First Time Buyers - Life Insurance: Where do I start??? 16 August 2018 at 4:16PM in Insurance & Life Assurance 2 replies 429 views

Charmbracelets2012

Hi everyone ,

My partner (33) and I's (32) mortgage has been approved and our solicitors are currently undertaking the searches. We are thinking about our life insurance (eek) as we are not married yet. For the mortgage, we are thinking of having joint decreasing life insurance to cover the mortgage. Then, separately, have income protection and critical illness cover. Does that seem reasonable as we currently have no children? Though, we thought of also having level term insurance in place in anticipation of starting a family and it would be cheaper now than later.

Our families have never bought homes before, so we are new this process. So any advice given, would be appreciative?

Thank you in advance.

Fia

butterflybook

Have you seen a broker? It depends on your circumstances but joint Life & Critical illness cover on a decreasing basis to cover the mortgage is a good idea for starters - this is what i would say is the minimum i would want in place instead of level term you might want to look at a Family income cover in anticipation of having kids

kidmugsy

Charmbracelets2012 wrote: »

We are thinking about our life insurance (eek) as we are not married yet. For the mortgage, we are thinking of having joint decreasing life insurance to cover the mortgage. Then, separately, have income protection and critical illness cover.

Has either of you built up much money in a pension? If so you could nominate the other as the person to receive the cash in the event of death. That might let you reduce the sum assured a bit.

Here are some links worth reading.

http://monevator.com/life-insurance-and-protection-a-primer-or-why-you-should-buy-renewable-term-life-cover-most-of-the-time/

http://monevator.com/do-you-need-income-protection-insurance/

http://monevator.com/family-income-benefit-the-forgotten-policy/