The following case study highlights the need for life assurance - you just never know when it may be needed.

Tony & Sarah used an independent financial adviser to re-mortgage their existing property and at the same time they reviewed their protection requirements. During the meeting with their adviser they arranged a joint life assurance policy, which included critical illness benefit cover and, to protect their income, an accident and sickness policy.

Two years later Tony fell ill and was rushed to hospital. It was discovered that Tony (aged just 34) was in need of a quadruple heart bypass and he was operated on straight away. This was a very distressing time for both Tony and his wife, Sarah, as they had a young family and were concerned about how Tony’s absence from work would affect the mortgage payments.

Your financial adviser is there to help you.

Sarah rang their adviser and she was advised that Tony would be able to make a claim for a lump sum under the Life Assurance Policy they had arranged as the condition that Tony was suffering from was covered under the Critical Illness section. In addition Tony was able to make a claim for regular payments under the Accident & Sickness Policy.

Their adviser made arrangements to meet with Sarah whilst Tony was in hospital to help complete the claim forms for both policies. Claims were submitted to both insurance companies. After obtaining written confirmation from the medical staff the claims were accepted by the insurers and the benefits paid out.

Tony received a monthly benefit for 10 months (until he went back to work) from the Accident & Sickness policy which enabled the couple to continue to pay their mortgage.They also received a lump sum payment from the Critical Illness element of the Life Assurance Policy which they could use to pay off the mortgage payment if they wished.

Tony made a complete recovery from the quadruple heart bypass and is now back working full time. Tony and Sarah decided not to fully repay the mortgage but to reduce it to a much smaller amount. The rest of the money was used to put on a large extension to their property so that they could stay in their home.

You never know the value of insurance until you need it.

Sarah said , "We were under a lot of pressure at the time and knowing that we had the peace of mind in respect of our mortgage being protected removed the financial pressure and contributed to Tony making a full recovery”.

Please contact one of our financial advisers if you would like more information about life and mortgage protection.

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