If you have monthly mortgage repayments to make and are in full time employment the you should give some serious thought as to how you would continue to meet your mortgage repayments if you were to find yourself without an income after losing your job due to suffering from an illness, an accident or unemployment through no fault of your own.
Providing you have checked the exclusions, then mortgage payment protection insurance can be a very valuable product to have in your corner.
Mortgage payment protection cover can give you a replacement income with which to continue servicing your mortgage debt each month after a pre-defined period of time of being out of work.
The time before the policy would begin varies depending on the provider, but as a general rule it is between one to three months’ after having been continually being out of work.
Once started it would then continue to give you the income agreed at the time of taking out the policy which would be tax free and last for between 12 and 24 months depending on the provider – do check the terms and conditions of the policy as all differ.
While mortgage payment protection cover can be a very valuable product it has to be chosen wisely, if you take it out alongside your mortgage with the high street lender then it can cost a great deal and you could end up buying a product which you cannot claim against because high street lenders infamously give very little information at the time of selling the policy.