Mortgage Payment Protection Insurance UK
Article published on 10th December 2007
Mortgage Payment Protection Insurance (MPPI) is one of the most cost effective methods of protecting your mortgage payments. Mortgage Payment Protection will pay you a monthly benefit is you cannot work due to accident, sickness or redundancy (dependant on which contract you choose).
Types of Mortgage Payment Protection Insurance
You have three options to consider when taking out mortgage payment protection insurance:
- Accident, Sickness and Redundancy Cover.
- Accident and Sickness Cover.
- Redundancy Cover.
The types of cover are as the title suggests, you will receive a discounted rate for having Accident, Sickness and Redundancy cover within the same plan.
How Much Can I Cover?
Most Mortgage Protection Companies allow you to cover you mortgage payments plus an additional 50%. For example if your mortgage payments are £500 per month, you could apply for £750 worth of cover. This means you have surplus income to pay some of the bills and associated payments. If you need more than 50%, we have some companies that will give an extra 100% or alternatively you could top up with a short term income protection policy.
What is the Maximum Level of Cover
Most companies offer a maximum of £1500 - £2000 worth or Mortgage Payment Protection Cover, however as independent brokers, we do have access to companies that can offer up to £3000 cover. For quotes on the higher amount, please contact our office on 01723 516600.
How Long do Mortgage Payment Protection Plans Pay Out for?
In the event of a claim, a monthly benefit will be paid for 12 months. We also offer a 24 month contract, however you would have to call our office for quotes of this nature.
When does the Claim Pay Out?
By default, we quote products that pay out once you’ve been off work for 30 days, but once a valid claim has been made, the payments are backdated to the first day that you were off work. Longer deferment periods are available if required.
In order to get an instant quote for mortgage payment protection insurance, please visit our Mortgage Payment Protection Quote page, or please feel free to contact one of our friendly advisors for financial advice on Mortgage Payment Protection Insurance free on 0808 17 82 777.
Follow the link below to get an instant Mortgage Payment Protection Insurance Quote