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Original poster

Mumsurance??

21 replies

cunderthunt1 · 01/02/2023 20:37

Seen loads of online ads recently bout getting life insurance. I'm 23 with a 10 month old, have never thought of it before but now thinking maybe I ought to. But I don't know anything about it or what policies are the best so any advice will be appreciated

OP posts:

Original poster

cunderthunt1 · 01/02/2023 21:05

Bump bump

OP posts:

PritiPatelsMaker · 01/02/2023 21:57

You might be best asking @MNHQ to move this over to the money section @cunderthunt1

Original poster

cunderthunt1 · 02/02/2023 01:02

@PritiPatelsMaker thank you !

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MNHQ

LilyMumsnet · 02/02/2023 09:24

We're just moving this over to money matters.

Original poster

cunderthunt1 · 02/02/2023 09:26

@LilyMumsnet thank you

OP posts:

BarbaraofSeville · 02/02/2023 11:03

What are your circumstances? Do you have a partner and do you both work?
What is your existing provision - if you have a workplace pension, that often includes life insurance.

Moneysaving Expert is good for easy to understand guides to all things money. Have a look at:

www.moneysavingexpert.com/health-insurance/

quarmadreen · 02/02/2023 11:47

What type of thing are you after?
Term assurance?
Critical illness?
Critical illness with child benefit added?
Whole or life cover?
Index linked policy?
Decreasing policy in line with a mortgage?

I work in the life insurance industry and have done for years so let me know if I can help!

(And I don't work in sales so I'm not going to try and flog you a policy before anyone comes at me) but can give you a hand if needed.

SouperNoodle · 02/02/2023 11:51

I have quite unique circumstances so I went through an insurance broker and he was fab. He asked me loads of questions about what exactly I'm looking for and recommended a new policy which was about to come out which suited me down to the ground and had a better price than the ones I'd seen online.
He was so helpful and the service was really personal and friendly.

I'd honestly recommend going through someone.

Original poster

cunderthunt1 · 02/02/2023 12:07

I'm a single mum, work part time and receive UC

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quarmadreen · 02/02/2023 14:28

cunderthunt1 · 02/02/2023 12:07

I'm a single mum, work part time and receive UC

What sort of cover do you want? I mentioned in my post above options, did you want any critical illness cover? Or just bog standard life insurance?

Original poster

cunderthunt1 · 02/02/2023 14:54

Just standard life cover I guess

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MaverickGooseGoose · 02/02/2023 14:59

It's important that this is recognised. I'm worth more dead than alive financially.

What are your provisions for your child if anything happens to you? Do you have a will?

BarbaraofSeville · 02/02/2023 15:05

That's the first thing to consider. Who will look after your DC should the worst happen. Will you be wanting to leave some money for them and what will this money be used for (ongoing living costs, or to provide a nest egg when they are 18), and if so, who will manage this money?

It sounds a bit like you think you ought to get some insurance, but don't really know what you need to cover or why?

For example, if you've agreed with your parents or a sibling that they'd raise your DC and they're well off, do you actually need life insurance? It might be a cost that you don't need to pay. You might do well just putting some money into savings for DC instead?

ShreksEars · 02/02/2023 15:09

You are young, definitely get it now as premiums will be cheaper. I've got one from when I was 21 that is for 30years after the birth of my youngest child, I had my youngest at 39 so have really cheap life insurance until I am 69 based on my risk factors as a 21 year old.

Original poster

cunderthunt1 · 02/02/2023 15:18

I'm not gonna lie this is overwhelming aah

Haven't even thought about who would have her if I passed, not sure I have an option I'd be happy with

I do have some savings and obviously everything would be left to her

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PinkPlantCase · 02/02/2023 15:38

Maybe start by making a will with a solicitor OP, then move into thinking about life insurance.

We got life insurance before DC when we bought a house, it includes critical illness cover, if one of us dies or is critically ill (including lots of cancers) then the mortgage will be paid off. Meaning that the house doesn’t need to be sold in any of the above eventualities.

When I was pregnant we made a will, this covered who would look after DC if we die and who would manage our money on behalf of DC in the same circumstance. It was a very useful exercise, and involved is obviously talking to the people we wrote about in the will aswell.

We have been given the option of increasing the life insurance now that we have DC so that there’s more of a pay out that could fund their upbringing if we died. We aren’t taking this out as there are two of us, if one of us dies the other can still work and manage existing savings, if we both die at the same time then the house would be sold and that money could go to fund other caring for DC.

If I was a single parent who didn’t own a home or didn’t have 10000s in savings then I would probably take out a smallish life insurance policy.

ShreksEars · 02/02/2023 17:06

not sure I have an option I'd be happy with

This is why I got such comprehensive life insurance. I want to make sure I could pay for my DC life and set them up for the future.

Mine would have gone to a friend, the money would have paid off her mortgage and either paid her a salary to look after them, or paid for a nanny to look after them if she wanted to keep working. It would also continue to pay for their activities. I set it all up in trust, so whilst I do understand once I'm dead there is little I can do to control it I would at least be able to plan as much as possible.

quarmadreen · 03/02/2023 10:11

cunderthunt1 · 02/02/2023 15:18

I'm not gonna lie this is overwhelming aah

Haven't even thought about who would have her if I passed, not sure I have an option I'd be happy with

I do have some savings and obviously everything would be left to her

OP, go through an insurance broker then. I promise it's not overwhelming.
You're better off doing it now as the older you get, the more expensive it is. And the older you get the more you run the risk of medical conditions which can make you hard to ensure.

Put the policy into trust (most brokers offer a free service to do this to help you) and add your daughter as a beneficiary with someone you trust wholeheartedly as the trustee, to pass the money to your DD.

The second your DD is 18, you then make her a trustee on the cover and the money will go to her.

If you need me to PM you I'm happy to help out / talk you through the process. Don't rely on savings as insurance. If it's purely for your DD and funeral cover etc it'll be the cheapest time to get it now.

quarmadreen · 03/02/2023 10:13

Harder to insure that's meant to be

Original poster

cunderthunt1 · 03/02/2023 10:15

@quarmadreen that's really kind of you yes please if you wouldn't PM'ing me

Thank you for all the replies x

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Original poster

cunderthunt1 · 03/02/2023 10:18

Wouldn't mind* lol

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