The links below will take you to the appropriate insurance page.
Frequently asked Questions about insurance:
I have recently applied for a mortgage with my wife, do I have to have sufficient life assurance to cover the mortgage in the event of my death?
Not necessarily, it depends on your lender, you should check the terms and conditions of your mortgage to see if it is a requirement of your mortgage provider. However, in most cases it is good practice to effect life assurance to protect yourself and your family in the event of death.
Five years ago I took out a Level Term Assurance plan on my life with a sum assured of £140,000 to cover my Interest Only mortgage of the same amount, does this mean that if I die my mortgage will be paid off?
Providing that your total mortgage debt is at £140,000 or less, then yes, your mortgage liability can be paid off on your death. I would however recommend that we review your policy as the cost of life cover has come down over the past five years and you may be able to affect a virtually identical policy for a cheaper monthly premium.
I have something critical illness on my life assurance plan, what does it mean?
Critical Illness cover can be added to a life assurance policy or taken out as a separate stand alone policy. It is cover that will pay the sum assured to the policy holder if the life assured on the policy suffers a critical illness and survives providing that the illness is covered in the policy conditions. For example if the policy holder had a heart attack and survived the sum assured would be paid to the policy holder. This type of cover tends to be a little more expensive then life cover but most Independent Financial Advisers believe it offers good value for money.
Will my life cover plan pay my monthly mortgage if I am unable to work through prolonged illness?
No it wouldn't. However, there are plans available on the market place that would. Permanent Health Insurance and Accident Sickness & Unemployment cover are two types of plans that could provide you with an income to cover your monthly mortgage payments. For a more in depth explanation please feel free to contact one of our independent brokers.
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