Your browser isn't supported
It looks like you're using an old web browser. To get the most out of the site and to ensure guides display correctly, we suggest upgrading your browser now. Download the latest:

Welcome to the MSE Forums

We're home to a fantastic community of MoneySavers but anyone can post. Please exercise caution & report spam, illegal, offensive or libellous posts/messages: click "report" or email forumteam@. Skimlinks & other affiliated links are turned on

Search
  • FIRST POST
    • HGW2012
    • By HGW2012 11th Sep 17, 10:47 AM
    • 63Posts
    • 31Thanks
    HGW2012
    FTB Life and Critical Illness Insurance
    • #1
    • 11th Sep 17, 10:47 AM
    FTB Life and Critical Illness Insurance 11th Sep 17 at 10:47 AM
    We had a meeting with our Broker and I am a little confused with the information he has given us.

    He was obviously trying to sell us some kind of cover. He first called it Payment Protection and later called it critical illness cover. Are these one in the same?

    Do we need these types of cover or would we just be better with Life Insurance. We both have jobs which we have been in for plus 10 years. We have company sick pay and redundancy pay.
Page 1
    • dunstonh
    • By dunstonh 11th Sep 17, 10:59 AM
    • 89,490 Posts
    • 54,955 Thanks
    dunstonh
    • #2
    • 11th Sep 17, 10:59 AM
    • #2
    • 11th Sep 17, 10:59 AM
    He was obviously trying to sell us some kind of cover.
    A broker has to make you aware of your financial needs in respect of the mortgage. Most people take out insurances to cover their mortgage. So, he is doing his job.

    He first called it Payment Protection and later called it critical illness cover. Are these one in the same?
    No. They are different things.

    For a mortgage, the produts that you would expect to be considered are (in no particular order):
    life assurance
    critical illness cover
    MPPI
    PHI (income protection)

    Some mortgage brokers are tied to an insurer and may not have all the products above available. L&G, for example, have a lot of tied sales reps who cant offer the full range (this is why whole of market advisers (in all areas) or IFAs are recommended to be used).

    Do we need these types of cover or would we just be better with Life Insurance.
    We do not know your financial circumstances. So, we cannot say what you do or do not need.
    I am an Independent Financial Adviser (IFA). Comments are for discussion purposes only. They are not financial advice. Different people have different needs and what is right for one person may not be for another. If you feel an area discussed may be relevant to you, then please seek advice from a Financial Adviser local to you.
    • HGW2012
    • By HGW2012 11th Sep 17, 11:40 AM
    • 63 Posts
    • 31 Thanks
    HGW2012
    • #3
    • 11th Sep 17, 11:40 AM
    • #3
    • 11th Sep 17, 11:40 AM
    Thanks for your response, I know he was just doing his job. There was no hard sell or anything.

    Ok now I am even more confused, I really am not sure what he offered us.

    It was with L&G.

    We asked him to send the quote so probably best for me to go over it.

    I am so unsure on all these types of protections I think I was just hoping I could be told what I should or shouldn't get.
    • kingstreet
    • By kingstreet 11th Sep 17, 12:04 PM
    • 31,932 Posts
    • 17,064 Thanks
    kingstreet
    • #4
    • 11th Sep 17, 12:04 PM
    • #4
    • 11th Sep 17, 12:04 PM
    Only you can establish your current protection arrangements and set needs and priorities for the future.

    If you can't do this alone, you should take advice from someone not tied to one provider following discussions on which agreement is reached on the above and a budget for any cover set.

    The end result is the most effective cover, at a price you can accept addressing the needs you feel are the most important to you.
    I am a mortgage broker. You should note that this site doesn't check my status as a Mortgage Adviser, so you need to take my word for it. This signature is here as I follow MSE's Mortgage Adviser Code of Conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice. Please do not send PMs asking for one-to-one-advice, or representation.
    • dunstonh
    • By dunstonh 11th Sep 17, 12:19 PM
    • 89,490 Posts
    • 54,955 Thanks
    dunstonh
    • #5
    • 11th Sep 17, 12:19 PM
    • #5
    • 11th Sep 17, 12:19 PM
    It was with L&G.
    L&G has very weak critical illness cover (CIC). Of all the mainstream providers, it has the least conditions covered. So, whilst its ok for life assurance, it's not for CIC. If it is being recommended for CIC then there is a good chance your mortgage adviser is a tied rep for legal and general.

    Take a look at the initial disclosure documents they issued. The one that tells you their status as an adviser. It will say if they are tied to L&G. Or if they have emailed you. It may make reference in their signature if they are tied to L&G.

    Tied agent insurances tend to be more expensive than the whole of market/IFA version (even when using the same company). Plus, if you want a quality CIC, you are not going to get it from an L&G rep.
    I am an Independent Financial Adviser (IFA). Comments are for discussion purposes only. They are not financial advice. Different people have different needs and what is right for one person may not be for another. If you feel an area discussed may be relevant to you, then please seek advice from a Financial Adviser local to you.
Welcome to our new Forum!

Our aim is to save you money quickly and easily. We hope you like it!

Forum Team Contact us

Live Stats

572Posts Today

4,945Users online

Martin's Twitter
  • Shana tova umetuka - a sweet Jewish New Year to all celebrating. I won't be online the rest of t'week, as I take the time to be with family

  • Dear Steve. Please note doing a poll to ask people's opinion does not in itself imply an opinion! https://t.co/UGvWlMURxy

  • Luciana is on the advisory board of @mmhpi (we have MPs from most parties) https://t.co/n99NAxGAAQ

  • Follow Martin