Home Insurance

Do I need insurance?

This is one only you can answer as only you know what position you, or your family, would be in if something unforeseen were to happen, and what risks you are comfortable with. I can advise what is available to you within your budget and it is then entirely your choice whether to act on that advice.

If you do not have insurance, or are under insured, you are not alone, as there is a huge protection gap in this country, and is why we keep seeing family hardship when disaster strikes. The best time  to protect yourself is when you are healthy, as you may not be able to later, or may have to pay a higher premium.

Life Cover

To help you consider your risk, let’s take a couple who are both working. Just add up what you need to spend each month, then work out the shortfall if one income were to disappear. You will also need to calculate what extra expenses might be incurred if one partner is no longer there, or if the surviving partner still has enough time to earn as much. Take any life cover you have or any Death in Service benefit through work. This will show you how much life cover you will need if the family is going to be able to maintain their current lifestyle. You can choose to take insurance to provide a lump sum or a monthly income for a set period of time.

Serious or Critical Illness

The most common critical illnesses are Cancer, Heart Attack or Stroke, although a typical policy will cover another 30+ illnesses (of a specified severity) such as Parkinsons, Liver or Kidney Failure, Blindness, Bacterial Meningitis, Rheumatoid Arthritis and so on. Although you may be able to carry on working, critical illness insurance can allow you to make a choice whether it is right to do so or decide to take time out to fight the problem.

We can also show you a new kind of Serious Illness cover from Vitality, which covers a greater number of illnesses and offers a proportion of the sum assured paid at an earlier, less serious stage of the illness, and also allows your premium to decrease if you demonstrate a healthy lifestyle, and also allows you to protect your cover, so you can claim up to 3 times for illnesses and even retain your life cover after that. Just ask for further details.

Income Protection

Latest figures suggest that of the 26.7 million households in UK, just 300,000 have income protection meaning there is an overwhelming number of families who would struggle to pay their monthly outgoings if something happened, and would be reliant on Statutory Sick Pay once any work related sick pay stopped.

An interesting study by Cirencester Friendly might suggest why this is. They found that a large number of UK workers believed the chance of not being able to work for 12 weeks or more, was similar to that of their chance of winning the national lottery.

It may be cheaper than you think to protect some of your income even up until your retirement age, so why not at least find out?