Life Insurance

If you have mortgage payments to fulfil, it is good to know that a Mortgage Insurance or a mortgage protection is available to cover your payments when you die, become ill or unable to work because of long term illness.

What is a Mortgage Insurance?

Also called Mortgage Payment Protection Insurance (MPPI), it is an insurance that covers your mortgage payments or commitments in any eventuality that you die, get sick for a short or long period, or when you are redundant. Mortgage Protection usually comes with Home Life Insurance, Building Insurance, Homeowners’ Insurance and similar insurance policies.

The above-mentioned, however, may cover limited mortgage payments only, and some insurance policies do not cover redundant claims. With Mortgage Insurance though, you are sure that all your mortgage responsibilities would be covered because this insurance concentrates only on your mortgage commitments.

Types and cost of Mortgage Insurance or Mortgage Protection

• Fully Protected Mortgage

  This type fully covers your mortgage payments in cases when you cannot pay due to death, long term illness, and critical sickness during the mortgage term. The cost of the Mortgage Insurance would vary based on the coverage and type that you have selected.

• Typical Fully Protected Mortgage Plan

  This is a Mortgage Term Insurance, which includes critical illness cover for either an “interest only mortgage” or “repayment mortgage.” You can combine this with a Building Insurance, Mortgage Protection and other related plans to cover every eventuality that may occur.

Important facts you should know about your Mortgage Insurance

If you become redundant your Mortgage Insurance would cover your mortgage commitments. You can avail of the Family Income Benefit, Mortgage Decreasing Term Assurance or Level Term Insurance.

If you want you and your spouse to be covered in your mortgage payments in case you suffer from a critical illness, you can consider Mortgage Protection or Mortgage Insurance. You could choose these options like, Mortgage Protection with Integrated Critical Illness, Mortgage Life Insurance and Critical Illness, and Level Critical Illness Insurance.

For Long Term Sickness during the mortgage term, you can choose Income Protection Insurance and Money Payment Protection Insurance.

Aspects that could affect your Mortgage Insurance

• Coverage of your insurance or protection

• Type of your insurance

• Mortgage commitments

• Related insurance policies

Pointers in Mortgage Payment Protection Insurance (MPPI)

• MPPI is not compulsory, but it is an excellent way to ensure that your mortgage commitments or payment are covered in case you and your spouse get ill or die.

• You can conveniently browse insurance companies online to save time, effort and cost.

• Be on the lookout for discounted rates.

• Choose a reliable and legitimate Mortgage Insurance, and most especially, affordable.

• Read the details of the policy carefully to know what is specifically covered and not, before signing up

• Make sure that the policy has a comprehensive cover so that you do not have to worry about your mortgage payments.

Companies that provide Mortgage Insurance

Payment of your mortgages is a vital responsibility you cannot do away with, so make sure you can fulfil your obligations by purchasing your Mortgage Insurance now. Some of these companies are British Insurance Mortgage Protection, Shepherds Friendly Mortgage Protection Insurance, and Hanley Economic Mortgage Protection Insurance.