Lifestyle cover insurance vs income protection benefit

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Kimandmark
Kimandmark Posts: 5 Forumite
in Reclaim PPI & other insurance
Hi can some one please help,

We got our first mortgage 2 years ago and as part of it we had to sign up to a number of insurances.
Just looking at two of them now I can not really tell the difference between them both as they both look like they offer similar things. However one I can not cancel the other we can renew.
These are;
Lifestyle cover insurance which is renewable
And the other income protection benefit (low cost) seems to be a lifetime policy which we can not cancel.

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  • dunstonh
    dunstonh Posts: 116,387 Forumite
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    You missed your questions off
    I am an Independent Financial Adviser (IFA). The comments I make are just my opinion and are for discussion purposes only. They are not financial advice and you should not treat them as such. If you feel an area discussed may be relevant to you, then please seek advice from an Independent Financial Adviser local to you.
  • Nasqueron
    Nasqueron Posts: 8,836 Forumite
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    You need to post which firm(s) provide the cover and what details you have (the proper policy names) if you want a comparison of what they are.


    Nobody on the forum can tell you which policies you need however, that's the job of your IFA (or similar)
  • Kimandmark
    Kimandmark Posts: 5 Forumite
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    My question is what is the difference between the two insurances ? We had to take loads of policies out in order to get the mortgage ?
  • Kimandmark
    Kimandmark Posts: 5 Forumite
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    I have put the policy names in my original thread
    They are both through legal and general.
    >lifestyle cover insurance
    &
    > income protection benefit (low cost)

    These are not insurance policies taken out with legal and general so we could take out our mortgage.
    My partner is self employed above our for him.
  • antrobus
    antrobus Posts: 17,386 Forumite
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    Income Protection

    Our plan is designed to pay a monthly benefit to the client if they are unable to work due to incapacity caused by illness or injury, resulting in a loss of earnings.
    2 year Low Cost Option – multiple claims permitted, with each individual claim allowable for a maximum duration of two years.

    https://www.legalandgeneral.com/adviser/protection/our-products/income-protection-benefit/

    Protect more than your mortgage or rental payments

    Our Lifestyle Cover Insurance is a Short-Term Income Protection insurance policy that runs for 12 months and has to be renewed every year.
    https://www.legalandgeneral.com/adviser/protection/our-products/income-protection-benefit/

    Never heard of an insurance policy that you can't cancel.
  • Kimandmark
    Kimandmark Posts: 5 Forumite
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    Thank you.

    On the lifestyle cover legal and general send us a letter each year to make sure all is right for us and to check with other providers.
    However
    Income protection we get nothing each year from legal and general and the certificate for the policy shows as lifetime policy and the end date is the full mortgage year (30 years)
  • [Deleted User]
    [Deleted User] Posts: 26,612 Forumite
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    Kimandmark wrote: »

    On the lifestyle cover legal and general send us a letter each year
    That's because you renew it annually. :)
    Kimandmark wrote: »
    Income protection we get nothing each year
    Why should you?

    The insurance runs for the entire duration of your mortgage.

    Unless you (unwisely) decide to cancel it, of course.

    Neither of these insurances has any overlap of cover and, if you are hoping to argue that they were somehow mis-sold I can't see you having any success. The audit trail on a mortgage taken out only two years ago will be comprehensive..
  • [Deleted User]
    [Deleted User] Posts: 26,612 Forumite
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    antrobus wrote: »

    https://www.legalandgeneral.com/adviser/protection/our-products/income-protection-benefit/
    https://www.legalandgeneral.com/adviser/protection/our-products/income-protection-benefit/
    Those links are identical!:eek:
  • Kimandmark
    Kimandmark Posts: 5 Forumite
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    thank you for your reply.
    No not looking at claiming mis sold items as I know what we have we had to take out policy wise we needed as such. But I’ve been looking at these two insurances for a while and could just not figure out the difference them.
    Also why I could not renew the income protection policy.
    But your reply has helped.
  • [Deleted User]
    [Deleted User] Posts: 26,612 Forumite
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    Kimandmark wrote: »
    I’ve been looking at these two insurances for a while and could just not figure out the difference them.
    Also why I could not renew the income protection policy.
    You can, of course, ask your provider for a full rundown of the policies and their terms and conditions. However, you should also find that you already have these amongst your mortgage paperwork.

    There is no overlap of cover. One covers only your mortgage payments and the other is additional to that. Both policies cover the self-employed.
    You may regard these policies as an unnecessary expense right now, but you'll be grateful in the event of any such future calamity.
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