Have you got critical illness cover in place?
At Yomo Finance, we understand that life can take unexpected turns, and being diagnosed with a critical illness can have a profound impact on you and your loved ones. That's why we offer comprehensive critical illness cover solutions to provide you with financial protection and peace of mind during challenging times. Contact our team in Aylesford now to get started.
What is critical illness cover?
Critical Illness Cover is an insurance policy that pays out a tax-free lump sum if you are diagnosed with a specified critical illness covered by the policy. This lump sum payment can be used to cover various expenses, such as:
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Medical bills and treatment costs
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Mortgage or rent payments
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Living expenses during recovery
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Modifications to your home or vehicle
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Paying off outstanding debts
By providing financial support during a difficult period, critical illness cover can alleviate the burden and allow you to focus on your recovery without worrying about the financial implications.
What illnesses are covered?
While the specific illnesses covered may vary between insurance providers, most critical illness cover policies include protection against conditions such as:
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Cancer
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Heart attack
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Stroke
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Multiple sclerosis
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Parkinson's disease
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Alzheimer's disease
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Major organ transplants
​It's essential to carefully review the policy details and understand the specific illnesses covered, as well as any exclusions or limitations that may apply.
Tailoring your critical illness cover
At Yomo Finance we understand that every individual's circumstances are unique. That's why we offer a range of options to tailor your Critical Illness Cover to your specific needs:
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Standalone or combined with life insurance - You can choose to purchase Critical Illness Cover as a standalone policy or combine it with a Life Insurance policy for comprehensive protection.
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Coverage amount - Determine the appropriate coverage amount based on your financial obligations, medical expenses, and lifestyle needs.
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Policy term - Select the duration of coverage that aligns with your long-term goals, such as until retirement or until your children become financially independent.
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Additional riders - Explore optional riders or add-ons, such as coverage for total and permanent disability or increasing the benefit amount to account for inflation.
Here’s some of our recent customer feedback
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How much can I borrow?A typical mortgage applicant can expect to borrow four and half times their annual income. This should not be affected by your employment type unless your income is low or you have a poor credit score.
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What deposit will I need?There is no specific deposit requirement needed by self-employed applicants and the minimum deposit usually needed for a standard residential mortgage is 10%. That being said, with a short trading history, you will increase your chances of securing a mortgage if you are able to offer more than the minimum deposit requirement. This can also give you access to more competitive mortgage rates.
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Do I have access to the Help to Buy scheme if I’m self-employed with one years’ accounts?All of the government home ownership schemes were created to help those applicants who would struggle to get a mortgage under normal circumstances. This extends to self-employed applicants and, although there will certainly be less availability if you have fewer years of accounts available, Yomo Finance will be able to help you. All of the government home ownership schemes were created to help those applicants who would struggle to get a mortgage under normal circumstances. This extends to self-employed applicants and, although there will certainly be less availability if you have fewer years of accounts available, Yomo Finance will be able to help you.
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What documentation is needed for a self-employed mortgage application?Tax returns, business accounts and possibly a reference from an accountant. This all depends on whether you are a sole trader, a director of a Limited Company or are in a partnership.
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How many years of accounts do I need to provide?Usually, two to three years of accounts. However, you can get a mortgage with one year's books.
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Can I get a mortgage if I am a contractor or freelancer?Yes, but you may need to provide more evidence of income stability. Typically you would need 12 months history.
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How do lenders assess self-employed income?They typically look at your average income over the past two to three years.
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What can I do to improve my chances of getting a mortgage as a self-employed individual?Keep thorough records, pay your taxes on time and maintain a good credit score. You should also limit the amount of expenses you put through in order to maximise your income.
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Are there specific lenders that specialise in self-employed mortgages?Yes, some lenders are more flexible with self-employed applicants.
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How does fluctuating income affect my mortgage application?Lenders prefer stable and predictable income but may consider averages.
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What is the impact of a limited company structure on getting a mortgage?Your income may be assessed differently, focusing on salary and dividends.
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Are interest rates higher for self-employed mortgages?They can be, depending on the perceived risk by the lender but most do not charge higher interest rates for self-employed applicants.
