Life Cover Alternatives?

mrnomoneybags

We currently have life insurance but my medical history has now changed..... and i need to increase the amount of cover.

I want something that will pay off the mortgage should my self or my wife become critically ill or die.

Many thanks

-Tom

lisyloo

Your existing insurance will cover your new medical history, so I would definitely keep it.

Why do you need extra cover?
Do either of you have private pensions? Benefits at work?

If you really need more cover you will have to declare your new medical history.

Another option is to reduce your liabilities if that's possible.

mrnomoneybags

We have moved house and the new mortgage is for a lot more money.

reduce liabilities how?

rrf494g

That's what whole life insurance cover is for

Take out an extra insurance policy. Whole life, no profits, just as cheap as possible -AND- make sure you fully and honestly answer all questions. It's as simple as that. And, as has already been said, keep any existing policies. They will be at better rates if your health has got worse. Good Luck
regards

dunstonh

Take out an extra insurance policy. Whole life, no profits, just as cheap as possible

Why take out a whole of life plan when there is not a whole of life need? That is the most expensive option and doesnt match the need.

If the term has remained the same then it just requires a top up. The existing plan may include guaranteed insurability options if there are medical issues that prevent a new plan. If not, then a new decreasing term assurance to match the mortgage and term would be appropriate.

lisyloo

reduce liabilities how?

Well I've paid off most of my mortgage over the past 7 years.
That reduces my liabilities and the need for insurance.

Not something you can do overnight and if you are buying a more expensive house then you are increasing your debts/liabilities and not reducing them, so you have to accept that it's going to cost you more to insure it all - for buildings/contents, dealth, sickness and redundancy.

Those costs are not insignificant and somthing you need to factor in when you come to the buying decision.

The main point is that it's in your interests to keep the existing policy as it covers your new medical situation and top up for the rest that you need that will probably be at a higher rate now the condition is "pre-existing".