Understanding Mortgage Protection Options
Mortgage Life Insurance
Death Benefit
Pays off your mortgage balance if you die during the policy term.
Property Security
Ensures your family can keep the home without mortgage burden.
Long-term Protection
Typically lasts for the duration of your mortgage term.
Mortgage Payment Protection Insurance (MPPI)
Income Protection
Covers mortgage payments if you're unable to work due to illness, injury, or redundancy.
Temporary Relief
Typically pays out for a limited period (e.g., 12 or 24 months).
Employment Status
Available for employed, self-employed, and contract workers (with potential variations).
Both types of protection offer valuable security for homeowners, but they serve different purposes. Consider your specific needs and circumstances when choosing between them.
Learn More About Your OptionsWhy You Might Want Mortgage Protection
Protect Your Family
Ensure your loved ones can keep their home even if you're no longer able to provide.
Safeguard Your Home
Keep your biggest investment secure, even in times of financial uncertainty.
Maintain Your Lifestyle
Continue mortgage payments if you lose your job or become unable to work due to illness.
What MPPI covers and exclusions should you know about?
What does Mortgage Payment Protection Insurance (MPPI) cover?
MPPI is designed to help you keep up with your mortgage payments if you're unable to work. Different levels of coverage are available:
- Accident and sickness – covers your mortgage repayments if you're unable to work due to serious illness or injury.
- Unemployment – provides income to cover your mortgage if you're made redundant. This doesn't cover accident and sickness.
- Accident, sickness and unemployment – the most comprehensive MPPI cover, paying out for job loss and inability to work due to illness or injury.
Some MPPI policies may also cover you if you need to leave work to become a carer for an immediate family member.
MPPI is typically available to employed, self-employed, and contract workers, although there may be some additional exclusions for non-traditional employment types.
Additional Protection Options
Critical Illness Cover
Could pay out if you're diagnosed with one of the serious illnesses the policy covers. The list of illnesses can vary among providers.
Income Protection Insurance
Designed to pay out a replacement income if you can't work, usually due to illness or injury. There are different options available, offering short and long-term cover. Rather than just protecting your mortgage payments, it could cover bills and other living expenses too.
The MPPI Process in 5 Simple Steps
Assess Your Needs
Evaluate your current mortgage and financial situation to determine the level of MPPI coverage you need.
Consider factors like your savings, other insurance policies, and employment stability.
Research MPPI Options
Explore different MPPI policies available in the market that can be added to your existing mortgage.
Compare coverage levels, premiums, and exclusions from various providers.
Contact Your Mortgage Provider
Reach out to your current mortgage provider to discuss adding MPPI to your existing mortgage.
They may offer their own MPPI product or provide guidance on compatible third-party options.
Choose and Apply
Select the MPPI policy that best suits your needs and apply for coverage.
Ensure you understand all terms, conditions, and any waiting periods before signing up.
Integrate with Mortgage
Finalize the integration of your chosen MPPI with your existing mortgage.
This may involve adjusting your monthly payments to include the MPPI premium.
Let us help you find the best cover to protect your home today
Before purchasing mortgage protection, it's advisable to compare policies from different insurance providers to find the one that best suits your needs and budget. Additionally, consulting with a financial advisor can help you make an informed decision about the type and amount of mortgage protection that's right for you. Remember that mortgage protection is not mandatory and may not be suitable for everyone. Carefully review the terms, conditions, and exclusions of any policy before making a commitment. Your personal circumstances and future plans should be considered when deciding on mortgage protection.