What life/critical illness/payment protection do I want?

[Deleted User]

Hello all,

Just reading up on this stuff and interested in what policy/policies (if any) you have?

My situation: 40, single, no children. Good health. 5 years to run on mortgage. I have some savings for an emergency (10k) but am way behind on retirement saving so if I was disabled/very ill, I'd be relying on benefits very soon.

I'm not worried about job security/redundancy. 

I've been playing around with Compare the Market but I've no idea how much cover to go for especially for the lump sum for critical illness.

All thoughts and discussion helpful!

Thanks

[Deleted User]

I mean how much does one budget for wheelchairs/adaptions to the home?!

[Deleted User]

Also it's a desk job that I have so I'd need to be very ill indeed before I couldn't do it at all. 

amanda1024

Personally, I have a decreasing mortgage protection plan which would pay off the mortgage in the event of critical illness or death. If you’ve only five years to run on the mortgage you might be as well self-insuring (i.e. building up savings to cover whatever eventuality). Note that critical illness policies often only apply to specific illnesses so don’t completely rely on something like that. More generally, advice is often to have three to six months worth of salary in easily accessed savings - ISAs work well because you can always withdraw the money if you need it. And definitely recommend catching up on retirement savings (pensions offer tax relief etc), but generally these aren’t easily accessible much before retirement age so would be in addition rather than instead.

fullofcold

I have Income Protection because although it is a desk job that I do I have had meningitis and it rendered me unable to work beyond my sick pay from work.  I don't have critical illness because I'm in my 40s and it was on the 'too expensive' side for me.  

I am married with adult children and I have a mortgage, so I have life insurance to repay the mortgage but that is only because my husband cannot afford the mortgage alone.