Mortgage Payment Protection Insurance

The above insurance will pay your mortgage if you are unable to work for an extended period of time, whether through accident, illness, redundancy or disablement.

The amount you pay to protect your mortgage will depend on the policy details and also on the size of your monthly mortgage repayments.

Having an accident, becoming ill or unemployed can cause you many problems and you cannot rely on help from the government to cover mortgage payments if you are unable to work.

There is normally a period at the start of the contract during which time no claim can be made, this normally applies to unemployment. Most providers will cover your mortgage payment and will sometimes cover other bills relating to your mortgage, such as pensions and insurances.

Life Insurance

Life insurance is a way of providing financial protection in the event of your death. The policy can pay out a lump sum or a regular income for your dependants when you die. The amount of cover that you decide upon is called the sum assured. You pay a monthly or annual premium to cover this until your death.

Similar to Life Term Insurance this is a way of paying off a mortgage or loan that you may have outstanding at the time of your death.

Life Insurance Policies can also include a choice of options and this can be included at an extra cost, for example, Critical Illness Cover, Family Income Benefit, Waives of Premium, Income Protection/Permanent Health Insurance.

Term Life Insurance

Term Life Insurance is a low cost form of Insurance that will only cover you for a certain time (called the term), it does not cover you for all your life. If you die during the period covered the beneficiary receives the death benefit, if you do not die within the time period the policy expires and no benefit is paid. There is no investment value to this policy and it is a way of paying off a mortgage or any loan you may have outstanding at the time of your death.

Landlords Insurance

A landlords policy should include Property Owner's Liability this will cover anything that happens to your tenant, even if it is a result of your negligence in maintaining the property. If the property is furnished you should also make sure that your contents are insured.

Some policies can cover the loss of any rental income if there was a fire in the property. The insurance would cover the rent that was lost while the property was being rebuilt and it may also include a large sum of what it may cost to re-house the tenant.

Legal Protection Insurance will cover landlords for any loss of rent if the tenant refuses to pay and it may also cover the legal bills of getting the tenant out.


Tenants Insurance

It is advisable for tenants to make sure they have adequate insurance when renting out a property. The landlord will only insure the buildings, so the tenant is responsible for not only their possessions, but also the landlords. You could also include in your policy accidental damage for items such as furniture, fittings and so on. The following areas can be covered.

• Contents.
• Personal possessions.
• Accidental damage to electrical equipment.
• Accidental damage to landlords contents, fixtures and fittings.