Is life insurance compulsory?

Niv

David_White wrote: »

Strictly speaking yes however it's not as straight forward as that due to the knock on effect of losing an income.

I specialise in helping clients with bad credit get mortgages. Sadly a large number of the clients I speak to have credit issues due to being left in the lurch after a partners income was lost.

I totally accept that life insurance is right for some and accept that losing an income often does have a big knock one effect on the remaining person.


If my circumstances were different I am pretty sure my opinion would change too, for example if I had kids that would make a big difference. As it stands at the moment, one of us selling up to move to a mortgage free home at a lower value is not a compelling enough reason to get life insurance - but this is my circumstances, I am not saying no one should get life insurance.

davidmcn

David_White wrote: »

There's no such thing as a job for life and when your employment ceases so will any work benefit.

And you may have a long term illness which forces you to give up your job (and the benefits) before your death.

Niv

davidmcn wrote: »

And you may have a long term illness which forces you to give up your job (and the benefits) before your death.

Totally agree which in some ways makes life insurance almost pointless if you don't add critical illness cover too. But of course that adds to the cost significantly.


And why I say almost pointless is this: At 40 years old you are more likely to get cancer (for example) than die.

PawelK

dimbo61 wrote: »

To all the people out there looking at taking out the biggest debt you will ever have a mortgage,
PLEASE PLEASE sign up for LEVEL TERM LIFE ASSURANCE.
Everyone and I mean everyone is going to die !
If you sign up to Life assurance when you are young and getting a first/second or third mortgage you can get cheap cover if you shop around.
A few years ago Martin wrote an article about taking out LEVEL term assurance via a discount broker ( Cavendish online )
We got a quote for £120,000 joint assurance until retirement for £24 a month.
How much do you spend on sweets, Coffee, gym membership ? Each month.
Do not leave your partner or parents with little choice but having to sell the family home because they can't afford to pay the mortgage.
You may well have Life cover from work and some of the good one's officer 2/3 times annual pay.

Hi.

You firstly say Everyone get the assurance and then you provide a specific example. Unless you can persuade a single person like me, living on my own, having to take care of myself by myself only, what would anyone from my relatives (like parents or siblings, especially if living in another country in their own houses or flats) be in risk of if I died and not had assurance, I am definitely not getting one.

P.s. Sweets - hardly ever eat, coffee - free at work (and quite decent ), gym - none. I run and play tennis plus healthy eating to keep me fit and invest for the future, hoping for a good retirement lifestyle.

David_White

PawelK wrote: »

single person like me, living on my own, having to take care of myself by myself only

For this reason you have a very clear need for policies such as critical illness or income protection.

Incidentally, life cover typically is free with CI insurance

PawelK

David_White wrote: »

For this reason you have a very clear need for policies such as critical illness or income protection.

Incidentally, life cover typically is free with CI insurance

To be honest, having a profession and variety of experiences, I dont worry that much about income protection. I intend to rent one bedroom out and that will be already paying most of my mortgage. Can always rent out the other room too or just take step back and move out. As far as CI is concerned, this would make more sense as it's unpredictible even though I live active life, eat well and take care of myself. Just need to consider what if scenarios and whether it still would be worth it. What would Ci be like monthly?

dimbo61

Insurance/assurance is taken out to cover if something goes wrong !
Home insurance, buildings insurance, pet insurance, life Assurance, critical illness and income protection insurance.
We hope we will never need to claim but I sleep better knowing I have my life and home insured.
What insurance you need or want is up to you.