Should I cancel our Critical Illness assurance cover?

stargirl73

We have had a Legal & General Critical Illness life assurance cover for the term of our mortgage so far -- over 10 years.

It's "only" £23/month but I'm wondering if it's worth continuing with.

We have about £8000 left to pay on our mortgage, but for the past 5 years or so neither I (due to ill health) or my husband (due to being my carer) have been working. The cover wouldn't pay out for my illness as anything even vaguely related to "stress" - (despite the reason I've been unwell has been severe treatment resistant depression - an entirely different kettle of fish IMO) was excluded from the policy.

So all the while that we've been unable to work - we've had to pay the mortgage anyway.

As I say - we've only about £8000 left to pay, we're hoping to get back to work in the fairly near future, we're both fit and healthy (now!) and will probably manage to pay the rest of the mortgage off within a year or so.

So I'm wondering whether it's worth us paying another year / 18months of premiums - we've already paid near enough £3000 in premiums that we never had the benefit of when we really needed it, and could maybe save ourselves a bit of cash in the future.

What do you think? I know we can't foresee what'll happen in the next year but we are *hoping* that the worst time of our lives is behind us now (at the ripe old age of 35!)

Your advice would be appreciated.

Thanks in advance

jonesMUFCforever

It would be very easy to say - cancel it.

However due to your pre-existing illnesses it would be very difficult for you to get a new policy at a reasonable premium. If you go back to work and do suffer a condition covered by your policy then it would pay out- you could use the money for any purpose not just repay your mortgage.

What could you do with the extra £23 a month?

Read the policy documents carefully before deciding to cancel.