LIFE INSURANCE

[ConorD29]

Hi all, I'm in the process of buying my 1st home but i will need to have life insurance for obvious reasons.
What life insurance deals with people like ourselves with medical conditions? Where did people get the best deals? Thanks.

 

[Pipp]

Hi all, I'm in the process of buying my 1st home but i will need to have life insurance for obvious reasons.
What life insurance deals with people like ourselves with medical conditions? Where did people get the best deals? Thanks.

Hi @ConorD29
Congratulations on buying your first home. It is a lond time since I did that, but always use an insurance broker for all insurance needs, as they have far much more information than online comparison sites of which companies have the best offers at any particular time.

 

[ConorD29]

Hi @ConorD29
Congratulations on buying your first home. It is a lond time since I did that, but always use an insurance broker for all insurance needs, as they have far much more information than online comparison sites of which companies have the best offers at any particular time.

Hi there, thanks! Where would I find an insurance broker? My mortgage advisor said that I may not get life insurance which I find absolutely ridiculous that in this day and age ppl would be refused insurance with diabetes.

 

[Pipp]

Hi there, thanks! Where would I find an insurance broker? My mortgage advisor said that I may not get life insurance which I find absolutely ridiculous that in this day and age ppl would be refused insurance with diabetes.

Just do an internet search for insurance brokers in your area. It is possible that your premiums will be more than someone your age that does not have diabetes, but your mortgage broker is mistaken.

 

[novorapidboi26]

There are a few big names that will take us on but it will be a but more pricey unfortunately but once you accept that its actually OK....

I used and online broker, the insurance surgery, for my first policy.....and then it has changed a few times since then due to other brokers phoning me up to try and beat my last quote...

 

[noblehead]

My mortgage advisor said that I may not get life insurance which I find absolutely ridiculous that in this day and age ppl would be refused insurance with diabetes.

You will get life cover for a mortgage but the premium will be heavily loaded due to your type 1 diabetes.

I got a decreasing term life policy with a company called Cornhill Insurance, it's quite a long-time ago now and the policy was taken over by Phoenix Life.

There's specialist insurance brokers that deal with people who have medical conditions, but just shop around and get a few quotes before committing yourself to one. Good luck.

 

[ringi]

You don't need life insurance for most mortgages and unless there is someone who will be left homeless on your death (due to the mortgage company taking the home) there is no benefit from having life insurance. Even if you have a partner it can often be lower risk (assuming you both work) to pay more off the mortgage each month rather than having life insurance.

(If your partner will be left claiming benefits due to low savings etc, having them a home does not help them much as the benefit system will not pay for repairs etc.)

Remember that a lot of employers provide life insurance for staff so if your employer does not consider your options.....

 

[ConorD29]

Just do an internet search for insurance brokers in your area. It is possible that your premiums will be more than someone your age that does not have diabetes, but your mortgage broker is mistaken.

Yes my thoughts exactly, I got a quote today and it's around the £40 mark per month to protect my mortgage. I'm going to check about to see if I can get a better deal, it's still a small price to pay to protect my home if I'm not around

 

[DCUKMod]

Yes my thoughts exactly, I got a quote today and it's around the £40 mark per month to protect my mortgage. I'm going to check about to see if I can get a better deal, it's still a small price to pay to protect my home if I'm not around

Conor - The best way to find an advisor is through someone you know and trust. However, on the FCA (the regulator) website, there are some tips for finding an independent financial advisor in your area. https://www.fca.org.uk/consumers/finding-adviser

It is important you find someone independent, so that they can scan the market on your behalf. These days IFA have software to help scan the market, but then as you have T1, they may have to do some ringing around to assess the various provider's appetite to cover you at present.

It is really important that you fully disclose your condition and any non-disclosure could impact at the point of claim, which would be horrid.

Provided you are young, healthy and looking after your diabetes, it is unlikely you would be rejected, wholesale, by all the companies out there, but there will be some eye watering price differentials, based on each company's risk profile and experiences in dealing with T2 clients.

Good luck with it all a this exciting time. In relation to houses, about the only thing trumping buying for the first time, is paying it all off. Time flies when you're busy having a life.

Edited: to add FCA url

 

[ConorD29]

Conor - The best way to find an advisor is through someone you know and trust. However, on the FCA (the regulator) website, there are some tips for finding an independent financial advisor in your area. https://www.fca.org.uk/consumers/finding-adviser

It is important you find someone independent, so that they can scan the market on your behalf. These days IFA have software to help scan the market, but then as you have T1, they may have to do some ringing around to assess the various provider's appetite to cover you at present.

It is really important that you fully disclose your condition and any non-disclosure could impact at the point of claim, which would be horrid.

Provided you are young, healthy and looking after your diabetes, it is unlikely you would be rejected, wholesale, by all the companies out there, but there will be some eye watering price differentials, based on each company's risk profile and experiences in dealing with T2 clients.

Good luck with it all a this exciting time. In relation to houses, about the only thing trumping buying for the first time, is paying it all off. Time flies when you're busy having a life.

Edited: to add FCA url

Hi thanks for the reply, I've found an insurance broker here in Northern Ireland and they are keen to get me insurance.
I was holding back a bit until I got speaking to my mortgage advisor again today and he's adamant that I won't get insurance because "if you had cancer you wouldn't get life insurance" wow, that was his words.
I explained to him that cancer and diabetes are completely different and he said he didn't want to go into it because he had obviously realized how incorrect he was. I'm completely shocked at my mortgage advisor comparing cancer to diabetes. Highly offended is an understatement, but at least I know I will get life insurance

 

[pleinster]

While insurance companies would like us to think that it is somehow compulsory to take out life insurance if we have mortgages, the lenders would (in the event of the mortgage holder's death) be able to reclaim the remaining loan amount from the deceased's personal estate. It is perhaps a good idea to take out insurance for the sake of others but basically, despite what some lenders imply, life cover is actually irrelevant for the lender.

 

[ConorD29]

While insurance companies would like us to think that it is somehow compulsory to take out life insurance if we have mortgages, the lenders would (in the event of the mortgage holder's death) be able to reclaim the remaining loan amount from the deceased's personal estate. It is perhaps a good idea to take out insurance for the sake of others but basically, despite what some lenders imply, life cover is actually irrelevant for the lender.

Hi thanks for reply, yes I'm totally aware it's not compulsory to have life insurance for buying a home, it's more to the fact I earn quite a bit more than my wife so I'm the main income, we also have 3 young children so it's more so to protect my family if I happen to die young or get a critical illness, hopefully I live a long healthy life

 

[ExoticBehemoth]

Finding myself in a similar position .mortgage company will charge £100 a month for basic life cover, they won't offer critical illness cover to diabetics, this seems outrageously high .
Do I need to find a broker or can I look for myself?

 

[DCUKMod]

Finding myself in a similar position .mortgage company will charge £100 a month for basic life cover, they won't offer critical illness cover to diabetics, this seems outrageously high .
Do I need to find a broker or can I look for myself?

Hi there - There is nothing within the law that prohibits you from looking for life assurance for yourself, however, there are an outrageous number of companies - large and small, out there. My advice would be to see an Independent Financial Advisor. They can scan the market place (usually using some software) to narrow the marketplace for you and make enquiries on your behalf.

Clearly, basic premiums vary across the market - a bit like car insurance, and it's the same for any loading a company applies to the standard premium. That variation will largely be based upon your health, medical history and how good your control is, as well as the mix of business they already have on their books.

Good luck with it all..