Mortgage Industry News

← Back

Older dads could benefit from critical illness coverage

Date: Mon, 05 Dec 2005

Men entering fatherhood later in life should consider taking out critical illness cover to help protect their child's future.

There is a growing trend towards older dads but many first-time fathers are failing to protect their families' long-term security by not taking out adequate insurance cover.

Recent Office of National Statistics figures show that around 6,489 children a year are born to men over 50 years old. There has also been a visible increase in the number of celebrity dads who are enjoying fatherhood whilst approaching retirement age - Sir Paul McCartney, Rod Stewart, John Humphrys and Eric Clapton have all recently become dads whilst celebrating post 50 birthdays.

However, older dads are often forced to pay a premium for taking out critical illness cover late in life. Figures from insurer Axa show that a 29-year-old man will pay around £95 a month for income protection of £2,000 a month and life cover and critical illness up to £100,000. Yet the cost would rise to around £280 a month for a 49-year-old and £350 for a 59-year-old for the same policy.

"We strongly encourage people to think ahead and review their protection requirements with their financial adviser," said Axa’s Paul Bennett.

"Younger people who are home owners should consider their protection needs in any case. They’ll count their blessings if they join the trend to later fatherhood," he added.


© 1998-2005 DeHavilland Information Services plc. All rights reserved.

Endsleigh Insurance Services Limited is authorised and regulated by the Financial Services Authority. This can be checked on the FSA Register by visiting its web site at www.fsa.gov.uk/register.
Endsleigh Insurance Services Limited. Company No: 856706 registered in England at Shurdington Road, Cheltenham Spa, Gloucestershire GL51 4UE.