Mortgage Protection is a form of insurance that ensures that your outstanding mortgage will be fully repaid if you died during the period your mortgage was outstanding. Within the policy, your Life Company can be asked to send the proceeds of the policy direct to your mortgage lender.

If you are looking for insurance that will pay your monthly mortgage repayments if became ill or disabled then you actually need Mortgage Payment Protection Insurance. Our mortgage protection service has a 100% refund of premium rider if you do not use the insurance during your specified term so you get the luxury of receiving all of your money back if you remain in good health and do not use the benefits.

When you request a quotation for Mortgage Life Insurance, you will be asked if your mortgage is a repayment mortgage or an interest only mortgage. This is because, if you have a repayment mortgage, the level of coverage you require will steadily decrease as you pay back the capital sum owed to your mortgage lender. Therefore, you need a type of insurance that will reduce at the same rate as you borrowing decreases – this is what Mortgage Life Insurance provides.

If you have an interest only mortgage, the capital sum owed to the mortgage lender remains constant. To cover an interest only mortgage you will need Standard Life Insurance cover.

In all cases the initial value of coverage you require on your Life policy will be equal to the sum you owe your mortgage lender at the time you commence your insurance.

Mortgage Life Insurance that provides decreasing coverage is much cheaper than Standard Life Insurance providing level coverage. Warning! Please make sure you check which type of Mortgage you have before taking out your life coverage. A mortgage protection policy will not be sufficient for an interest only mortgage.

Please contact us or request more information to the right if you would like to learn more!