Life Insurance and/or MPPI?

Swinder

Hi all,

My partner and I are looking to move into our first house within the next month or so and we have been looking into the relevant insurance cover that we need.

We have been advised to take out protection against the mortgage in the event that either of us come out of work due to redundancy or ill health and we are also considering life insurance at least for the length of the mortgage to ensure it is covered. As such we have been looking at both life insurance and mppi.

The question is do we need both or is there something else out there that will cover both aspects?

kingstreet

No, there isn't.

They meet specific needs. One pays a monthly benefit for a short period to help if you are unable to work, or lose your job through no fault of your own. The other pays a lump sum on death.

You should also consider longer-term income protection to protect your lifestyle in the event of long-term illness or disability. The average length of a claim on this cover is about seven years.

Finally, critical illness cover pays a lump sum should you contract one of a list of serious illnesses.

Seek independent advice on protection if you are unsure what you should consider.