Have I got the right life insurance

longylong · 16 June 2018 at 12:29PM

Hi. I am after some advice on if I have the right life insurance or if we are paying to much please.

My wife and I have two children and are signed up with Scottish Widows but through our bank Halifax. We currently pay £26.74 a month which gives us a pay out of around £70.000 if I die and around £30.000 if my wife's die's.

I've been told by a few people that that monthly amount is a lot as the Halifax are probably taking a cut out of the amount as well. I'm really clueless with Life Insurance and can't help but feel I may be paying to much?

Obviously I want to make sure my wife and kids are covered should the worst happen but also want to cut the monthly figure down where possible.

Any advice on which companies are good or types of covers to look for would be gratefully appreciated.

Thanks

kidmugsy · 16 June 2018 at 3:06PM

For what and why this chap is superb. It's a lot of reading but he (and his commenters) provide the best discussion I've ever found.Thereafter I suppose you just shop around; sorry that I have no tips on that for you.

http://monevator.com/life-insurance-and-protection-a-primer-or-why-you-should-buy-renewable-term-life-cover-most-of-the-time/

http://monevator.com/do-you-need-income-protection-insurance/

http://monevator.com/family-income-benefit-the-forgotten-policy/

Two further thoughts: (i) Do check that you have nominated your wife (and she you) to receive your pension if you should die before claiming it, and (ii) Do check whether you get any insurance through your pension scheme at work.

dunstonh · 16 June 2018 at 3:57PM

and are signed up with Scottish Widows but through our bank Halifax.

Most expensive why to buy life assurance. SW is a well known brand but the pricing with Halifax is higher than the whole of market pricing available with mortgage brokers and IFAs.

I've been told by a few people that that monthly amount is a lot as the Halifax are probably taking a cut out of the amount as well.

Every distributor gets a cut unless you go fee basis. Its the scale of the cut or the increase in premium to pay for the cut that is the issue.

Any advice on which companies are good or types of covers to look for would be gratefully appreciated.

Have a word with a local IFA or local whole of market mortgage adviser.

csgohan4 · 16 June 2018 at 5:50PM

bit expensive for the payouts, are they critical illness by any chance?

lisyloo · 17 June 2018 at 8:44AM

I you are both healthy and it!!!8217;s plain life insurance then shop around.

If it includes critical illness you need to be careful to compare cover.

Life insurance is generally simple I.e. you!!!8217;re either dead or alive and there are few complications in that.
Critical illness policies might cover different illnessses so what it covers is important.

Have I got the right life insurance

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