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wings
11-Aug-06, 15:39
Does anyone know of any Insurance men that still go around thesedays selling Life/Mortage/Home Insurances?
If so who and do you have their contact details...?

I'm absolutely useless at sorting insurance out over the net or the phone. Think i need someone to come see me and sort us out!

If you are a homeowner, Do you have Mortgage Life Insurance aswell as LIFE Insurance??

Its just when i took out my mortage from someone in wick they have set me up for Mortgage Insurance.... I do not have Life Insurance
But would LIFE Insurance not pay your mortage and would the person you had left your money to not get a LUMP sum also??
So LIFe insurance is surely a better option...?

Any advice would be appreciated. Hope i make some sort of sense there!!!!

Thanks

Buttercup
11-Aug-06, 16:08
I can only speak for my own insurance here, as I'm certainly not an expert, but we had to take life insurance to get a mortgage and if one of you dies the insurance pays out. You then use it to pay off the remaining mortgage - you don't have to do this but it's only sense to pay it off (though I suppose it depends how many years you have left to pay). If I remember rightly we needed to take out the policy at the same time as the mortgage regardless of whither you already had life insurance (because it had to be enough to cover the cost of the mortgage).
Sorry it's not much help to you, but your mortgage lender, if you ask, should be able to explain whats best in your situation.

Sonya
11-Aug-06, 16:16
Ur best bet is to try Richard Bain from Mid Clyth tel number 01593 721240 he is great, deals with everything you have asked about, give him a call and he gets back to u promptly

champagnebaby
11-Aug-06, 22:51
alex christian, phone 621 819,watten area,is the man for me!!!!!!!works for cis insurance,advice quotes,i didnt feel under pressure but liked the way he explained in detail without all the mumble jumble ive had from previous advisors.brill A1.let me know how you get on,hope you get something to suit!!!!!

pultneytooner
11-Aug-06, 23:25
Try cormack miller in wick.

j4bberw0ck
12-Aug-06, 01:14
Does anyone know of any Insurance men that still go around thesedays selling Life/Mortage/Home Insurances?
If so who and do you have their contact details...?

I'm absolutely useless at sorting insurance out over the net or the phone. Think i need someone to come see me and sort us out!

If you are a homeowner, Do you have Mortgage Life Insurance aswell as LIFE Insurance??

Its just when i took out my mortage from someone in wick they have set me up for Mortgage Insurance.... I do not have Life Insurance
But would LIFE Insurance not pay your mortage and would the person you had left your money to not get a LUMP sum also??
So LIFe insurance is surely a better option...?

Any advice would be appreciated. Hope i make some sort of sense there!!!!

Thanks
Wings, I am (allegedly) an expert in these things (he said, modestly) but at least I'm not a salesman so I don't need the commission.

If by Mortgage Insurance you mean that your monthly payment will be met if you can't earn for some reason, it's called MPPI (Mortgage Payment Protection Insurance). The Govt recommends you have it to get them off the hook, as since 1995 they won't pick up the interest tab on your mortgage for 39 weeks - by which time your house has been repossessed and it's all over anyway.

But if you have dependents, you need Life Assurance too so that if you croak, the house is paid off and your dependents can continue to live in it. If you don't have dependents, you generally don't need life assurance, but since mostly it comes bundled with Critical Illness cover these days, if you're young and can possibly afford it, you should. It gets very expensive as more years fly by.

PM me if you want more information. Remember that Insurance salesmen have a vested interest in you buying from them. I can make some Caithness-oriented suggestions if you wish. Regards.

Blazing Sporrans
12-Aug-06, 13:34
I already had life insurance, accident insurance and critical illness cover for both myself and my wife through my occupational scheme, therefore when I came to buying my house, I didn't require to do anything other than prove I was covered already. You can look at cover for your mortgage over and above those insurances I've already mentioned, however be aware that a number of different insurances paying out in the event of your tragic demise (:~() could result in your estate going through the threshold for inheritance tax!

j4bberw0ck
12-Aug-06, 14:14
Sporrans, because IHT is levied only on that part of your estate over the threshold, it doesn't matter too much if you happen to stray over. You won't be caring, and your dependents still get more money. No one likes paying tax, I know (me included!). Only issue is if there's a tax liability your executors may need to pay the Revenue before getting Confirmation / Probate.

Wings, you need to think about the likelihood of dying vs. being unable to work. If you're young, there's an argument that says you're far more likely to be ill for several months (and so possibly unable to work / pay the mortgage) than you are to die. That's one reason why if you're young, life assurance costs less than the MPPI (the other is the commission the insurer pays :lol: ). You should do both if you can, but if you can't afford both and the mortgage and life itself, then personally I would go with life / critical illness. By shopping around you'll get MPPI substantially cheaper than from your mortgage lender anyway, and if you're unable to pay your mortgage each month the lender is legally obliged to act as sympathetically as they can.

'Course, the malodorous stuff happens, and you could still find yourself having to sell the house and start again....... but that's life sometimes. And last thing - if you're buying a house and have dependents and a partner, married or otherwise, and you haven't made a Will, get the lawyer to do one for you as part of the paperwork. If you croak you'll save your family thousands of pounds of legal fees and a good deal of cursing, if there's a Will. It really is THAT important.

wings
12-Aug-06, 14:20
Thanks for the advice so far..

At the moment we have Mortgage protection insurance. This only covers each of us for 12 months should we have an illness or in an accident.
They are seperate policies for myself and my partner, so if i should be ill for 12 months it only pays 1/2 of the mortgage.

But what i'm more interested in is the differnce between Mortgage Life Insurance and LIFE Insurance.
I have at the moment Mortage Life Insurance which i gather is that if i die then the mortage will be paidoff.
But with LIFE insurance does would that not pay your mortgage off and then say i could leave my kiddy a lump sum also?

Thanks

j4bberw0ck
12-Aug-06, 15:28
But what i'm more interested in is the differnce between Mortgage Life Insurance and LIFE Insurance.
I have at the moment Mortage Life Insurance (MLI) which i gather is that if i die then the mortage will be paidoff.
But with LIFE insurance (LI) does would that not pay your mortgage off and then say i could leave my kiddy a lump sum also?
Both pay if you die before a certain future date. MLI pays enough to clear your mortgage, so if you have a repayment mortgage (where you clear the debt and interest over say 25 years and so the balance reduces over time), the amount the insurance will pay gets less and less as the years pass by.

Advantages: it's cheap. It leaves the house paid for. You should have Critical Illness cover thrown in as well. Don't buy MLI (or any other insurance) from your mortgage lender without first checking with a qualified adviser.
Disadvantages: it leaves nothing behind to compensate your partner for loss of your earnings, maybe additional child care if she (sorry, for the purposes of this I'm going to assume you're male, though it works the same in reverse) has to work.

Some people say that their pension scheme will pay a lump sum and so they don't need extra life insurance. Yes, maybe so, but also your dependents will get less of a pension if you die early.

LI does the same job but is usually for a fixed sum to be paid on your death (or if you're sensible, you've fixed up a joint life policy paying on first death because it generally will cost a lot less than 2 single policies). So you might decide that you want a policy covering you both, that on the death of the first of you, will pay say £150,000 (amount for example only). Obviously, if you die in say 10 years, the policy is going to have to pay out more than an MLI policy because it's not fixed to the amount outstanding on your mortgage and may in fact be for a lot more than your mortgage. So it'll cost more than MLI, clearly.

Advantages: can cover your mortgage and leave some more besides. Should include Critical Illness cover at minimal cost.
Disadvantages: costs more than MLI.

Neither MLI or LI of the sort we're discussing here pays anything at all if you die AFTER the date you decided on.

Critical Illness cover means that if you're diagnosed with one of a list of (ultimately fatal or completely disabling) medical conditions - e.g. cancer, stroke, heart attack, MND, MS etc etc) the policy pays out in full. You should have this cover because the chances of you getting such a disease if you're young is far greater than the chances of you dying.

You should go talk to someone and I recommend Tom Sayles at NFU Mutual in Brabster St, Thurso. I have no connection with Tom or NFU other than having known him for around 8 years, though I used to deal with him occasionally. To the best of my knowledge he's paid a salary, not on a commission basis, though his financial arrangements are just that - his. Advisers have to declare how much commission they'll earn, anyway. NFU are highly reputable and highly competitive. If you do go talk with him he'll have no idea who j4bberw0ck is, though if you mention Orkney and 8 years, and the time I had to cancel lunch with him, he'll figure it out. :lol: He'll talk you through all the various forms of "protective" insurance, I'm sure, and in my experience you can trust him implicitly.

Good luck!