Mortgage Information > Extra Costs > Insurance

When you take out a mortgage there are Mortgage Insurance that you should consider taking out.

Critical illness cover

Pays out a lump sum if you suffer a life-threatening illness, such as cancer or heart attack. Can be used to pay off the mortgage or for anything else.

Income protection

Replaces a substantial part of your income if you are unable to work over a long period because of illness or disability (so could be used in part to meet your mortgage payments). Continues to pay out until you recover or reach retirement whichever is sooner.

Life insurance/mortgage protection cover(term insurance)

Pays off the mortgage loan if you die.

Note that endowment mortgages automatically include life cover - you do not need a separate policy for any amount covered by the endowment policy.

Mortgage payment protection insurance (MPPI) also called ASU (accident, sickness and unemployment insurance)

Meets your mortgage payments for one, or maybe two years if you are unable to work because of illness or unemployment.