FTB - do I need critical illness cover AND income protection?

[NoIdeaWhyNow]

Hi, I'm a first time buyer, about to complete on my property. I've got my will and contents/buildings insurance in order.

Have been reading up on critical illness cover/income protection cover/life assurance and I'm finding it all v confusing. Do I need both? How do I go about doing it? Searching online I'm getting direction that I should go to a specialist but not much more help than that.

Any advice is appreciated. Thanks for sharing your experiences!

Ring specialist broker and they will explain the whole thing to you and chat you through the options.

You should get specialist advice based on your full circumstances and what other cover you may already have, eg sick pay entitlement, your work pension and any savings you have.

If you don't have any dependents you don't need life assurance as if you die, your house will simply be sold.

Lifesearch is often recommended to give a fair assessment of needs without overselling.

If you are single then upon your death the house needs to be sold to pay off the outstanding mortgage and any equity will go to your beneficiaries.

If you are married/partnered and/or have children, you should consider life insurance to enable your widow/DC to continue to afford to live after your death.

Of course, you are far, far more likely to be affected by critical illness than die during the term of a mortgage, and critical illness cover can pay off your mortgage upon diagnosis leaving you to have treatment without financial worries. Income protection benefit largely depends on what your sick package is at work - do you get sick pay, how much do you get, and for how long.

And of course all these come with a monthly cost. Do see a financial advisor - im surprised your mortgage lender hasn't recommended someone?

When I bought my first house, I didn't think we needed critical illness cover, 2 years later, exh got diagnosed with MS despite passing a medical before taking out the cover. He never worked again, but we were able to claim & getting our mortgage paid off helped us massively as your income dropped from £40k to £15k. You never think you need it until you do need it.

I'd see a specialist, it really depends on your circumstances, e.g, how much your mortgage payments are, do you have dependents etc.

A specialist broker will try and sell you them all... a financial adviser will help you decide which you need and the appropriate level of cover.

Thank you everyone, off to find a financial adviser!

You want an IFA specialising in protection, have a look on Unbiased