Q - Why would I need Life Assurance?

A - If you take a mortgage out and pass away within your mortgage term then your family would have to continue to make the mortgage payments each month or give up the house.  It is especially important if you have children or if both incomes are relied upon to pay the mortgage.

Q - What does Life Insurance cover?

A - If you were to pass away or become terminally ill then a lump sum would be paid out, the lump sum is specified at outset and can often decrease in line with a capital repayment mortgage or remain level with an interest only mortgage.

Q - What does Critical Illness Insurance cover?

A - If you were to meet the criteria of your insurance providers definition of a Critical Illness then a lump sum would be paid out, the lump sum is specified at outset and can often decrease in line with a capital repayment mortgage or remain level with an interest only mortgage. 

Q - What Critical Illnesses are covered?

A - Each providers list of Critical Illnesses differ slightly, the main 3 Critical Illnesses covered are Cancer, Heart Attack and Stroke but you must satisfy the providers definition i.e. Scottish Provident are the only provider to cover a Silent Heart Attack.  Full definitions are available upon request.  Other common Critical Illnesses covered include Alzheimer's disease, Blindness, Coma, CJD, Deafness, Heart Valve replacement or repair, Loss of limbs, Loss of speech, Motor Neurone disease, MS, Parkinson's disease and Third degree burns.

Q - Why would I need cover if I was a house person with no income?

A - If you looked after the children whilst your partner went to work and you passed away or became critically ill would your partner still be able to continue in their job in order to pay the mortgage or would they be needed more around the house whether it be to look after the children or you?  With the mortgage paid off the financial position of the family is secure.

Q - What's the difference between Level and Decreasing cover?

A - Level cover remains the same throughout the term of the policy, if you are covered for £200000 in year 1 you would still be covered for £200000 in year 24 of a 25 year policy-this is ideal for an Interest only mortgage.  Decreasing cover reduces throughout the term in line with your mortgage providing the interest rate on your mortgage is the same or lower than what the rate the cover decreases at-this is ideal for a capital & repayment mortgage.

Q - Can I cover beyond my mortgage amount?

A - Yes.  We can provide a quote to cover you for any amount, if you want to cover your mortgage but also have additional amount for things such as family protection and funeral costs then just ask.

Some facts & figures

1 in 3 people are diagnosed with cancer at some point in their life. Less than half of the 270000 heart attacks that occur in the uk annually actually kill their victims. The average age of women claiming on their CI policy is 41, for men its 43. 1 in 4 people will suffer a heart attack, survival rate of a heart attack is 67%. Child cover is the 6th most common cause of claim under critical illness (all of the providers on CCHL's panel offer free child CI). Each year 100000 people suffer their first stroke, 70% survive at least for one year after*. Every week 50 people in the UK are diagnosed with Multiple Sclerosis**. 270000 people have heart attacks each year, that's one heart attack every two minutes***.

* (source: Swiss Re, 2002) ** (source: Multiple Sclerosis Society, 2004) *** (source: British Heart Foundation, 2004)