Mortgage Life Insurance

ashymark

Hi all,

I have just been reviewing all of our monthly direct debits and have found that our life insurance that we took out at the same time as arranging our mortgage seems a lot higher than we could be paying.

We are currently paying £28.94 a month for a value of £70,000 mortgage (ish) remaining. I have found a much cheaper one with LV and after going through all of their questions have a monthly premium of £13.80 so saving over £15 a month.

In terms of cancelling our existing cover do you just contact the existing provider, is there any charges to do this mid-cover as the way the policy summary reads to me it is assuming that you will continue paying it until the mortgage has been paid off.

Any help at all would be much appreciated.

Thanks

dunstonh

We are currently paying £28.94 a month for a value of £70,000 mortgage (ish) remaining. I have found a much cheaper one with LV and after going through all of their questions have a monthly premium of £13.80 so saving over £15 a month.

are you sure it is like for like. (e.g. do you have Critical illness cover currently but replacement doesnt - dont mix up terminal illness cover as being the same as critical illness cover. That is a really common error we have seen time and again).

If you have health issues, is the LV price before or after underwriting has taken place?

Make sure you have done it joint life, first death and not joint owner, single life in error.

ACG

You can cancel it whenever you like.

Its best to make sure the new cover is in place BEFORE cancelling the old policy. Incase they dont accept you or apply any special ratings or if anythign happens between the old policy being cancelled and the new policy taking effect.