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Froogal

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Hi ,
I need help please .i am trying to extend our mortgage term from 21 years to 32 years .Both of us are recently unemployed .the lender bank has inssisted we re-assign our original life assurance policy (new ireland assurance -222 euros/month .we cancelled this year after drawdown due to cost.-we got away with it up to now!
the heavy loading is due to my smoking and history of depression treatment .i have few queries
1.Do I have to reassign this policy from new ireland and not any other provider, as the bank kbc insist?
222/month is too much for us-nearly cancel out saving from 21-32 year term
2.If I do ,is it possible to quickly change to other/new policy from other company.
3. Is it straightforward to get this amount reduced if my circumstances change..e.g give up smoking.get letter from doctor re. depression (good prognosis)

Any bit of advice would be greatly appreciated
 
1) You don't need to reassign the New Ireland policy but you will need a basic mortgage protection policy covering the amount of the mortgage over 32 years.

2) You will need to complete a proposal form for the new insurer. As you have a history of depression, the insurer may ask your GP for more information.

3) If you have not smoked in 12 months then you will be classified as a non smoker. Without knowing how severe the depression is/was it is impossible to say how strightforward it will be.

Your best bet would be to speak with an insurance broker.
 
Thanks for quick reply Norfbank,
I think I will go for the insurance broker.I havw one more question .If I assign to a policy can I switch to another insurer anytime or am I locked into a contract if I sign?
 
Froogal said:
Thanks for quick reply Norfbank,
I think I will go for the insurance broker.I havw one more question .If I assign to a policy can I switch to another insurer anytime or am I locked into a contract if I sign?
Click to expand...

You can switch at any time.
 
Foogal, the conditions of your loan state you must maintain a suitable policy, you are extending your mortgage term, you have / had a medical condition which results in a higher rate on your protection policy. When your bank looks at the figures of your loan repayments, house insurance together with your present income how can their calculations satisfy their underwriting that you can also afford to keep such an expensive policy?
 
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