Mortgage Payment Protection

By Toni

Mortgage payment protection is an important type of insurance that protects your mortgage and thus your property in case you are unable to earn an income and repay your mortgage installments. Accidents, illnesses and unemployment happens and mortgage lenders will invariably ask for a mortgage payment protection cover when you contract a loan to purchase a property. The last thing you would want to happen to you is losing your home due to a loss of income resulting from a loss of job. The loss of your job can happen in a number of ways. You might contract a severe critical illness or might even be unfortunate to be in a serious accident. In most of the cases, accidents and severe illnesses can cause disability which then results in the loss of job and income. At this point, mortgage payment protection can help you out by awarding you a lump sum or regular payments which will enable you to continue repaying your mortgage.

The importance of taking mortgage protection insurance is critical as it will repay your mortgage if you unfortunately undergo unpredicted situations in your life. Some of the conditions that normally tend to occur in someone’s life are as follows: a life threatening accident, a critical illness and even unemployment, especially in times of general macro economic adversities like recessions. These are facts of everyday life which can easily happen to anyone, sometimes when we least expect it. It would be imprudent to just fail to possess insurance for your future safeguard.Mortgage protection insurance would not only protect you but also your loved ones. It means that if you are unemployed in the future, a financial crisis will not occur as the insurance will allow you to repay your mortgage, hence saving your home and affording peace of mind when you most need it.

As with other types of insurances, cover is linked with a number of terms and conditions of which you need to be aware. How much cover you require, over how many years, for what amount of cover etc are just some of the questions that need answering before you take out mortgage payment protection insurance. Many online insurance brokers are specialist in offering a mortgage protection quote and their friendly staff will be delighted to assist you with getting the most suited package for your needs. Getting the right information to the insurers from the outset is very important. You should know that your insurers have to be sure about the legitimacy of your claim before awarding you the payout. Knowing the terms and conditions from the outset is critical. For instance, your mortgage protection quote will not pay out if you produce intentional loss of job and are not looking for other jobs after unemployment has taken place. Another reason why your insurance may refuse you the money is when you work part time after having lost your current job. As a result, you should be careful when you take out insurance.

Mortgage payment insurance is quite similar to critical illness cover when it comes to payment. Payments are not made straight away after an appropriate claim is filed. With this type of insurance, the waiting period can be quite long. The policyholder may have to wait for a maximum of 4 months at times before getting a payout. At that point, if the claim is still deemed as qualified by the insurance, the payments will start to be disbursed to the concerned person. Also, re-qualification is another issue. It is done monthly and a form has to be duly filled to prove continued eligibility of the insured. While taking out the mortgage payment insurance you should abide by its rules and regulations to prevent misunderstandings with your insurers in the future.

Some mortgage payment cover policies can restrict your payment to a specified lapse of time. This time lapse can range from 6 to 12 months and might heavily depend upon the type of mortgage payment cover you have taken. Therefore, before you take insurance you should read your policy stipulations carefully to prevent you from making the wrong decision. Online insurance brokers can definitely help with advice, information and frequently asked questions. So, finding an insurance broker online might be only a few clicks away. Should you require further information about the type of insurance you are going to buy, you could request the help of someone already in the domain, who can advise you. Feel free to contact our specialists for any questions you may have before taking out a policy. Nowadays, you have many choices to consider while taking out cover. The amount of cover you might need and the budget you have would bring you to the right type of protection you want. However, in the market, you may notice the variation in prices of such policies. Whilst you can come across low price tag policies, you may in addition notice very expensive ones. You should pay much attention when you are offered policies which are excessively cheap. This could even mean scam and the last thing you might want to happen to you is to get trapped. So, take your time and search well.

By carefully searching you will find the right mortgage payment quote for your needs. There are so many facilities and choices available these days. Generally, you have two solutions to find the insurance of your choice. Either you search and scan the Internet or you may visit insurance companies around you. Both can be done and have their sets of advantages. The Internet gives you direct access to insurance providers right from your home. You might even get the quotes you need in a matter of minutes through instant online quotes like those available on this website. On the other hand visiting companies one by one will allow you to have personal contact and at the same time see what the insurance company is like and get a personal feel for the service you are getting. In an age of call centres and online providers, it’s comforting for some to know that they can speak to genuine and helpful advisers in the UK.

Additionally, visiting mortgage protection insurance brokers has another benefit. By looking at the people who work there and the way you are welcomed, you may at once know if a particular company can be trusted. The drawbacks with personally visiting insurance companies are that you have to travel and also might end up having lots of quotes in your hands and potentially confusing. So, as a fair comparison of both methods, searching on the Internet might seem to be the best way. You will get quotes in minutes and might even consult brokers for the best providers available according to what you require. Many banks offer protection insurance. While this may be convenient in terms of accessibility, if you have a good relationship with your bank, they may not always have the best insurance deal for you. You should be very attentive to compare as many policies as you can. This will help you to have at least the type of policy which can give you benefits hassle free. You may even be entitled to pay low premiums on high quality policies, which would definitely be a gain for you.

Mortgage payment protection cover is no doubt a must for every home buyer. In fact you probably will not get a mortgage without one. The issue is where do you get yours, how much it costs you per month in premium and what benefits you are entitled to in the event of an accident, illness or unemployment. Thanks to payment insurance you can sleep peacefully without having to worry about where your family will live if ever you become unemployed.