Mortgage protection post-kidney transplant

aine.doherty

Hi

Me and my partner are currently in the process of obtaining a mortgage and we're currently looking at mortgage protection cover.

My partner received a kidney transplant more than 10 years ago. He is in good health without any complications since. However we are getting extremely high rates back from insurance companies even for the most basic declining mortgage protection (no serious illness cover, level plan etc). The rates are nearly x30 times the standard rate (approx). Our mortgage value is not high and would even be considered low by many people.

Has anyone been in a similar position and how did it work out for you? How did you get on getting life assurance/mortgage protection post transplantation?

Many thanks
(PS feel free to PM if you dont want to post perhaps)

Bren157

If all the life offices are taking largely the same view there is little you can do. But you can try to ensure it does not stop you getting the mortgage itself by offering to sign a waiver to life cover. The risk in this is if your partner were to die you remain fully liable for the mortgage. But the banks will find it very difficult to refuse you a mortgage if this is the last obstacle because you can argue it is discriminatory on health grounds.

hibby

Some years ago we got a mortgage. My wife was unable to get life insurance cover because of a previous illness.

I seem to remember being told that the insurance providers would be willing to provide cover 5 years after recovery from this particular illness. I'm not 100% sure on that point.

Anyway, the mortgage provider sent out a waiver document for us to sign, and that was all that was required.

Shivvy22

Hi Aine,
Myself and my husband are in the same situation as you were. We have been quoted ridiculous amount every month which we feel we have no choice but to accept. We will end up cancelling the policy in a couple of months as we simply can't afford 300 euro every month for mortgage protection.

I was just wondering how ye resolved your situation? Hope your husband is keeping well!!

Siobhan

The_Conductor

Hi Áine,

I have a 500% loading on a 'death-only' policy, because of Crohn's Disease (its been quite severe- and has necessitated surgery 7 or 8 times).

I think legally the insurance companies are obliged to quote for you- however- by putting a 1000% loading or whatever on it- or only quoting for death, not serious illness- they are really hoping you don't take them up on the offer.

I hope I don't die- but I know if I do, my wife and kiddies will have a roof over their heads.

Its expensive- but you need to have some sort of cover- before a lender will allow you draw down a loan.

S.

jlm29

My brother struggled with life insurance a couple of years ago, Bevause we have such a strong family history of cancer, and premature death. He got sorted eventually, but I'm not sure how much it cost him. I'm just about to look for life insurance myself, and I suppose I'll have the same problem!

GerardKeating

Bren157 wrote: »

But the banks will find it very difficult to refuse you a mortgage if this is the last obstacle because you can argue it is discriminatory on health grounds.

This is not one of the 9 Grounds on which Discrimination is Unlawful, unless the medical condition was consider a disability.

Henry Ford III

The_Conductor wrote: »

...I think legally the insurance companies are obliged to quote for you- however- by putting a 1000% loading or whatever on it- or only quoting for death, not serious illness- they are really hoping you don't take them up on the offer.....

They can also decline outright.

p.s. Sorry to read about your condition. Sounds nasty.

aine.doherty

Hi Everyone,

Thanks for your replies! It took us a few stressful months and applications to pretty much every insurance company out there but we did finally get cover that we were happy with. My boyfriend is covered for 50% of the mortgage and I am covered 100%. This means that if he passed away, half of the mortgage remaining at the time would be paid off. This significantly reduced the cost of the monthly repayments. They are still quite high when you compare to a regular joe soap without any issues, but we are able to manage and feel it is necessary to have the protection.

When we were going through this last year, it was not as simple as signing a waiver form as I think the bank can refuse to give you the mortgage unless you have mortgage protection. Thankfully, the bank accepted the terms of our cover and we were able to proceed. We are now 9 months in our new home!

Siobhan - I'll PM you some of the details.

Thanks,

Aine

xalot

OP, myself and husband were in a similar situation and because we were in a hurry to close the sale on our house we accepted a loaded mortgage protection policy. Like your situation he had been fit and healthy over ten years.

Anyway we kept the policy for the first year and then the second year when we were a lot less stressed I took the time to apply to every broker and insurance company I could find and eventually got a great deal and 100% cover for both of us.

I cant remember off hand who the policy is with, can check if you want and PM you but my advice would be to shop around when it's renewal time.

TheDriver

Shivvy22 wrote: »

Hi Aine,
We will end up cancelling the policy in a couple of months as we simply can't afford 300 euro every month for mortgage protection.

Be careful of this one as its a legal requirement (I think) to have this in place for the duration of your mortgage.
I changed house insurance company once and the bank was on the phone within a week looking for all the details of the new one. I would assume the same would be the case for life ins.

Henry Ford III

TheDriver wrote: »

Be careful of this one as its a legal requirement (I think) to have this in place for the duration of your mortgage.
I changed house insurance company once and the bank was on the phone within a week looking for all the details of the new one. I would assume the same would be the case for life ins.

The mppa policy is assigned to the lender so they'd be informed. It forms part of their security for the loanalso so they'll be sure to insist on cover being in place.