Burgesses gives free cover incentives with FreeStart
FINANCIAL ADVISER - 1ST APRIL 2003
Insurance broker Burgesses, in association with insurance administrator Paymentshield, has launched a mortgage payment protection insurance that includes free cover incentives.
FreeStart is available from Burgesses to both new and existing mortgage borrowers, aged between 18 and 65, provided they have worked on either a full or part-time basis for a minimum of 16 hours a week over the past six months. It provides the following benefits:
• No initial exclusion period
• Back-to-day-one cover in the event of unemployment or disability
• A choice of either six months’ free cover at the start of the policy or three months’ free cover at the start of the policy plus 25 per cent extra free cover or the full-term of the policy.
• Premium waiver during a claim
• Full portability between lenders.
Rick Riding, chairman of Paymentshield, said: “FreeStart achieves our objective of providing mortgage borrowers with comprehensive mortgage payment protection insurance cover at affordable premium rates.”
Commission for IFAs is set at 25 per cent, payable immediately upon completion of the policy and can be indemnified.
Verdict: Ian Knight, national account manager at Woking-based mortgage specialist Berry, Birch & Noble, said: “As a stand-alone contract it sounds very attractive. I like the idea of the free cover period and immediate cover but the premiums need to be in line with other competitive plans.”
