Do I really need life assurance ?

sanginella

- I have checked the site for a similar query - apologies if I have missed something . I am 60 recently retired , good pension, no dependents (well hopefully soon when my son gets a job - he has just graduated) single with £63.000 mortgage - i am currently looking at selling my endowments so that i can reduce the mortgage and go for capital repayment. My house is worth about £148.000. The question is do I need life cover - when i re-mortgage in Dec ? Will a mortgage provider expect it? -

dunstonh

if no-one is financially worse off in the event of your death then you do not need it.

Most providers now do not insist on it.

I'mcomingbackasaman

sanginella wrote: »

- I have checked the site for a similar query - apologies if I have missed something . I am 60 recently retired , good pension, no dependents (well hopefully soon when my son gets a job - he has just graduated) single with £63.000 mortgage - i am currently looking at selling my endowments so that i can reduce the mortgage and go for capital repayment. My house is worth about £148.000. The question is do I need life cover - when i re-mortgage in Dec ? Will a mortgage provider expect it? -

Hi Sanginella, In my experience the mortgage provider asks for details of your buildings insurance to make sure what they've invested in is protected in the event of fire etc. As for Life Insurance they will advise you to get it but I'm 90% sure its a personal preference only. However should you end up in a position where you can't pay your mortgage and may lose your home, insurance to cover that is always to your advantage.

dwsjarcmcd

[quote=Hi_Sanginella,_In_my_experience_the_mortgage_provider_asks_for_details_of_your_buildings_insurance_to_make_sure_what_they've_invested_in_is_protected_in_the_event_of_fire_etc._As_for_Life_Insurance_they_will_advise_you_to_get_it_but_I'm_90%_sure_its_a_personal_preference_only._However_should_you_end_up_in_a_position_where_you_can't_pay_your_mortgage_and_may_lose_your_home,_insurance_to_cover_that_is_always_to_your_advantage.[/quote]

I think your talking about income protection insurance rather than life assurance. As the OP is on a pension, that is not needed.

I would agree that lenders don't (actually can't) insist on it.

sanginella

Thank you very much for that - The sooner I can pay off the mortgage the better - by switching to repayment and overpaying with the saved life assurance premium the sooner my debt goes down and the better the situation would be for my son. I feel better for sharing with you all thanks again :T