Holloway friendly income cover, any good?

mrsbez_2

More help required!

I'm reviewing all our direct debits and doing a new budget and need help.

My husband is self employed builder, he has a holloway friendly plan income protection which is out of date as it doesn't cover his current circumstances.

Should we renew the cover for his current circumstances or look for a better deal.

I have had a look at some cheaper options but they only pay out for a year if he couldn't work. Am i right in thinking Holloway would pay out until retirement?

We need the best possible cover for the best price, i am stay at home mum so his income is the only income. We don't have mortgage payment protection as i think it is better to have complete income protection instead.

Any comments and recommendations please!!

dunstonh

If it doesnt adequate cover, then what is the point of it. I would say you should review your options.

To say they only pay out for a year suggests that you are looking at mortgage unemployement, sickness and accident plans (ASU or MPPI). You need to look at permanent health insurance (PHI) as that is the real version of income protection.

It is a regulated financial services product, plus the best provider will depend on age, term, deferment and occupation so its not really something where you can recommend one particular company. It needs researching.

markokeeffe

I was talking to an IFA the other day and he was speaking highly of the Holloway Friendly policy.

trafalgar_2

Probably asking the obvious here but could someone please explain what a holloway friendly policy is ? is it just the name for one or a certain type

dunstonh

http://www.holloway.co.uk/

They are a friendly society. I often refer to friendly societies, probably unfairly, as wannabe insurance companies. They used to offer quite good small savings plans which were tax free and dip the toes into other areas with varying success. Problem is now that those tax free savings plans are a little old fashioned when compared with modern alternatives and the charges usually outweigh the tax advantages and the investment fund can be quite poor.

There is nothing with Holloway. There is nothing wrong with the policy. However, like most insurance policies, its only any good when it suits the purpose. mrsbez states that it doesnt suit the purpose any more.

Edna_Bucket_2

markokeeffe wrote:

I was talking to an IFA the other day and he was speaking highly of the Holloway Friendly policy.

Ironic then that the bottom half of the Home Page referred to deals with commission rates!!

dunstonh

Friendly societies tend to pay less than the insurance companies so don't read too much into that.