… to say I don’t think I need life insurance?

[PARunnerGirl]

I am 42, no children (or other financial dependents) and am not married. My job is 100% WFH, desk based. I have a boyfriend and we have been together six years. Our finances are totally separate. We split our time between a city, where he has a property, and the country, where I have a property. Both properties have mortgages right now. Mine will be paid off by the time I am 58, if not before (at the moment I choose not to overpay the mortgage a lot but invest more into pensions etc, but this approach does fluctuate). We have good Bupa healthcare plans.

If you have no financial dependents, what is the benefit to having life insurance? If I die, the house will be sold to repay the bank. I know there is critical illness cover but if that is the only benefit, compared to the additional benefits to someone who has financial dependents, the loss- benefit analysis just doesn’t seem worth it to me.

I accept basic life insurance is not a huge monthly outgoing, but those basic policies seem even less worthwhile in my situation. Adding it up over the years it is massive and I’d much rather invest it in a private pension that will grow and can be accessed ten years before pensionable age.

Thoughts? Am I missing something obvious?!

Thats great, not everyone makes it to 60 and in good health though hence why it's a gamble both ways. Your situation is completely different to another's.

I would consider critical illness cover to pay off the mortgage, as there could be many instances where you could look after yourself OK but not do your job to pay the mortgage. Eg supposing you had a stroke that affected your eyesight - my friend has this. Has severely impacted her ability to read/look at computer screens. She couldn't do a WFH job on a computer.

Likewise, if you were to be diagnosed to die of cancer in 12 months, wouldn't it be nicer for the critical illness cover to pay your outstanding mortgage off so you can enjoy your last few months without worry before you become too ill.

I’ve only had it when it comes with a job. I’m not actually sure if I have it with my current job 😆 dh has it & critical illness as he has his own business so it would be v detrimental financially if he couldn’t work or died.
My dad had amazing life insurance cover which meant my mum didn’t have to struggle when he died young. Mortgage was paid, she got a lump sum etc. I was technically still a child too.

Hi OP - please note in advance my knowledge in respect of life insurance is not UK based ( I was an insurance adviser in Australia). But - one thing about life insurance policies in Australia ( and I suspect everywhere?) is that they pay out on terminal illness. That is when 2 doctors attest that you have less than 12/24 months to live. I personally managed around 50 of these claims. It means that you are able to distribute your assets/use the funds as you like in your last months. It is a valuable benefit and not many think about it. Worthwhile checking if UK policies include imo.

My question was to @Saracen who said lenders in the UK still require life cover.

I asked which ones. I didn't get a reply.

Ah OK. Out of interest from this thread I looked further into it here in Ireland - so even though there are some exceptions to the legal requirement for mortgage protection life insurance, usually the mortgage lender will insist on it anyway even if you meet the exception criteria.

I don't know the answer to your UK question, but I am very interested that it isn't a legal requirement there.😊

I don't in your position either, the only thing I bought when single and buying a house was to get income protection insurance in case I'm ever long term sick.
It'll change once/if I have kids though.

There's no requirement to have life assurance on personal borrowing in the UK.

Some banks will make it a condition of loan for commercial lending buy not for personal lending.

I was keen to hear which lenders @Saracen thought still mandated life cover in the UK.

IMHO it should be mandatory. Would save a lot of grief and heartache.

I don't have it. I also have no dependants and am single. It was me when I bought my house, and I looked into it. But I have MS and it's very expensive. So didn't bother.