Paymentcare insurance and protection plan

lunachick

When we bought our current flat we took both of these things out for our mortgage. We were naive FTB's and just went along with everything the Abbey told us.
However we have just bought a new flat and will need to change this. I have been looking back at the paperwork and it looks like both of these have been covering us for very similar things.
The only differences I can see are that the Protection Plan is the one which covers us for death and critical illness and the paymentcare covers redundancy.
We have been paying £19 a month for one and £28 a month for the other pn a £65000 mortgage.
Can I get both these things in one and where should I be looking. Oh and any rough ideas on how much these should be costing on on a £138000 mortgage.

Sorry to sound so stupid but I just feel we have been a bit ripped off on our last mortgage and want to make a better job of things this time.

Apologies - I have just realised that I have posted this on the wrong forum.

MortgageMamma

The premiums you are paying do seem alittle on the high side for a 65k mortgage, however much of what you will pay on a policy (particularly life and criticall illness) will depend upon how the insurer has assessed your state of health. IMHO Abbey arn't particularly competitive for either of these products. There are numberous companies who can put life, critical illness and mortgage payment protection/personal health insurance into "one policy". but I think the best thing you could do is take advice froma whole of market broker, who will not only assess your protection requirements, but will educate you to a point about what each policy does and how it will benefit you. Then they will go away and seek the best cover they can for the lowest possible price on your behalf. They will also be able to advise you on your new mortgage.

dreamylittledream

The Abbey Protection Plan is a life insurance policy that can also cover critical illness. It pays out a lump sum to clear your mortgage in the event of you dying or becomming seriously ill (the list of illnesses will be in the policy booklet but generally covers caner, heart attack, stroke etc).

Paymentcare is a Mortgage Payment Protection Policy that covers your mortgage payments for up to a year if you are made redundant or off ill. It only kicks in after 28 days.

Both types of policy are generallly recommended with a mortgage (unless you have superb sick pay and lots of savings should you lose your job) but as pointed out above Abbey's versions of these policies may not eb the most competative on the market.