Mortgage protection cover: what’s all the fuss about?
- 23RD SEPTEMBER 2007
Mortgage protection cover when taken out correctly can give the policyholder the peace of mind that they would receive a monthly payout which would ensure that they would still be able to meet their monthly mortgage repayments without worry and stress if you they became unable to work due to accident, sickness or through redundancy.
Mortgage protection cover can save the roof over your head. It would start to pay out after you had been out of work usually for 30 days or more and would give you a monthly income tax free with which to meet your monthly mortgage repayments. The policy would pay out for up to 12 months and some lenders offer policies that run for up to 24 months.
The fuss regarding the product is the way that it is has been mis-sold widely; the biggest offenders when it comes to mis-selling are the high street lenders who, historically, fail to give the essential information needed for the consumer to make an informed decision regarding a product’s suitability. Mortgage protection cover isn’t a suitable product for everyone; there are many exclusions within the product that can stop the consumer from making a claim on their policy.
Some of the most common reasons why people can’t make a claim on their policy include if they are retired; self-employed, only work part time or suffer from a pre-existing medical condition. When the cover is sold alongside the mortgage the high street lender favours huge profits ahead of the consumer’s best interests. If you want the valuable protection that mortgage protection cover can provide then you have to purchase the cover independently and go with a standalone specialist for the cover.
One such ethical and specialist mortgage protection cover provider is British Insurance, headed by the very outspoken Simon Burgess. Simon is forever campaigning for the consumer’s rights when it comes to the way the high street lender rips-off the consumer by charging high premiums. British Insurance charge an average of around 40% less than the high street lender for a far better policy while providing the essential information needed to enable an individual to make the right choice over the policy’s suitability.
