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Mortgage protection and Sickness cover

HI My husband left me 7 yrs ago and I took on the mortgage which was £50,000 at the time. I took out a mortgage protection cover and sickness,accident and redundancy cover with Aviva to safeguard me. I am still paying £21.43 pm, which doesn't sound much but does add up when I am on part time salary and no maintenance now as my kids have grown up.
I moved into another house with my new partner and all four of our kids, we both sold our old homes and now have joint names on the new mortgage,(£88,300) which he pays by DD from his personal account, in the event of his death his death in service would cover payment of the mortgage.

Do I continue paying the sickness cover and transfer the mortgage protection across, or cancel the policy? Any thoughts.

Comments

  • ACG
    ACG Posts: 24,923 Forumite
    Part of the Furniture 10,000 Posts Name Dropper I've helped Parliament
    DIS for your partner covers him passing away.
    ASU (accident, sickness and unemployment) covers you being unable to work for one of those reasons.

    The 2 policies cover very different things.

    As for whether you need the ASU policy, what would you do if you could not work? You say £20 a month adds up, where would you be if you could not work/were made redundant and you did not have this policy?

    Also, with brexit on the cards and nobody having a clue what will happen. Unless you work in a recession proof industry (GPs receptionist/Bailiff for example) I think I would be keeping hold of that policy just in case. You might not be able to get a new policy if it all hits the fan.
    I am a Mortgage Adviser
    You should note that this site doesn't check my status as a mortgage adviser, so you need to take my word for it. This signature is here as I follow MSE's Mortgage Adviser Code of Conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice.
  • OK thank you for the advice.
  • dano17439
    dano17439 Posts: 366 Forumite
    Part of the Furniture 100 Posts
    Yeah sods law says a week after you cancel the insurance you will need it!


    The thing with all insurance is that everybody hates paying it, but if you need it, then it can be a lifesaver


    I know this first hand, my parents place had a fire and their home was a total loss. If was knocked down, rebuilt and everything replaced. All paid for by insurance. I am convinced that if my parents didn't have home insurance (as many don't), and lost everything, my mum would of topped herself
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