What is Mortgage Payment Protection Insurance?

Mortgage Payment Protection Insurance pays your monthly mortgage repayment if you were off work due to sickness, accident, or unemployment. (Don’t forget that your home is at risk if you fail to keep up the repayment of loans secured against it.)

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Why should you have Mortgage Payment Protection Insurance?
Your home is at risk if you fail to keep up the repayment of loans secured against it.
Are There Any Situations That Would Result In My Claim Being Refused?
Yes there are the usual exclusions. These are summarised below but you should carefully read the paperwork that comes with your insurance documents.
Is Mortgage Payment Protection Insurance the same as a Mortgage Insurance Guarantee?
No. Mortgage Payment Protection Insurance is totally different to a Mortgage Insurance Guarantee.
For how long will the policy continue to pay your mortgage?
The Mortgage Payment Protection Insurance will pay your mortgage for up to 12 months or up to when you return to work, whichever is the sooner.
Do you have to buy your Mortgage Payment Protection Insurance through your mortgage lender or mortgage broker?
No, you don’t have to buy through your mortgage lender or mortgage broker and it will almost certainly be cheaper here online.
Basically, Mortgage Payment Protection Insurance is designed to remove the worry of whether you could afford your mortgage repayments if you were unable to work.

To claim you have to be off work for a minimum number of days. This is known as the “qualifying period” and is usually 28 days or a month. With some Mortgage Payment Protection policies the mortgage payments will start after the qualifying period but with the policies we sell, the payment will be backdated to the day you started to be off work.

Once you have started to claim, the policy will pay your mortgage until you are either back at work or have reached the maximum number of months the policy will pay out (typically 12 months), which ever arrives soonest.

The Mortgage Payment Protection policies offered through our Product Partner, Burgesses give you the option of insuring yourself for accident and sickness, or just unemployment, or all three. The premiums are cheap so as long as you can afford them, and bearing in mind the importance of keeping up your mortgage repayments, most people insure themselves for all three eventualities.

All payments from insurance policies are tax-free.

Frequently Asked Questions related to the above topic.
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