Question re life assurance

sagara

We have just secured a 95% mortgage with HSBC on 100k. Would like to keep costs down this year but am being strongly advised to take Decreasing Life and Critical Illness Cover at over £60 a month.

I tend to think we should take the risk of not having critical illness cover this year as we need to keep costs down (£60 a month is a lot for us) and next year looks more promising financially. I am 35 and my wife 28 and we're both healthy.

I am wondering
1. what I could do as a stop gap? , and
2. is this a good recommendation on behalf of the HSBC?

Can anyone help please?

dunstonh

We have just secured a 95% mortgage with HSBC on 100k. Would like to keep costs down this year but am being strongly advised to take Decreasing Life and Critical Illness Cover at over £60 a month.

Why are you arranging a mortgage with HSBC if you want to keep your costs down? And then to compound it, why are you letting them do the insurances?

Banks are the most expensive of all the distribution channels.

What costs £60 at a bank, will cost £40 with an average IFA and £34 with some of the discount IFAs mentioned by this website. However, you should visit an independent mortgage broker before going ahead with HSBC as the bigger amount is likely to be saved there and not on the protection.

trafalgar_2

Sounds expensive to me,read this article and hopefully you will get 'life' cover a lot cheaper and as your both young and healthy so you don't necessarily need the critical illness cover.

But it's got to be your decision what risks to take ,bearing in mind your health and age