Mortgage protection - worthwhile or not?

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Our mortgage broker is suggesting mortgage protection is advisable. My wife can't work, and if I was flattened by a bus she'd have a major problem paying off the mortgage. On the other hand, it's a small mortgage which I hope to get paid off within 5 years maybe. I do have a serious pre-existing condition and I'm told this would most likely be excluded from protection, which makes me wonder whether it's really worth it!
Any opinions on mortgage protection? Is it worthwhile or not worth the paper it's written on? I don't know how reliable these policies are for paying out?
thanks in advance
Any opinions on mortgage protection? Is it worthwhile or not worth the paper it's written on? I don't know how reliable these policies are for paying out?
thanks in advance
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In 2020 Aviva paid 99.3% of all life insurance claims.
In 2021 Aviva paid 99.4% of all life insurance claims.
LV
In 20201 LV paid ouf 96% of all protection claims (this includes Life, CI, PHI), but typically life insurance has higher percentage.
Zurich
In 2020 Zurich paid out 98% of all life insurance claims.
I have just chosen 3 at random, but you can see it is consistently above 95%.
Why would it not pay out?
- If there is an exclusion and that was the cause of death.
- Applicant lies on the application form to the point where the insurer would never have offered cover in the first place.
- You are not dead (bear with me here)...
I used to work for a life office (one that no longer exists), we once had a claim on critical illness (critical illness covers things like heart attacks, strokes, cancer) from someone who broke their arm. That had to go down as a declined claim and obviously affects the statistics.
Life insurance is like any other insurance, its only useful if you actually need it otherwise it is a waste of money. It does generally pay out though in excess of 9 times out of 10.