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Life Assurance - Help me decide!!
beccabooboo
Posts: 28 Forumite
Hi Guys!!
Just a quick query. My husband and i have a joint life assurance policy, level term and are paying £43.00 per month. It covers our mortgage at £105,000. I have had a look at quotes for decreasing term and it is about £25 per month cheaper.
We are trying to get out of debt so i want to reduce our outgoings as much as pos.
He currently has a life insurance policy (so i would get a lump sum in the event of his death) and in the event of my death he will benefit from my pension and death in service grant.
Would it be wise of me to switch to decreasing term cover at the mo, even just while we get out of our hole of debt? (dmp cccs) i just need to cut our outgoings as much as pos at the mo.
All advice appreciated,
Becky!
Just a quick query. My husband and i have a joint life assurance policy, level term and are paying £43.00 per month. It covers our mortgage at £105,000. I have had a look at quotes for decreasing term and it is about £25 per month cheaper.
We are trying to get out of debt so i want to reduce our outgoings as much as pos.
He currently has a life insurance policy (so i would get a lump sum in the event of his death) and in the event of my death he will benefit from my pension and death in service grant.
Would it be wise of me to switch to decreasing term cover at the mo, even just while we get out of our hole of debt? (dmp cccs) i just need to cut our outgoings as much as pos at the mo.
All advice appreciated,
Becky!
0
Comments
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£43 to £25 seems a big drop.
If you bought it from a bank or tied salesforce, then a drop of that amount would be normal for a whole of market product. However, if you bought it from an independent in the first place, then you would not expect a drop of that amount. Or perhaps the original price was rated due to medical or occupational reasons.
Make sure you are comparing like for like. Make sure its not a yearly renewable term or has reviewable premiums.
As for whether you need it? It would be worse if one of you was to die.I am an Independent Financial Adviser (IFA). The comments I make are just my opinion and are for discussion purposes only. They are not financial advice and you should not treat them as such. If you feel an area discussed may be relevant to you, then please seek advice from an Independent Financial Adviser local to you.0
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