Life insurance for nannies and childminders
Nannies and childminders often work independently or as sole traders, with limited employee benefits. Life insurance is essential financial protection for those with their own families and dependants, ensuring they're covered even without employer benefits.
How much does life insurance cost for nannies and childminders?
Premiums are based primarily on age, health, and smoking status — not occupation for most standard roles. Nannies and childminders are standard risk for life insurance purposes. A healthy non-smoking 35-year-old nanny can typically get £200,000 of level term cover for £12–£22/month.
How much life insurance do nannies and childminders need?
A common starting point is 10 times annual salary, plus enough to cover your outstanding mortgage. Consider:
- Your mortgage balance
- Number of dependants and how long they'd need financial support
- Any outstanding debts
- Whether a partner works and what their income would cover
Should nannies and childminders also get income protection?
Yes — life insurance only pays on death. Income protection covers you if illness or injury prevents you from working while you're alive. For many nannies and childminders, income protection is arguably more important, as you're much more likely to be unable to work than to die during your working years.
Writing your policy in trust
Always consider writing your life insurance in trust. This ensures the payout reaches your beneficiaries quickly, without going through probate, and outside your estate (avoiding inheritance tax). It's free to set up and takes around 30 minutes.
Frequently Asked Questions
Nannies and childminders are standard risk for life insurance purposes. For most nannies and childminders, occupation has little impact on life insurance premiums, which are primarily driven by age, health, and smoking status.
Yes — always disclose your occupation accurately. Some high-risk occupations (military, offshore workers, certain manual roles) may affect premiums or exclusions.
Most people choose a term that lasts until their mortgage is paid off and their children are financially independent — typically 20–30 years.