Mortgage Life Insurance

silentotter

I have all but paid off my mortgage now finally. However last week I received a letter from the life insurance company that provided the life insurance that was sold with my mortgage telling me that my policy was ending.

Is this normal practice and is there anything I should do in response to the letter. Is there anything I should be concerned about with it?

Also is it worth keeping life insurance going now that the mortgage has ended?

Can anyone advise please.

Thanks

middleclassbutpoor

Do you have any other debts or dependents?

Life cover is normally put in place where you have either people who need you to look after them financially or were you have debts you don't want your loved ones to sort out.

silentotter

I have no debts but I do have a wife, no children.

middleclassbutpoor

There is possibly a need for life cover then.

You need to assess what your financial circumstances would be if either of you were to pre-decease the other. If you have plenty of savings and assets then that may be sufficient.

Other considerations may exist where one of you have a substantially bigger income as the drop in income could then cause an issue if that person was to die.

Ultimately, you may have a need but only you know your circs fully to make that call.

chuoiit

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