FTB Life insurance advice.

Tlg1991

I am wondering we have a mortgage going through and an offer accepted etc. the offer accepted is 132k and we have a mortgage for 110k and the rest we have as a deposit.

when it comes to getting life insurance do we need to cover the mortgage value (110k) or will we need to cover more for any kind of interest and so on?

amnblog

You can cover what you wish.


£110,000 should clear the mortgage but you can apply for extra cover if you wish.

Tlg1991

Thanks amnblog,

I knew we could cover more but wasn't sure if the minimum to cover the mortgage was base mortgage value or mortgage value with some kind of interest added.

i think we will cover more, better safe than sorry.

jacobtheamish

Don't forget Income Protection and/or Critical Illness.

You should seek advice from a protection advisor who will recommend suitable protection. Overlooking how you would pay your mortgage in the event of a life changing event is a no no

Tlg1991

Thanks Jacobtheamish,

we have already looked at the additional protections and stuff. just another question about critical illness protection, would that also apply to any kids we had in the future?

jacobtheamish

Tlg1991 wrote: »

Thanks Jacobtheamish,

we have already looked at the additional protections and stuff. just another question about critical illness protection, would that also apply to any kids we had in the future?

Many providers offer it automatically, some require each child to be added individually. If cover for kids is important to you then make that clear to the advisor. Critical illness is not always about price, so try to avoid choosing a provider on that basis. Ask the advisor to provide a provider comparison as the number of conditions covered varies dramatically.

I prefer IP over Cic, no list of conditions to concern yourself with, cover is there for when income isn't. Usually cheaper than Cic too