This is also called payment protection or ASU cover. It is generally a 12 month policy that is designed to pay your monthly mortgage amount and associated insurances should one of the above happen to you.
They are designed to cover you if you lose your income because of redundancy or sickness, therefore if you are employed we advise you to check your employment contracts to see what your employer would pay you and for how long if you are off sick, and to also look at your chances of being made redundant and whether you think you would be able to find a new job quick enough. If you are self employed you need to consider how long you could afford to take off work if you were sick or had an accident, because your income may stop if you cant perform your job. With regards to redundancy and being self employed you generally have to go bankrupt for this to pay out. We again have access to a wide range of insurance companies and will find the best one 4 U, they generally pay out after 30 days and for up to 12 months. We highly recommend these because the Government generally does not help you with your mortgage payments for the first 9 months and after this it will depend on your circumstances.
Buildings and Contents Insurance
When purchasing a mortgage it is a requirement to have buildings insurance on your property (if you have a leasehold property, you have to make sure the freeholder has arranged this for you).
Some lenders still insist that you take their insurance but most will allow you to take insurance elsewhere and just ask for proof that you are insured (though some lenders charge a £25 one off fee if you don’t take their insurance). Being a broker we have access to a variety of insurance companies and depending on the type of cover you require we can find the one that’s best 4 U.
Please call us with your requirements and we can provide a quote, we can also look at beating the best quote you may have obtained elsewhere, proof will be required.
Critical Illness and Family Protection Policies
Death and critical illness protection policies for you and your family.
Death and Critical Illness
One in four adults will suffer a Critical Illness before age 65. What is a Critical Illness?
There are well over 30 defined Critical Illness’s but the main ones which account for 90% of claims are Cancer, Heart Attack, Stroke and multiple Sclerosis.
Please do not get critical illness confused with terminal illness, on a claims basis they are very different.
A Critical Illness policy will pay out a Tax Free cash sum on diagnosis of a named illness. The money can be used for any purpose , to repay your mortgage, get specialist medical treatment, help with household running costs as you may not be able to work or need a carer?
Is it expensive?
Typical Example
Married couple both age 30 and non smokers need £100,000 cover over 20 year term to protect their mortgage and family.
COST less than £9.00 per week.
Family Income Benefit
In the event of death this policy will pay the surviving spouse an income to help them maintain their lifestyle now that the main income earner has died.
Typical Example
Married man age 30 and non smoker decides his family would need £20,000 per year to protect their lifestyle in the event of his death. The initial term decided is 20 years and he dies in the fifth year of the policy. His wife receives £20,000 per year for remaining term of policy i.e. £20,000 for 15 years (total £300,000 Tax Free)
COST less than £2.65 per week.
Income Protection Insurance
Income Protection Insurance protects income until retirement or you are able to return to work
Income Protection Insurance
If you can’t work due to illness or accident how long would your employer continue to pay your full wages? In most instances you would be on Statutory Sick Pay of around £80 per week. Could you live on this? pay your mortgage, bills, food etc.
If the answer is NO then you need Income Protection Insurance which will pay you an income until you return to work or to age 65.
Cost will depend on your age and occupation, we have access to the whole of market so can advise you on the best policy to suit your needs and budget, please phone or E Mail for a free quotation.
Keyman Insurance (Keyperson) – Business Protection Insurance
Every company has KEY workers that contribute greatly to the profitability of their company. If the key worker dies or becomes critically ill then the company will suffer badly or even go out of business?
The company should have a Keyman/woman policy that would pay a lump sum to the company in the event of death or Critical Illness of their Key employees. This would give them capital to replace Key man/woman or fund the company whilst they are recovering.
Typical Scenario – contract director, age 30, has fatal car accident. company need to quickly replace him as he was bringing in sales of £30,000 per month. (if it took 6 months to find replacement, that is a loss of £180,000 of sales, could this company survive this?, in the example below they would have recieved £200,000 to cover this eventuality, similarly a heart attack could prevent him from working for 6 months, again this would cover the loss)
Typical Example
Contracts Director, age 30, non smoker, Company needs to insure him for £200,000 payable on Death or Critical Illness.
COST £7.60 per week (Renewable every 5 years)
Share Protection
In the event of death of a major shareholder would your company have sufficient capital to buy the deceased shares or would you have to accept their spouse as a Director or risk the shares being bought by a competitor.
Solution
Insure all major shareholders so that company can receive cash to buy their shares on death.
Typical Example
Four Directors all age 30 (non smokers) with equal shares of company value £1 million.
Insure each Director for £250,000 on rolling 5 year renewable contract.
COST only £3.04 per week per Director Total cover £1 million
Can you afford NOT to have this protection for your company?
Life Insurance
In the event of Death most people would want to know their families are financially secure especially if they have children, knowing that the property doesnt have to sold to do this.
Level Term Assurance
This type of policy pays out a set amount (level) for the full chosen term of policy
Use our life insurance calculator
Typical Example
Married man age 30 and non smoker decides his family would need £250,000 to protect their lifestyle in the event of his death.
COST less than £2.90 per week for a 20 year policy
Critical Illness can be added to the above which we highly recommend, price is dependent on age, smoker status and history, please call us for a quote.
Mortgage Protection
Your mortgage is usually the largest debt held by most families! So it makes sense to insure that in the event of death of either partner this debt is cleared.
Mortgage Protection policies are one of the lowest cost policies available. This is because the cover decreases over a specified term ie. 20 years. So as a standard repayment mortgage debt decreases, the level of cover would also decrease at around the same level.
Typical Example
Married couple both age 30 and non smokers need £100,000 cover over 20 year term to protect their repayment mortgage.
COST less than £1.70 per week.
Critical Illness can be added to the above which we highly recommend, price is dependent on age, smoker status and history, please call us for a quote.