How do you know if you’re paying too much for Mortgage Protection or Life Cover?

We all want to do the very best for our family and to make sure that we can provide them with financial security. But what would happen to your family’s finances if you were to die? It’s certainly not a comfortable thought, or one that any of us like to dwell on for too long.

If you have a young family then the financial turmoil created by a sudden death of a parent can be devastating.  The most common questions I get asked when it comes to Mortgage Protection or Life Cover are how much cover do I really need and how can we save money?
 

How much cover do you need?

You have to consider several aspects before calculating the cover you need such as the number of dependants you have and their ages. Whether there is a second earner or not and the level of cover they require and the cost of providing for childcare as well as any long-term borrowings or loans.
 

How can you save money?

On the life assurance, mortgage protection, and serious illness front, we have seen premiums fall massively in the last few years. If you bought your home during or before the ‘Boom Times’ you have probably paid ‘Boom’ prices for your life cover. You want to ensure that you are availing of the lowest rates available in the market. This is a job your bank cannot do as it can only advise on its own products.

Therefore, you would be wiser to engage the services of a financial broker who will find the best insurance quotes in the market for you, and also look for extra benefits that some insurers have. A great example of this is Aviva will add ‘Best Doctors’ (a unique healthcare experience by providing access to the world’s best medical experts should serious illness strike) for free to all life and mortgage protection plans.

Switching plans is  easy but please do not consider canceling an existing policy until you have your new policy in place and are happy with it.

If you have any other questions, don’t hesitate to contact OneLife