hi need help please for mortgage insurances

stephjrowland

Hi,

I'm trying to tidy my finances up at the moment and clear my debt and am unsure of what I need insurance wise for my mortgage. I currently have a mortgage £135000 (with partner) with northern rock and have:

friends provident life or earlier critical illness (decreasing)=£24.28pm
norwich union mortgage linked life assurance =£28.86pm
payment shield disability and unemployment insurance =£45.36pm

I think this is quite alot to pay out a month (my mortgage adviser sorted it out and we were in a rush to buy) my question is do we need all this? If not what do I need? looking at Martins article it looks like I just need mortgage payment protection and mortgage term assurance?

any help would be great!

thanks Steph

dunstonh

looking at Martins article it looks like I just need mortgage payment protection and mortgage term assurance?

That is incorrect.

Based on the very little you have said, you need life cover for the mortgage, critical illness, permanent health insurance and possibly payment protection. You may also need further life assurance if you are overly dependent on one income.

At the moment you dont have any PHI and your payment protection seems overly expensive. You may also be able to write your life and CI a bit better to balance. However, we dont know your circumstances so cannnot really say.

stephjrowland

Thanks for your advice. I'm 24 and earn £16270 and my partner earns £16016 and hes 29. We are both healthy no medical complaints and don't smoke or drink (very boring people!) based on this can I look at changing through a comparison site or would you recomend I speak to a financial advisor?
thanks

dunstonh

based on this can I look at changing through a comparison site or would you recomend I speak to a financial advisor?

If you know what you are doing then going DIY is fine.

stephjrowland

thanks for your help
steph