Kieran Murphy of the insurancedoctor.ie on How Much Life Insurance Cover A Family Should Have
What is Life Insurance Cover?
All homeowners in Ireland who own a home and a mortgage will have taken out mortgage protection insurance with their Home loans lender.
This insurance provides an additional security for the bank or home loan lender to have the mortgage loan repaid should the borrowers die during the mortgage term.
This insurance is compulsory in Ireland for all domestic homeowners buying their home once they are under 50 years of age.
People often buy it directly off their lender as a convenience purchase. Most banks and Home loans lenders offer insurance for home and mortgage protection as part of their service. However most people don’t know that they have a deal with one life insurer. This means they do not get the best monthly payment for the insurance they are buying. Also I have met people who felt if they didn’t buy this insurance from their lender they would not perhaps get their mortgage. That is not true of course, people don’t know the choices they have when buying their homes when it comes to purchasing the insurance they need for their mortgage deals.
It pays to check the monthly premium payment in the market for this insurance. Where do you go to do that?
Insurance Cost Saving Tip:
People who have existing mortgages can use this service as well. People who were smokers when they took out their loan and have subsequently given up smoking can usually save a lot of money on their mortgage protection monthly cost by switching.
Example for a new mortgage buyer of the lowest rate to protect their mortgage loan versus the highest rate available.
Mortgage amount €400,000
Male life aged 35 non smoker
Female life aged 35 non smoker
Mortgage term: 30 years
Lowest monthly cost: €38.07
Highest monthly cost: €47.46
Monthly saving: €9.36
Annual saving: €112.68
Total savings over mortgage term: €3,380
So it will save you money to check your current mortgage protection on The Insurance Doctors best mortgage protection cost check calculator.
Get a cheaper Life Insurance quote now! or call Kieran@theinsurancedoctor.ie