Life What are the implications of cancelling life assurance policies?

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mrso'brien

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Can anyone help me...? Please?!
I have to cancel one of them today or else get charged again....

If I cancel a policy, do I get money back? Can I transfer what I have already paid into another policy from another company? Or do I just lose all the money I have paid so far?

I have 2 policies on one property...I should only have one policy. Will I get penalised by one company if I cancel their policy?

Thanks for your help.
 
you don't give a great amount of info here.

If you have a mortgage protection policy, then if you cancel, you get nothing back. You have used up the premium in that the insurer took the risk that you might die within the period of cover. You did not (thankfully) and therefore the money is spent.

You may have a whole life policy, which is much the same as above, you cancel, thats it.

You may have a savings element built in. If that is so, then you probably will get something back.

Downside of cancelling is, have you enough cover to pay off the mortgage if you died?

You are wrong to say that you have two policies on the one property. The policy is on YOU and possibly on your SPOUSE as well. You can have as much policies on your own life as you can afford or desire.
 
Assuming it was a life assurance policy for a mortgage, I always assumed this was mandatory and could not be cancelled during the lifetime of the mortgage?
 
japester said:
Assuming it was a life assurance policy for a mortgage, I always assumed this was mandatory and could not be cancelled during the lifetime of the mortgage?
Click to expand...

I think Mrs. O'Brien has somehow ended up with two life assurance policies, so assuming one of them covers her for the amount and term of the mortgage, she would be free to cancel the second if she wished, subject to Ravima's advice above.
 
LDFerguson, yes you are correct...I have two policies for one property.

My question is, if I cancel one of the policies, do I get charged a fine for doing it? Or can I transfer any of the money I have already paid into that policy, into the policy I intend to keep? Or do I just lose the money I paid into the policy when I cancel it?

Thanks
 
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