With stepped premiums, the insured person’s premium is re-calculated on each policy anniversary based on their age and the applicable premium rate on that anniversary. Stepped premiums will usually increase each year in line with the insured person’s age and any changes made to their levels of cover, or if their sum insured increases as a result of Indexation Benefit (if applicable). Premium rates can change and are not guaranteed.
The insurer can change the premium rates. If changes are made to premium rates for a group of policies, the insurer won’t single you out for a change in premiums.
Tags: About life insurance