Mortgage Protection Tuesday, 29th April 2008

Homeowners sould review their insurance.

Income protection could help homeowners protect their ability to make repayments on their mortgage and any other loans.

Homeowners not to confuse income protection with mortgage payment protection (also known as Accident Sickness and Unemployment) insurance. MPPI plans typically pay out for a year and may include certain exclusions. The premiums and conditions of the policy can also be changed at short notice.

Those with mortgages should check the amount of cover offered, the benefits you are entitled to from the Government and your employer, as well ensuring premiums are guaranteed. You should also consider alternatives, such as critical illness. This could be more suitable for your specific circumstances.

The nightmare scenario must be discovering that not only have we been diagnosed with a long-term illness, but the realisation that income is going to dry up in a few weeks as well. Peace of mind can be a few pounds a week spent on a good Income Protection policy.