A couple in their late 40s were referred to Kleinwort Hambros by their mortgage broker, seeking a loan to purchase a new family home. They have two children aged 17 and 19 who are in full time education, live at home and are financially dependent.
Our wealth planners have the skills, experience and market access required to meet your specific needs.
Unexpected events can have a significant impact on everyone involved. Working together, we arrange insurance policies that safeguard a future income – including whole of life cover, fixed term life cover, critical illness cover and disability income protection.
Our wealth planners have the skills, experience, and market access required to meet your specific needs. We cater for a broad range of circumstances, including people with large sums to insure, as well as those with health or lifestyle issues.
We can also arrange more specialist insurance, such as policies that relieve the burden of an unexpected inheritance tax bill for your family.
Securing a mortgage with appropriate protection
The couple were approved for a five year term mortgage at a fixed rate. When analysing their personal finances as part of the mortgage application, the clients voiced anxiety about their dependency on their combined income to sustain their lifestyle. What would happen in the event of adverse personal circumstances, such as death or serious illness?
The couple had in depth discussions with our wealth planning expert, who helped quantify the extent of the risk to which they were exposed. As one client has severe asthma, they expressed concern as to the cost of premiums to provide adequate life cover.
Our wealth planner considered a large number of insurers and secured a policy which would repay their mortgage if either client were to die. Two separate critical illness policies were also recommended that would pay a lump sum in the event of a diagnosis of any common critical illness.
How can you protect against adverse circumstances, such as death or serious illness?
Any services and investments may have tax consequences and it is important to note that the Kleinwort Hambros Group does not provide tax advice. The level of taxation depends on individual circumstances and such levels and bases of taxation can change. You should seek professional tax advice to understand any applicable tax consequences.