Mortgage payment protection insurance

naked

Apologies if this is in the wrong part of the forums.

My broker's asked me to go and see him to chat about payment protection insurance in more detail for the mortgage he's applied for on my behalf.

With work one of our "benefits" (things we get so they don't have to pay us as much) is that we get:
1 - Life assurance up to 4x salary
2 - 3 months 100% pay when off sick down to 50% for the following 3 months
3 - Income protection insurance - 75% salary if accepted as long term sick (includes SSP)
4 - Personal accident insurance (5x salary lump if you lose a leg, only 1.25x salary lump if you go half deaf)
5 - Personal liability insurance in case we say something to someone we shouldn't
6 - Health insurance

Should 1, 2, 3 and 4 be sufficient to not require any additional payment protection for my mortgage provided I don't change job?

I'm not planning on doing anything to get sacked, which is one possible reason I might need something else.
Also I'm not planning on being made redundant but you never know so that's another possible reason for having it (although I'd like to think I'd have enough reserves to cover me until I can find another job).

I know the broker would love to sell me some nice insurance to make a bit of extra money (he's just earned his company nearly £500 from me) and I think he's obliged to offer some sort of insurance to me even for me to turn it down.
From what I've heard though, the usual payment protection insurance products aren't worth that much, and although I like going in to chat to him it's a bit of a waste of both of our times.

Any thoughts?

opinions4u

1 - Life assurance up to 4x salary
2 - 3 months 100% pay when off sick down to 50% for the following 3 months
3 - Income protection insurance - 75% salary if accepted as long term sick (includes SSP)
4 - Personal accident insurance (5x salary lump if you lose a leg, only 1.25x salary lump if you go half deaf)
5 - Personal liability insurance in case we say something to someone we shouldn't
6 - Health insurance

1) As a rule of thumb you should probably consider having around 10 times salary in life cover if you have dependants. I wouldn't rely on employer life cover because the trustees might not pay the proceeds where you would expect them to.

2) A case for having sickness/redundancy/PHI cover that kicks in after 3-6 months, rather than after 30 days.

3) If your employer terminates your employment on ill health grounds, this benefit becomes worthless.

4) I wouldn't buy it myself, but a nice "perk".

5) Wow!

6) Like BUPA? Lovely. What about critical illness cover?

This isn't saying that you should buy every insurance offered to you, but I wouldn't view anything provided by employers as providing the security you would want.

Every insurance has its price, and you are quite right to consider the cost/benefits of taking out cover. Sometimes taking out partial cover is better than no cover at all.

VIGILANT22

Quote : I'm not planning on doing anything to get sacked, which is one possible reason I might need something else.
Nobody offers you insurance for being sacked.
Quote : Also I'm not planning on being made redundant
!!! I never have met anybody who has

Quote : I know the broker would love to sell me some nice insurance to make a bit of extra money
What a shame you're so cynical, that you think the adviser in money motivated
I hope he is an adviser who when he quotes and if it is refused, he gets the client to sign a disclaimer that they have not followed this advice. Then in the unfortunate event of something happening and you're not covered you have no comeback on him.

I can never understand why when people take on possibly their largest financial commitment,then they're so reluctant to insure.
Yes, people have to keep to their budget, that I understand. I am also of the belief that insurance should be obligatory like car insurance

If you can't afford it, you can't afford to be without it.......

opinions4u

Quote : Also I'm not planning on being made redundant
!!! I never have met anybody who has

I've worked with many people over the years where their sole ambition was to get a severance package!

VIGILANT22

Hmm,maybe...however I meant the unfortunate who have been made redundant during this "economic crisis"...

Joe_Bloggs

Can you get insurance cover where you qualify for an insurance payout to cover legal costs of a court case that relates to an insurance company rejecting your original claim.
J_B.