Have I got the right policy?

bma1208

hi,

I was just having a look at my life insurance policy that i got with my mortgage 2 and a half years ago and I think i might be paying over the odds.

All I require is a policy that will payout should anything happen to either myself or my girlfriend. I currently have:
all with HSBC
Decreasing life and critical illness cover for mortgages (for myself)
Income protection for individuals (for my girlfriend)
Decreasing life cover for mortgage protection (for my girlfriend)

This come to a total monthly cost of around £85.

I have been looking at a few quotes online and it seems I can get a joint life insurance policy for around £12 a month. Is this around the going rate for what I require or is the policy not going to cover what I want?

Thanks in advance for any help.

dunstonh

you currently have two decreasing term assurances, one with CI, one without (is that due to medical underwriting reasons or choice) and income protection each.
You are then comparing all that with a single joint life policy. Its no wonder its cheaper as you are lopping off the majority of the cover options.

You should compare like for like. You should be able to get cheaper than HSBC as the banks are not known for competitive pricing. However, I would expect around £60 would be roughly like for like basis.

bma1208

Dunstonh,

Thanks for the reply. I don't think I quite made clear what my question was but I think you have answered it.

I understand that the cover I was offered for £12 is vastly different to what I currently have. I was kind of asking if I really needed all the cover that I am currently paying for.

My girlfriend and I are both in very secure jobs and have no medical issues. So I am really looking for something that would cover us if one of us died the other would not be lumbered with the mortgage.

I was sold the current cover by the mortgage advisor when we brought our property and at the time I was not very aware of wha I actually needed and after 2 years it seemed that I could be throwing away £70 a month.

Thanks Again