got a letter today, telling me that i dont have life insurance.
and not had it for a few years. something i didnt realise obviously.

not had a mortgage for a few years and it was built in with the mortgage. so when that ended so did my life cover it seems.
so i thought life cover was needed to pay a mortgage off if you died whilst still owing money on the mortgage.
and maybe enough also to pay for a funeral.
so if you have no mortgage or debt, and have a saving pot which will pay for a funeral, do you still need life cover?

or if i need some cover, what kind of amount?

FWIW Tony, I’ve never had Life Insurance. Mortgage was taken care of by employers pension scheme through death-in-service benefits and I paid that off when I got early retirement.

I’m the same as scotroutes.

I’m the same as scotroutes

Have you two ever been seen in the same room together…………………

I’ve got about 230k, over three policies. Two were taken out as mortgage cover so are reducing in payout with the mortgage term. I’ve recently taken out another 150k for 12 quid a month over 10 years but no reducing payout to make sure if I drop dead mrsws and the kids would be ok for uni and be able to live comfortably.

Have you two ever been seen in the same room together…………………

I’ve been there for it. Still have PTSD 😳

I cancelled mine when I paid off the mortgage. Depends on the widows rights of your pension, plus how much cash you are leaving.

Some people take out life insurance to pay iht liabilities.

Only kept it when I had the mortgage. Works in service death benefit is quite good, so I better watch my back, and check my brake hoses.

@ton, From the little info you’ve given it’s hard to say, but I would be happy to have a chat if you like.
Have talked to a few off here and advised on relevant cover for their situation, one was “no cover needed” which is quite possibly where you are tbh.

Free advice if you need it, PM me and let me know.

Only had it thru work benefits, now retired, seem to be in a position like you and I don’t have any.

Only suggestion would be a prepaid funeral plan coz that way you will get what you want and it makes it a bit easier for others coz it’s all managed at the time. (Sorry if that a bit blunt but it’s what my parents did and it helped me, so it’s what I’ll do)

We have life insurance because even if the mortgage was paid off neither of us could afford to live a comfortable life on one wage. We aren’t high earners and a lump sum of £300-£400k would make a massive difference to the lifestyle of the remaining partner.

Another consideration could be given your past health issues will life insurance now even make financial sense? I’m 33 with MS which I don’t think is likely to kill me in the next 35 years (duration of my plan) and I still have to pay out my arse for life insurance. After the mortgage is paid off I’m not sure I’ll bother with the insurance.

@chvck health has a big impact but in those situations insurer choice is critical, every insurer underwrites health disclosures differently, some a far better than others for certain conditions.
Part of my work is dealing with underwriters and collating who is the best option in various different scenarios.
This is to save people needing to apply in full to very insurer on the market to get the best prices.
Get in touch if I can be any help.

I’ve never had life insurance even for a mortgage. I’ve no dependents and was single until relatively recently. My partner was in a similar position and earns similar amounts so neither of us need a big payout. I do have cover through work but there is no way I’d pay for it as my circumstances don’t merit it. The overriding question should be “what would the payout be for?”. Once you know that then you’ll know what to do but from the sounds of it you don’t need anything.

I recommend talking to Neal- he helped me out last year.

Single with no kids then critical illness cover would be a better idea… you die your worries end! You cant work due to illness how do you find your life? Especially under this caring government 🙄

Critical illness cover will be very expensive for an older person and if there are previous medical issues. There are so many omissions of whats considered critical as well.
If its straight forward the meerkat is fine, if there are complications then talk to someone like neal.

Critical Illness cover is a good option in that situation, but more suited to paying for things like private treatment.

In the event you can’t work due to Illness or Injury, costs of everyday life/bills etc are best protected with Income Protection cover.

This covers ANY illness or injury, rather than a specific list of conditions like critical Illness cover.
This means things like Car/Bike accidents, mental health etc etc. Are covered.
They wouldn’t be with Critical illness.

Also Income Protection pays a monthly amount rather a lump sum, and can continue until you return to work, so no issues with making a lump sum last an unknown amount of time.

If you’ve paid off the mortgage and are married to your partner, then they should inherit your pensions (SIPPs) or get a reduced annuity (assuming you bought one for a couple), so I don’t really see the need for Life Insurance, other than a token sum to cover funeral costs….

I get mine through work, but if I left, I wouldn’t bother with it personally.

Half mortgage covered for both of us, the rest on my work pension. So if Mrs TiRed dies I’ll have to keep working (just less). You don’t need life assurance if you have no future liabilities. It’s assurance, because you will eventually make a claim, INSurance is hoping you won’t have to.