Mortgage Protection Insurance is a simplified life insurance product which is designed to pay off a fixed amount of money owing on a mortgage in the unfortunate event of a serious illness or death of the borrower.
This product is available on residential and commercial properties owned by individuals as a primary home or as an investment property. The benefit paid from Mortgage Protection can be used exclusively to cover your outstanding mortgage debt.
Depending on your circumstances and number of dependants you can organise a mortgage protection policy to provide cover for a range of situations:
For most people the mortgage payment is their biggest monthly expense and mortgage protection insurance is there to protect you & your family and not the mortgage provider. By having mortgage protection it will help avoid the financial strain, a major illness can create so that you can focus on your recovery.
However, mortgage protection insurance covers your mortgage repayments only. If you are looking for insurance cover that provides for additional needs, such as ongoing income and medical expenses, you may want to consider life insurance and/or income protection insurance.