Life insurance cover

[Saratoska]

If you had good savings no mortgage and no debt would you take out life insurance

DH’s is up in March with him
Reaching 60 (took it out 25 years ago)
Our financial advisor has changed and not getting anywhere with the new one but with no debt and having savings unsure what is best

[400ixl]

If you would live comfortably for the rest of your life without any need for the money then probably not. That is to say if pensions etc covered you.

If not then sizing a new policy to bridge that gap would be where I would look.

[Perthite]

I wouldn’t. If I wanted to put some money away for the future I’d put it into a pension to get the tax relief, instant 20% or 40% profit!

[SgtElias]

Without doubt YES. I have given financial advice for 30 years, it has never ceased to amaze me how blasé clients can be about things like life & critical illness cover.

Just the turn things on it’s head, if you and DH were buying a new car, would you be on this forum asking if you should insure it ? The answer would be no !
You would be on a comparison site making sure that the new car that is only ever going to lose you money is covered, I guarantee you wouldn’t consider 3rd party only, you would be fully comp all day long.

You are in your current financial position due to, I would imagine having a good household income, and without being sexist, I would imagine your husband is the higher earner.

Now imagine the position you would be in if your husbands income stopped overnight, think about it and think again.

Your expenditure apart from some reductions in food, council tax, utilities will reduce due to a one person household. But can you meet those commitments without dipping into your savings ti make up the shortfall. Workout what your outgoings are, what income would be coming in, then work out how long your savings are going to last making up the difference.

Check if your husband has death in service at work, this is usually attached to a company pension scheme, it can be 2/3 times annual salary. This might be enough for you with savings, if I was advising you I would take this into account, do a calculation on the net income that would be lost until your husbands planned retirement, then recommend cover for the difference.

Life cover is a very competitive price product, obviously as you get older the price increases and any health issues can alter the premium. But as I said, think about the car insurance analogy, and while your at it, what else do you cover without thinking twice.

House, holiday, pets, white goods, sky tv dish,

Putting money into a pension will get you tax relief, but in my opinion you wouldn’t build a house with good foundations. Putting money into a pension without adequate protection in place is pointless. I would imagine any good adviser would point this out to you.

Hope this is useful.

[tspill]

I have two LI policies maturing in the next 2 years. I won't be taking any more policies out. I simply don't need it.

It totally depends on your personal situation.