Some of the biggest brokers, advice firms and comparison sites are pushing up the cost of life insurance by demanding higher commissions from insurers to sell their products.
Customers taking out life policies, which pay out lump sums to settle a mortgage or provide financial support to your relatives when you die, are paying up to £1,000 extra over the life of a policy to cover payments made to “middleman firms”.
An insurance industry insider told The Times that financial adviser networks such as Quilter and the Openwork Partnership, the broker Mortgage Advice Bureau and comparison websites including Go Compare typically charge customers about 10 per cent more than their smaller rivals do. The insider said that these sellers have struck deals with large insurers
