow older.

Insurance provider Churchill was recently forced to apologise after a viewer of its television advert complained it was misleading, the Guardian reports.

Although the advert said that people could possibly make a claim without filling in forms, about 20% of claimants do have to complete a declaration form or statement.

However, the Advertising Standards Agency said it was concerned that Churchill was not giving full information about adverts when they are submitted for clearance.