Permanent income insurance vs mortgage insurance

Luke451

Hi,

I already have a permanent income insurance and I wonder what benefit I could get if I subscribe also a mortgage insurance.

I don't see the reason at the moment because my insurance covers whatever reason until my retirement age, after that I guess I'll take a one way ticket .

The coverage is 29% higher than my monthly life cost, in other terms, it covers my entire life cost, including mortgage, car and whatever secondary thing you can think of. In a very bad event, I can forget these things so I consider myself widely covered.

Obviously my cover doesn't overtake 65% of my net income, it's a requirement when you subscribe.

Anything else I should think of?

Oh, the only 2 insurances that I don't have is the Accident and Sickness and Private Health Insurance, those are provided by my company, I know I should take them to avoid being excluded in future, especially for pre-conditions and after you changed job (nice trap), I'm just waiting for a better deal.

bobster2

By "permanent income insurance" do you mean the type of income protection insurance known as "permanent health insurance"? That gives you an income if you cannot work due to ill health?

By "mortgage insurance" do you mean mortgage payment protection insurance (MPPI) - that covers your mortgage payments if you're unable to work?

Luke451

bobster2 said:

By "permanent income insurance" do you mean the type of income protection insurance known as "permanent health insurance"? That gives you an income if you cannot work due to ill health?

By "mortgage insurance" do you mean mortgage payment protection insurance (MPPI) - that covers your mortgage payments if you're unable to work?

Yes, you got the point.

DullGreyGuy

MPPI is a form of ASU so the only thing it's giving you really is the unemployment cover for compulsory redundancy. 

Does having both take you above the 65% gross salary?

Luke451

DullGreyGuy said:

MPPI is a form of ASU so the only thing it's giving you really is the unemployment cover for compulsory redundancy. 

Does having both take you above the 65% gross salary?

Oh, unemployed is hardly covered, also in these days... So I guess I'm fully covered.

I'll take unemployed insurance when I'll reach 2y in my company, in the remote case it will be available.

Mmm, I don't know if I can go over 65%, with the life insurance is not possible and probably nullifies both (never do it), with others it's possible, but who knows what kind of excuses they will thrown out to avoid paying...