My last mortgage payment is due next month. The insurance policy attached to it is with Friends First. This policy (not full sure of its details as we went through a broker at the time who has now retired) is a renewable, convertible and index linked policy. It is also on both mine and my husband lives. We have 4 kids under 18yrs. What should we do with policy on completion of mortgage? It costs us almost €100 a month.
Mortgage finishing. Insurance policy?
- Thread starter desparate
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Brendan Burgess
Founder
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Ask Friends First for a copy of the policy and then ask a financial advisor or broker to give you advice on what to do.
Brendan
Brendan
LDFerguson
Registered User
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There are two points you need to consider.
(1) Do you need this life cover at all? With four kids under 18, there would be a requirement for cash if one or both of you died but you may well have other insurances, pension funds, death in service cover at work and/or assets that would leave the family comfortable.
(2) If you started the policy years ago, you were that much younger at the time and this should be reflected in the premium on this policy. You may well be paying less for the cover than you would be if you started a new policy today. So if the result of (1) above is that you decide you do need the cover, the next job is to get comparable quotes for a new policy to verify that the existing one is indeed cheaper as I suspect it will be.
Friends First are now Aviva.
Regards,
Liam
www.FergA.com