It has been revealed that many Britons are deciding to cut back on life insurance policies due to tightening finances resulting from the recession.

Sainsbury’s Finance have produced startling findings that over half a million people (532,000) have stopped their life insurance policy over the past year.

Unbeknown to many consumers however, life insurance is perfectly affordable for many and by shopping around good deals can be secured at surprisingly low prices.

Neil Laird, Sainsbury's Insurance Manager, said: "Given the financial state we're in it's inevitable that people are going to be looking to make cut-backs, but it's a real concern when those cut-backs leave them vulnerable to far greater expense down the line."

He added, "It can be tempting, with some insurance policies, to simply hope for the best. But policies vary a great deal, and cancelling your cover or opting for a cheaper deal that doesn't offer adequate cover could have serious financial consequences when something goes wrong. Insurance should be viewed as a necessity, not a luxury."