Mortgage Protection
Mortgages for Business are able to assist you in protecting your property, and are able to offer you competitive quotations from a range of insurance companies. Our Consultants will be pleased to speak to you, discuss your requirements and provide you with a recommendation. Below is a outline of the products which we are able to offer:
Level Term Assurance
This is usually used an interest only mortgage. The amount you are insured for remains constant throughout the term. Premiums are normally paid monthly or annually throughout the term, although single premiums can be paid. The sum assured is payable only if the death of the life assured (or one of the lives assured) occurs within the term of the policy. This policy has no surrender value or cash value at any time. If the lives assured survive the term them the cover ceases and there is no return of premium. Under current legislation, proceeds from this type of policy are exempt from tax. Call 0845 148 9165 for more information - enquire today.
Decreasing Term Assurance
This is usually used on a capital and interest mortgage. The sum assured reduces to zero over the term of the policy although the premiums remain level throughout the term. This type of policy is often referred to as a Mortgage Protection Policy. The sum assured is calculated in such a way that it is always equal to the amount outstanding on a capital and interest mortgage of the same term ensuring that your mortgage will be repaid in the event of a claim. The sum assured is payable only if the death of the life assured (or one of the lives assured) occurs within the term of the policy. This policy has no surrender value or cash value at any time. If the lives assured survive the term them the cover ceases and there is no return of premium. The sum assured is payable only if the death of the life assured (or one of the lives assured) occurs within the term of the policy. This policy has no surrender value or cash value at any time. If the lives assured survive the term them the cover ceases and there is no return of premium. Call 0845 148 9165 to make an enquirey.
Protection for your mortgage if you suffer a critical illness
This will pay out a tax free lump sum on diagnosis of one of a range of specified illnesses. The illness need not be terminal. The range of conditions covered varies from insurer to another but most would typically include:
• Most forms of cancer
• Heart attack
• Stroke
• Major organ transplant
• Multiple sclerosis
• Kidney failure
Other conditions sometimes covered are:
• Blindness
• Paralysis
• Loss of limbs
As with life cover, this protection can be arranged on a level or decreasing basis. Call 0845 148 9165 for more information - enquire today
Protection for your income if you are unable to work for a sustained period
This cover will pay an income (tax free) if accident or illness prevents you from earning a living by carrying out your normal occupation. Many companies also offer this cover to homemakers is because although they may not actually earn a income, there is usually a clear need to provide income in the event of their illness which could then be used to pay for housekeeping or childminding fees. This policy will continue to pay out until you are able to return to work, retire, or die.
There are many ways to arrange this protection to fit around your requirements and any cover you have from your employer. The state will give you £63.75 per week incapacity benefit for the first 28 weeks of your illness, which is rarely sufficient to cover a income earns contribution to bills and mortgage payments. Call 0845 148 9165 today.
Protection for your income if you are unable to work due to accident or sickness, or lose your job
Accident, Sickness and Unemployment (ASU) plans are generally used to cover mortgage repayments in the event that you are unable to earn a living due to accident, sickness or unemployment. A level of income equal to monthly mortgage repayments is paid on claim, usually for a maximum of 1-2 years. Additional cover can sometimes be included to cover other essential outgoings. This benefit will be paid out tax free.
Examples of pricing:
Male, aged 35, non smoker, cover of £100k for 20 years
Level Term Assurance = £7.97
Level Term Assurance with Critical Illness = £22.09
Decreasing Term Assurance = £6.21
Decreasing Term Assurance with Critical Illness = £19.03
Income Protection
Male, aged 35, non smoker, cover of £1000 pcm to age 60, office based job, 6 month deferred period
£13.25 pcm
For more information on any of the types of mortgage protection above or to make an enquiry please call Call 0845 148 9165 today and we will be happy to help you. In the meantime why not take a look at our best mortgage deals or our first time buyer mortgages. You can also get mortgage protection on Buy to Let mortgages. If commercial mortgages or property development finance is of interest to you then please take a look at our pages. Don't forget you can keep up to date with the latest mortgage news via our residential mortgage blog.
