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Insurances

Hello.

We are thinking about a mortgage for a house worth 65,000. sorry I am new to this and have asked many questions In past, but here is another.

What is the average price I will pay for the required insurances?

Building insurance only
Life insurance only

And also will the lender force me to take out insurances with them ?

Comments

  • Wh05apk
    Wh05apk Posts: 2,938 Forumite
    Part of the Furniture 1,000 Posts Combo Breaker
    There is no such thing as "average" price, it depends on circumstances, such as area/type of house, for Buildings ins, and age/smoker/health for life.

    Generally no they cannot insist you do it through them.

    Get yourself to comparison sites to get an idea, so at least you will know if they are competitive.
    I am a mortgage adviser.
    You should note that this site doesn't check my status as a Mortgage Adviser, so you need to take my word for it. This signature is here as I follow MSE's Mortgage Adviser Code of Conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice.
  • Burridge60
    Burridge60 Posts: 496 Forumite
    Buildings cover is the only compulsory insurance product and will be stated in the mortgage offer along with a rebuilding cost amount in some cases.

    The rest is optional. As your needs and circumstances are unique it would be best to sit down with someone that can give you either halfway accurate ball park figures or more precise figures with a known insurer.
    I am a Mortgage Advisor
    You should note that this site doesn't check my status as a Mortgage Advisor, so you need to take my word for it. This signature is here as I follow MSE's Mortgage Adviser Code of Conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice.
  • is life insurance not a requirment of a morgage ?
  • Wh05apk
    Wh05apk Posts: 2,938 Forumite
    Part of the Furniture 1,000 Posts Combo Breaker
    is life insurance not a requirment of a morgage ?

    No, if you have depdendents though you would be mad not to take it.
    I am a mortgage adviser.
    You should note that this site doesn't check my status as a Mortgage Adviser, so you need to take my word for it. This signature is here as I follow MSE's Mortgage Adviser Code of Conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice.
  • herbiesjp
    herbiesjp Posts: 8,499 Forumite
    edited 1 March 2011 at 1:55PM
    If you have no dependents, you may want to consider a critical illness policy to cover yourself or a policy to protect your income due to long/short term incapacity.

    Also, if buying a flat, the buildings insurances may be included in the service charges - so double check that.
    I am a Mortgage Adviser
    You should note that this site doesn't check my status as a Mortgage Adviser, so you need to take my word for it. This signature is here as I follow MSE's Mortgage Adviser Code of Conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice.
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