Reviewing an array of mortgage protection and insurance policies

D

dubdub123

Registered User
Messages
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@Brendan Burgess and others, would appreciate guidance on life insurance mortgage protection
Any guidance regarding what amount this should be? Ive some old policies, some joint ones with ex that ive just paid for years and years as wasnt sure what to do..
What should i be looking at regarding what policies to keep, whether im adequately or maybe over insured. Or worst case wrongly insured as im insurjng my ex.

Off the top of my head ive the following cover (i will have to request up to date figures)

- mortgage protection policy for family home that i puchased couple of years ago and myself amd children live in. Need to keep this. Approx 30pm
- mortgage protection policy for myself and ex, which was taken out when we bought our then family home which has since been sold. Approx 50 pm.
- mortgage protection policy for myself only, for previous family home, which i had to take out as part of transfer of equity. As above this house has been sold. Approx tenner pm
- old canada life joint life policy with critical illness cover , for both myself and ex. Approx 55 pm but its whole of life and the cover was decreased upon renewal. I'll check updated figures but i think coverage is around 50k or so. Took it out nearly 30 years ago.
- i also have cover through work, i think 3 times salary however obv circumstances could change over time

Any general guidance? Living with 14 year old and almost 18 year old (who is autistic with mental health issues, who needs support rather than full time care). Being honest its an area ive struggled with but would really like to focus on and structure it properly.
 
Interesting to come up with some general principles for this issue.

Here is a first shot.

1) If your mortgage requires you to have cover, you need cover.
2) You should shop around to see if you could get the same cover for the same term at a lower price.
3) If your dependents would be in financial difficulty if you die, then you should take out appropriate cover if you can afford it.
4) If you do not require the cover, then cancel it unless it's very good value. For example, if you have a reduced life expectancy, it might be worth keeping. Even though you or your kids don't need it, they will benefit from it if you die.
 

You probably need to get an advisor to review this for you.

Policies taken out 30 years ago were often very bad value. But as it's 30 years old, it might be value now. You have already paid €20,000 and Canada Life has got this and the investment return on it. What is their risk?

It depends on the health of yourself and your ex.

If it's something you are going to cancel, talk to your ex. She might pay you to keep it.
 
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