If you cancel a life insurance policy, the cover ends, and whether any premiums come back depends on when you cancel and on the insurer's own terms. In the insurer documents set out below, cancelling in the first 30 days brings a refund of premiums paid, and cancelling later generally does not.
This page sets out what those documents say; it is not a reason to cancel. Before ending or replacing a policy, it helps to know what you could buy instead. An FCA-authorised broker can ask several insurers how they would see your age and health, and you can ask for one through the form on this page.
Can you cancel life insurance in the cooling-off period, and what do you get back?
Yes, subject to exemptions. The FCA Handbook (COBS 15, provisions dated 6 April 2026) lists "a life policy" among contracts a consumer has a right to cancel, with a period of "30 calendar days", and adds "Exemptions may apply (see COBS 15 Annex 1 )", so whether it covers your contract is for the insurer to confirm. ICOBS 7.1.1 gives "30 days for a contract of insurance which is, or has elements of, a pure protection contract" and a shorter period for other insurance. The insurers' own documents give their terms:
| Document | First 30 days | Where the 30 days start |
|---|---|---|
| Legal & General, Life Insurance terms (QGI12849, October 2026) | "we'll refund any premiums you've paid" | "within 30 days of receiving your welcome pack" |
| Aviva, Life Insurance Plan summary (DA03008, May 2023) | "we'll refund any premiums you've paid" | The 30 days "start from the later of" the policy schedule date and the day Aviva confirms the start |
| Royal London, conditions for the Whole of Life policy taken over from Scottish Equitable (May 2025) | A full refund of all payments made | After "a notice of your right to cancel", "You then have 30 days" |
| Zurich, Whole of Life key features (February 2025) | "we'll refund any premiums you've paid" | "When you first take out your policy" |
| SunLife, Guaranteed Over 50 Plan (November 2025) | "we will refund any premiums you have paid" | Within 30 days of receiving the policy documents |
Zurich's document is for its Whole of Life policy sold through financial advisers.
What happens if you cancel after the cooling-off period?
The cover ends and, under the terms below, nothing comes back, with one exception for annual payers. Legal & General's terms (October 2026) say "You can cancel your policy at any time", but after 30 days "and pay monthly premiums, we won't refund any premiums you've paid. If you pay annually, you will receive a proportionate refund of your annual premium."
Aviva's Life Insurance Plan summary says you can still choose to cancel after the 30 days, but you will get no money back.
Nor is there a cash-in value. Aviva rules out a cash-in value at any point in the policy, and Zurich says its policy has no cash-in value. Royal London's conditions (May 2025) say that if you cancel it will not pay out the sum insured and you will not get anything back. SunLife's terms say that because the plan never has a cash-in value, you would not get anything back. A policy sold as an investment may differ: see whether you can cash in a life policy.
Ask the insurer whether any fee applies when you cancel.
What happens if you stop paying life insurance premiums?
Cancelling a direct debit and telling the insurer you want to cancel are two different acts. In each insurer's terms below, a missed payment ends the cover after a grace period that differs; Aviva and SunLife add that nothing is returned.
- Legal & General (October 2026): "If your premium remains unpaid for any reason 60 days after the due date of any missed payment, your policy will be deemed cancelled and cover will automatically end." It adds that a policy that has lapsed through missed payments before any claimable event is not covered, and a claim will not be paid.
- Royal London Whole of Life (web page, read October 2026): if your payment is five weeks overdue, it will cancel your plan and you will no longer be covered. You can ask for a restart within six months, though it may refuse or "increase your monthly payment".
- Aviva (May 2023): once payments stop, the cover ends and Aviva will not return any payments already made.
- Zurich (February 2025): if you stop paying your premiums, the cover and policy end.
- SunLife (November 2025): 30 days to pay, then a further 14 days after a reminder letter; if still unpaid, the plan is cancelled and you get nothing back. You can choose to continue the plan by paying the missed premiums, no later than 6 months from the date the first unpaid premium was due.
What happens to a joint policy if you cancel it or separate?
A joint policy is one contract, so cancelling it ends the cover for both people. Legal & General and Aviva each describe a way to replace a joint policy with single cover after a divorce or separation, on their own conditions, and Royal London's former Scottish Equitable conditions say a split might be possible on divorce or dissolution; joint policies after divorce sets out those conditions.
If the policy is in trust, see cancelling a policy in trust.
Can you cancel critical illness, income protection or funeral cover?
Yes, with the insurers below, and the pattern matches life cover.
Critical illness. Legal & General's terms (October 2026) repeat the same cancellation wording and the 60-day missed-payment rule in their Critical Illness Cover section. Aviva's Life Insurance+ summary (February 2026) says it will refund any premiums paid if you cancel within 30 days, and that stopping payments or cancelling leaves you uncovered with no money back. Ask the insurer whether an add-on can be cancelled on its own. See life and critical illness cover.
Income protection. Aviva's Living Costs Protection summary (October 2024), linked from its income protection page, describes a policy that pays an income if illness or injury stops you working, and says that if you stop paying your premiums or cancel the policy you will no longer be covered and will get no money back. It refunds premiums on cancelling within 30 days from "the later of the day we tell you when your policy will start and the day you receive your policy documents". See whether income protection pays on death.
Funeral and over-50s cover. SunLife's plan terms (November 2025) say that if you cancel your life cover stops and you get nothing back. That is one plan's wording, not a rule for all funeral insurance. A prepaid funeral plan is a different contract: see cancelling a prepaid funeral plan and over-50s plans.
When does cancelling make sense, and what should you check first?
That depends on whether the need the cover was bought for, such as a mortgage, is still there: your judgement, not this page's. If cost rather than need is the issue, reducing the cover may be possible: Aviva's summary says "You can change the amount of cover you have or how long your policy lasts", though it may change or replace your original policy, and Legal & General will confirm whether a change means "the original policy has to be cancelled and a new policy issued". The options are set out in changing your cover. A replacement is a new application:
- New cover means new questions. Aviva says changes may need "some health and lifestyle information". Any insurer's questions need honest answers: see medical questions and disclosure rules.
- An offer can depend on the old policy ending. Legal & General's terms list, among reasons a claim may be refused, that "we told you our offer was subject to you cancelling a specified policy(ies) and you did not cancel it (them)". Ask a new insurer what it requires, and by when.
- Benefits belong to the old policy. The separation benefit or a terminal illness benefit may be offered on different terms, or not at all, by a new policy.
An FCA-authorised broker can put your age and health to several insurers before anything is cancelled. If that would help, complete the form on this page; a few minutes, nothing to pay.
How do you cancel a life insurance policy?
You contact the insurer. Legal & General lists "Cancellations Call 0370 010 4080 Monday to Friday 9am to 5pm" (October 2026). SunLife says "you may cancel your Plan at any time by notifying us in writing or by calling 0800 008 6060". Aviva says "You can change your mind and cancel your policy by contacting us", and Zurich says "You can cancel your policy at any time by contacting us to let us know". Ask the insurer how long cancellation takes to process and whether it wants anything in writing.
In the cooling-off period, the FCA's guidance says "The firm should accept any indication that the consumer wishes to cancel as long as it satisfies the conditions for notification." For any other insurer, including Beagle Street and bank-arranged policies, use the contact details in your own policy documents.
Frequently asked questions
Can you cancel life insurance at any time, even after a year?
With these insurers, yes: Legal & General says "You can cancel your policy at any time", and Royal London's former Scottish Equitable conditions say that after 30 days "you can do so at any time by contacting us". What changes is the refund.
Can a lapsed or cancelled life insurance policy be reinstated?
Royal London's Whole of Life page lets you ask for a restart within six months, and SunLife's plan allows one within six months. For a term policy, ask the insurer whether a lapsed policy can be restarted.
What is the difference between surrendering and cancelling?
Surrendering means cashing in a policy that has built up a value. The protection policies quoted above have no cash-in value, so for them stopping simply means cancelling; how savings-type policies differ is covered in life insurance as an investment.
Thinking of switching rather than stopping? Send your details through this page's form and a broker authorised by the FCA will get in touch, free of charge.
Sources
- Legal & General, Life Insurance Policy Terms and Conditions (QGI12849, October 2026), read 17 October 2026. legalandgeneral.com
- Aviva, Life Insurance Plan Policy Summary (DA03008, May 2023), read 17 October 2026. aviva.io
- Aviva, Policy Summary of Life Insurance+ (AL50001, February 2026), read 17 October 2026. aviva.io
- Aviva, Policy Summary of Living Costs Protection (AL19001, October 2024), read 17 October 2026. aviva.io
- Royal London, Whole of Life policy conditions (policy taken over from Scottish Equitable, a historic policy document; May 2025), read 18 October 2026. royallondon.com
- Royal London, Whole of Life page, read 18 October 2026. royallondon.com
- Zurich, Whole of Life Key Features (February 2025), read 17 October 2026. zurichintermediary.co.uk
- SunLife, Guaranteed Over 50 Plan Terms and Conditions (November 2025), read 17 October 2026. sunlife.co.uk
- FCA, Handbook, COBS 15 Cancellation (6 April 2026), read 17 October 2026. handbook.fca.org.uk
- FCA, Handbook, ICOBS 7.1 Right to cancel, read 17 October 2026. handbook.fca.org.uk