Up to 64% of people who have moved up the property ladder since 2009, and have a bigger mortgage as a result, did not review their life insurance, according to research by Sainsbury’s Bank. As part of the bank’s survey, the two most common reasons homeowners gave for not reviewing life insurance were not thinking it necessary (39%) and not being able to afford it (37%).
The findings also reveal that 44% of homeowners who have a mortgage do not have any life insurance at all, and 10% of these people had life insurance but no longer do. A further 3% said they didn’t know if they currently had any life insurance cover.
The research also suggests that of those who do not have life insurance, 53% live with a partner and around one in five people (20%) live with children.
Due to rising house prices, Sainsbury’s Bank is urging homeowners to ensure they understand what cover they have in place and decide if it suits their needs.
Scott Gorman, Head of Life Insurance at the Bank said: “Moving home can be an exciting but stressful experience and with such a long checklist of things to do, it appears that life insurance is often forgotten about.”
“We would encourage anyone who is moving home or may have just moved to take some time to check their policy and the level of cover they have and make sure it’s suitable for their change in circumstances.”
If you are worried that your life insurance will not cover the mortgage, funeral exppenses, or leave your loved ones enough to be comfortable contact Cadman Homes, estate agents in Rugby for free quotes.