Critical Illness Insurance / Life Insurance

money

#1

Why can I not seem to get a LI quote with CIC which will pay off the remaining amount of a mortgage?
All the LI + CCI quotes i’ve got seem to give a lump sum (a. £30k) for serous illnesses…

My mortgage lender gave me a quote for just the CCI and it was £60 a month - which was a little bit eye-watering tbh.

Was hoping to do LI for about £10-15 a month and CIC for maybe £20… am I dreaming?


#2

I think you may be dreaming.
The quote for LI and CIC I got was about £120 a month.


#3

Holy shit.


#4

yep cheapest i found was 85


#5

Wtf?! Think we pay about 40 quid in total a month.


#6

we as in you’re on a couple’s rate paying 40 a month for BOTH of you??? who with pls.


#7

We’ve got one with Zurich and then topped up when moved by taking a second policy with policy expert I think


#8

Actually it’s not policy expert. Will need to check later. Our house is probably a bit cheaper than London prices but seems very high.


#9

thnx


#10

I looked into it before I decided my life isn’t worth l̶i̶v̶i̶n̶g̶ insuring. £50 a month to cover £205k life insurance and critical illness (declining payout as the mortgage gets paid off). As was explained to me on here the CI bit is the bigger risk to the insurer so the more significant cost


#11

Yeah we’ve got it as a couple. Think it works out about £38 a month total for life insurance and critical illness.

I think it’ll heavily depend on your mortgage amount and we’re in Scotland, sooo…


#12

In fact having had a look it’s £28 in total for both combined. Legal and general.


#13

Will your critical illness cover basically wipe the mortgage balance at that point then?


#14

For me, terminal illness will but critical illness nope.


#15

Legal and general. Thats who our second policy is with.


#16

Think I have both for less than £50p/m with L&G, done when I got the mortgage.


#17

I think it just effectively pays out an amount each month so you can continue to pay the mortgage etc., think mine roughly equals my current net salary.


#18

there are different types, small lump sum of a few thousand (I see this as equivalent to what more generous employers give so am not interested in it), big lump sum for a set amount (e.g £200k or whatever), third is a big lump sum that declines with the term so only pays off what is left off on the mortgage (this is the one I am interested in as someone would want my mortgage paid off so I can die in comfort but don’t have any dependents id need to leave money to)


#19

Fucking hell. We’re paying 38 a month just for life insurance. Critical Illness was extortionate.


#20

Unless you want to leave your home to someone, then it may be simpler to allow your executors to sell up and pay off the mortgage that way?