Mortgage protection

3577

Hi I wonder if anyone could offer any advice? I have had a mortgage found for me through London and Country (a 5 year fixed rate 90% LTV). Whilst I am happy with the mortgage, I am unsure of the level of protection/insurance I need (I have no life insurance and have dependants). I am wary of being 'up sold' products that i cannot afford and do not need. All i really want is for the mortgage to be paid off should anything happen to us. Any advice?

The_J

Should anything happen to you?

The anything is important. If it's death - you just need life cover. If it's a critical illness like cancer/heart attack/stroke - you'll want critical illness cover. If it's an illness that stops you working for a period of time - you want income protection. If it's redundancy you want peace of mind from - take unemployment cover.

Nothing is compulsory. Pick what you want to be protected from inside a budget you are comfortable with.

holly_hobby

If you co-habiting/married exc, and have dependants, and have no current life cover - ideally you want the mge repaid on death, and extra provision for your dependants.

The level of cover for your dependants will be based on many factors, your income, age of dependants, if they are going into further education, if your partner earns, etc, etc.

If you just have your mge covered on 1st death, then you have secured a roof over their head, whether they can afford to live there will depend upon the household income of the surviving parther, which is where the additional life protection (inc CI) is really a necessity (if financially affordable).

However, I would seek advice from an IFA re a suitable protection policy, ideally you should be looking at life/CI protection (absolute min is for the mge), followed by income protection (PHI) whilst your family are young, and budget is tight ...

Hope this helps

Holly

opinions4u

Too many people have cover for their mortgage alone.

Think about the impact on your overall lifestyle if one of you dies or suffers a serious illness.

Get more cover than the mortgage debt and give strong consideration to PHI.

sheascot

Didnt realise I had broken any rules...offering free advice I apologise.

holly_hobby

Senior_Paper_Monitor wrote: »

Come girl - give it rest !!!

Can I presume this post is referring to Sheascot from her response ?

H

Senior_Paper_Monitor

You can ! Smooth your hackles !

I'll remove - as she has done with her original advert

gazfocus

sheascot wrote: »

Didnt realise I had broken any rules...offering free advice I apologise.

If you wish to offer free advice, do so in the thread so it could help others. Stop trying to drum up business!

holly_hobby

Senior_Paper_Monitor wrote: »

You can ! Smooth your hackles !

I'll remove - as she has done with her original advert

Fab .

Just couldn't see any prev post from her other than her response ... now having had a quick look thru, I can see that she is offering "free advice" ... but only if you phone her company :j ... what a very nice lady !!

Thanks for the post SPM, I thought you'd fallen out with me for a minute !

H x

Crashandburn

gazfocus wrote: »

Stop trying to drum up business!

Yeah. That's Martins job