Life Insurance Policy and review

Markdavid1962

I have a life insurance policy which I took out in 2001 for £224k life cover cover for myself and my wife (at the time to clear the mortgage) and have been paying £33 and £11 per month for my myself and wife.

The FSA I used at the time no longer represents Legal and General and they have written saying they want to introduce me to another FSA so I can review if I need to change products as I may have moved house, had children or increased/reduced the mortgage.

The policy is not linked to the property and to be honest the mortgage is nearly paid off, I personally think £44 pm for £224k cover for myself and my wife is value for money or am I missing something.

Bigmatt0811

It is difficult to state on what you have put if the policy is good value for money.
What was the term of the original policy?
Was it set up as a Level Term Policy or Decreasing Term Policy?
Is it just pure life cover or is there any Critical Illness included?
Have you suffered any illnesses that would preclude you getting a new policy?
Do you have any dependents?
Who has written to you - L&G or the company that set the policy up?
How old are you/your wife now?
Did you smoke at the time of taking the plan out - if you did have you stopped? And vice versa - if you didn't smoke, do you now?
Do you or your wife have any other kind of protection that you pay for?
Do you have Death In Service Benefit?

Sorry there are a lot of questions but these are questions to consider when looking at the value of a protection policy?

Markdavid1962

The term runs until 2026 and is a level term policy paying out £224k on death for myself or my wife.
It is pure life cover (no critical illness)
Health - No issues

Dependents are now all grown up (working and saving for their own home) but still living at home
L&G have written introducing a new company to act as a FSA
Age 56 and 49
Never smoked (myself and wife)
Other life cover via employer (4x annual salary) as Death in Service

Grey_Critic

So what is wrong with talking to the new Adviser? Alternatively find your own.

kingstreet

Get an independent adviser this time, not a tied rep.

There might be better terms from a different provider.

kidmugsy

Markdavid1962 wrote: »

The term runs until 2026 and is a level term policy paying out £224k on death for myself or my wife. It is pure life cover (no critical illness)

The best writer on insurance I've found is this chap.

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

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

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

It may be you've passed the age when this is interesting material, but do pass it on to anyone you know who needs to read a primer on these topics.

dunstonh

L&G tied sales rep pricing is usually higher than IFA or whole of market adviser pricing.

Plus, L&G plans have historically been at the budget end in terms of quality.