Cosy one-bed in heart of city centre. Suits one person, ideally.
€3000 a month.
A more accurate description is Shoebox, 20 minutes outside of town.
Literally isn’t big enough for two people.
No smokers. No craic. No hope.
Right now, renters already face an uphill battle – especially if they’re in Dublin or any of the surrounding commuter cities (which, by the way, currently stretches all the way to include Wexford and Cavan).
Pokey box rooms.
Mouldy bathrooms.
Tiny flats or a shed at the back of someone’s house with no electricity or Wi-Fi.
We’ve all seen the news. It’s grim for a lot of people. That’s not to say there aren’t any lovely rentals; of course, there are. It’d just be remiss of me to write an article about renting and not be honest about it.
According to Census 2022, 513,704 rental properties were occupied in Ireland, a 9% increase from 469,671 in 2016.
This is why I’m frequently asked:
Do you need Life Insurance if you’re renting?
I got this very question in an email from a woman called Lucy, who wrote in (shur aren’t I the Joe Duffy of insurance brokers) with the following:
Hi Nick. I was out with my friends over the weekend. My partner and I are renting as we’re saving to buy, as are most of my friends. One of the girls said she had Life Insurance. We told her she was mad and wasting money…but she made some good points. So, is Life Insurance for renters common? Any pointers would be great… Thank you!
That’s the exact question we’re going to be answering now.
As with many things in insurance (and life), it depends on your situation.
You may or may not have heard about Mortgage Protection.
As a single renter, you don’t need mortgage protection because if you die, you don’t leave a mortgage behind.
But if you have a partner or kids, things change.
If you’re a person who is very familiar with Tinder, Bumble, Hinge and whatever apps are out there – which is to say: single – and it’s just you and maybe a potted plant or pet or two, you don’t need Life Insurance.
Why?
Because if you leave off, you don’t leave financial dependents behind.
But that doesn’t mean you can click away safe in the knowledge that some lad online told you that you’re free to blow your wages on fun stuff.
Hold on a minute!
What happens if you get sick and can’t work?
Would you be able to make your rent then?
If yes, fire ahead and click out of this blog and email me your line of work so I can consider a career switch.
If the answer is no, consider serious illness cover (SIC) or even better Income Protection.
They both have your back, but in different ways.
With SIC, you receive a tax-free lump sum if you get one of the illnesses covered by your policy.
Income Protection, on the other hand, pays out if you can’t work because of ANY illness. It’s the best type of insurance you can buy.
You can read more about choosing between Serious Illness Cover or Income Protection over here.
If you have chosen to spawn small versions of yourself in pursuit of love and glory or to live vicariously through them, then this one is for you.
You’d probably like to get a mortgage at some point, but it’s very fecking expensive, and we’re living in a delightful housing crisis right now.
But f you’re a parent, it’s downright irresponsible not to have some kind of cover.
We have three kids and are insured up to our eyeballs. Because I’m self-employed, the governement will give me nothing if I can’t work but the bills will keep piling up. The thought of what might happen if I didn’t have income protection and life insurance was causing me to stare at the ceiling night after night.
Would I rather spend my insurance premium money on pints or a holiday, or who knows what else? Of course, I would, but those little feckers at home are more important than a dirty big hangover after a rake of pints.
So, if you, like me, are ready to make that move, you’ll need to consider which type of insurance you want.
Don’t blow your money by focusing on just one type of cover.
You might think buying €1m life insurance is for the super-rich, but you won’t when you see the price.
A 30-year-old non-smoker in good health will pay just €10 per week for €1m cover!
Of course, you probably don’t need a million.
The rule of thumb is 10-15 times your income but if you want a more accurate recommendation based on your circumstances, please complete this questionnaire.
Remember our friend Income Protection – get that too.
No income = no rent = no home.
Income protection is the glittering diamond in the vast desert of Life Insurance and it could save you from an awful lot of heartache if catastrophe struck.
Losing your income through disability or sickness is a financial catastrophe from which there is no recovery 😨
It is the single biggest risk you and your family face.
You have to safeguard against that risk before you do anything else.
No one likes paying for Life Insurance.
I’m an insurance broker and I certainly don’t.
There are a million other things I’d like to buy instead, but life insurance and income protection help me sleep well at night, and I know my family is safe no matter what happens to me.
It’s a sobering thought, but many renters are an illness away from homelessness.
Renting is hard.
Losing your home (or your kids’ home) would be even harder.
If you need more advice or have any questions, call me on 05793 20836.
Or, you can complete this questionnaire, and I’ll be right back with a personalised recommendation.
Thanks for reading
Nick
Editor’s Note | We published this blog in 2017 and have updated it since
As Ireland's leading life insurance broker, we specialise in comparing the rates and policies from the top five Irish life insurance providers and offering the very best value quotes to suit the individual needs of our clients. Our expertise lies in finding a suitable insurance plan for those with specific needs, be it a particular illness, occupation or claim history, we've got you covered in every sense!
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