Anyone got Life insurance?

coolsurfer · 10 Aug 2014 at 09:14

My wife and I are aged 29 and 28 respectively with no children. I've decided to take out some life assurance for both myself and my wife. We will be paying £25ish each for £250,000 of index linked cover (5%increase each year) until age 90.

Was wondering if any fellow ocuk'ers have had the foresight to get life assurance too and what prompted them? For us it was a combination of realising that taking one out 10 years from now would cost double and that's assuming we don't have any health problems still. One of my wife's friends passed away so it's really prompted us to get various protections in place whilst were young and healthy.

coolsurfer · 10 Aug 2014 at 09:41

Yeah I'm no financial expert. But I do have an eye for finance and basically my understanding was that all the quoting websites would cover you for a set amount of time of your choice e.g 20, 30, or 40 years....or a set age whether it was 65, 70, 75, or 80.

I thought for ourselves whilst we hope to live a long life I didn't want to get shafted by outliving our policy say living till 81 on policy going to 80years old so I took out policies that cover us till age 90 which is the highest in the insurance market (well short of going for whole of life cover but that would cost is £100 each a month).

It's £250k each and one of us if bound to go by age 90

I have the choice to pay 5% higher premium and then the insurance amount £250k will also go up by 5% thus keeping it in line with inflation. Will prob let it increase for 14 years. The premium will be £50 each and cover will be £500k each and it will allow is to pay the cost as our salaries increase over the next 14 years.

My dads insurance was for £28k took out in the 80's but his policy was only till age 64 and he is 60 now. This is what prompted me to go till age 90.

coolsurfer · 22 Mar 2016 at 16:28

Cancelled my income protection with PG Mutual today as premiums go up every year.

Took out income protection today with LV. £32/month for £2000 cover on a self-employed (LTD basis) and includes dividend income too.

Premiums guaranteed (stays the same) all the way to age 65.

Thinking of revisiting life insurance as perhaps its too long a policy. Can't make heads or tails of what to do.

coolsurfer · 28 Apr 2016 at 17:28

I've cancelled my old policy. Got a new one for me and the mrs.

£400,000 for £29.16/month till age 90. Plan to eat great food in my retirement. Won't last till 90

coolsurfer · 17 Jan 2018 at 20:01

Added on another £400k life insurance.

I’m worth £800k to my family dead.

coolsurfer · 18 Jan 2018 at 08:58

neviditelny said:
Anyone who can recommend a good company for a life/health insurance?

Money world or Cavendish online. I used money world, prices were half that of the banks.

coolsurfer · 22 Jan 2018 at 00:10

LeeUK said:
Why would you want £250K when you are 90. Surely your mortgage will be paid off by then.

I later changed it to £400k for me and my wife each on separate policies till age 90. I guess the reason is be cause I can. Premiums low £29/month. Bonus money for the next generation(s). Policies put into trust to avoid inheritance tax. Also intend to have property assets higher than the inheritance tax threshold so it will be nice for there to be some tax free cash to contribute towards any inheritance tax due. Potentially intend to keep buying properties past retirement. Any life insurance will be useful to pay some debts off.

Also If I tried to buy the same policy now just 2 years later it would cost me £45 as opposed to the £29 each we pay now so not a bad deal at the time at all. Also my wife now has a long term illness which she will be fine as long as she takes meds for life but has resulted in higher premium should we now wish to replace or buy additional cover.

coolsurfer · 22 Jan 2018 at 00:16

Steedie said:
Yeah I’m in the process of sorting Relevant life cover for me and my girlfriend as she’s an employee of my ltd company. I’m looking at around £25 a month to cover both of us for £300k cover each.

I was originally going through Vitality but they are garbage, customer service is awful and the application was just full of obstacles in terms of lack of communication or errors on their part so binned them off. So in the market for a new company to use

i wouldn't bother. Most relevant life cover is sold on an advisory basis so will always cost more than buying a personal policy without advice through the likes of money world or cavendish online. Also what are you gonna do if you wind your company up or sell up or cease trading - some relevant life policies effectively get cancelled. If so then you will be older and potentially have health problems when it comes to replacing it with another policy.

As I say peeps go for relevant life cover because they're advised its cheaper but make sure you know what happens if you sell up or cease trading - i.e. Does the policy lapse? Also is it really cheaper than using an execution only broker?

Life search are good for those who want advice. Also offer relevant life cover for Ltd companies. Obviously advised services will always cost more than unadvised execution only brokers.