Advice needed: Life Insurance Cover for (HSBC Professional Studies Loan)

**lucyfrombristol** · 31-08-2005, 06:05 PM

Whiz_Fiz

If you need to sort this out quickly there is nothing to stop you from applying for the cover with HSBC and then later cancelling it having sorted out an alternative. This is my plan, although I'll probably never get round to finding an alternative and so HSBC will have done what they set out to do - doh!

**burto** · 31-08-2005, 06:33 PM

Although I agree with the fact that the banks would like to recover their money in the event of you dying, I don't understand why HSBC have never insisted on life insurance on their other loan products.

Are you seen as a bigger risk by going to medical school ?, or is the PSL a totally diffierent product to normal loans.

**lucyfrombristol** · 31-08-2005, 06:54 PM

They would certainly insit upon life cover if you were taking out a mortgage. Is a PSL larger than your average personal loan maybe?

**Giz** · 31-08-2005, 07:23 PM

I'd say HSBC made enough money last year to cover life insurance for medical students (I know, I was working for them some of the year lol). I wouldn't pay them extra for life insurance in a hurry. If you want life insurance/illness cover in case something happens to you you should just get it anyway, not just because HSBC tells you to.

**Whiz_Fiz** · 01-09-2005, 11:33 PM

thx for the further info all

I definitely think this life insurance business HSBC insist on for the PSL is just another money spinning ploy - they didn't require one when I enquired last year - wish I'd signed up last year rather than getting cold feet then! grrrrr

**EZ_Eddie** · 02-09-2005, 01:28 AM

Bit off the point but anyways....is it just me or is anyone else slightly concered about the fact that for the next 4 years our only "income" will be 400 odd quid a month. I'll be in Londres and not only is that peanuts to survive on but I'll have to pay it back and then some to those lovely people at HSBC

Whose idea was this anyway??

**Whiz_Fiz** · 02-09-2005, 04:33 PM

Its just a desparate solution to a desparate and depressing situation. Sad.

On the other hand, I wouldn't want to do anything other than medicine so a "little" debt along the way isn't going to stop me plus its the only viable way for me to continue with the course.

Anyway, had my appointment today at HSBC and seemed to run smoothly. In fact they also agreed to the £5k I wanted for a car with no further questions. I just have to wait for approval from the lending dept. and get the life insurance sorted. I might just end up opting for their own policy in the end for the convenience or if I remember, I'll switch it to one of the cheaper ones I've found later.
At least the ball is rolling now.......
Fingers crossed for finalizing the whole thing in 2 weeks!

**Whiz_Fiz** · 14-09-2005, 08:05 PM

Just updating.
Had my life insurance appointment with HSBC today. Took about an hour in all with filling in the forms and discussing the cover. Seems they are not that bad. I got a quote of £7.30 per month which covers death or critical illness. The policy will go up each year by a few pence but maximum will be around £7.60ish.
Now just hoping they will approve the cover and that's me sorted for the PSL.
Fingers crossed. xx

**copperfungus** · 15-09-2005, 01:07 PM

Originally Posted by Whiz_Fiz

Just updating.
Had my life insurance appointment with HSBC today. Took about an hour in all with filling in the forms and discussing the cover. Seems they are not that bad. I got a quote of £7.30 per month which covers death or critical illness. The policy will go up each year by a few pence but maximum will be around £7.60ish.
Now just hoping they will approve the cover and that's me sorted for the PSL.
Fingers crossed. xx

I dunno £7.30 a month seems pretty pricey to me.
I've got life cover of 70k (to cover my mortgage) with Scottish widows and it only costs me £4.17.

**tdl123** · 28-09-2005, 07:56 PM

Originally Posted by bloemen

A friend of mine just transfered her loan to natwest. She found that

a) they offered more loan
b) lower interest rate or the option of going for a fixed rate
c) they were very friendly and helped her fill in the forms. I do not remember her saying anything about getting life insurance.

So you may want to consider natwest.

If not how about endsleigh for your life insurance?

Firstly let me point out that I work with Endsleigh so you can take my comments in the spirit they are meant. We are able to source Life Insurance - BUT this service is offered through our independent finance arm and so whilst I would like to think that the service is sound, by and large the products we are accessing are no different to the vast majority of the IFA market and not subject to the discounts we negotiate for students on other types of insurance. Thus although we might be able to help, try us by all means, the products we are sourcing don't contain the student discounts we negotiate on other products.

Anyone reading these posts will see that life insurance quotes vary massively from company to company, by all means give us a go but like most financial / insurance products, shopping around is essential.

Although organising adequate life cover may not be your first consideration, it is worth protecting your loan in case the worst happens.