Life insurance and your Mortgage
Most home loans require mandatory life cover. This means if you die during the term of the mortgage, an insurance policy, is payable and repays your mortgage, ensuring you need not worry about the repayments.
Premiums depend on age, health status, occupation, smoking habits and can vary from one insurance company to another. Phoenix Financial Services will provide you with the cheapest Mortgage protection quotes. The minimum legal requirement (for somebody under 50 years old) is a mortgage protection policy but additional cover is available.
We will present you with a range of options and will advise you in choosing a policy appropriate to your unique circumstances.
1. Mortgage Protection: Life cover reduces in line with your mortgage and ceases when you mortgage does. This is the cheapest of the types of life cover available.
2. Term insurance: this means whatever the original sum borrowed is covered for the entire term irrespective of what the balance is when the life assured dies. A conversion option can also be provided. This means you can continue the cover on maturity without any medical evidence.
3 Serious illness cover: covers the assured against most of the serious illnesses for the specified period. Illnesses include heart attack, stroke, cancer and a specified list of others. Separate and stand alone cover can be obtained.
5. Income protection: if you are unable to work due to accident or illness, this cover will pay up to 75% of your income until either you can resume employment or you retire and your pension kicks in. This is expensive, but again reassuring.
6. Redundancy and sickness protection: this covers your repayments for up to one year in the event of accident, illness or redundancy.