Quick Enquiry
Buildings Insurance
House Buildings Insurance
- Pays the cost of repairing or rebuilding your home if it is damaged by unforeseen events (as detailed in the insurance policy)
Contents Insurance
House Contents Insurance
- Covers the cost of replacing possessions lost or damaged due to unforeseen events (as detailed in the insurance policy)
Accident, Sickness, Unemployment, Income Protection and Critical Illness Insurance
Accident, Sickness and Unemployment (ASU) Insurance
- Pays out a regular amount for a limited time – a year say – if you cannot work for health reasons or redundancy
Mortgage Repayment Protection Insurance
- ASU Insurance used to cover your mortgage payments
Sickness Insurance
- Pays out a regular amount for a limited time – a year say – if you cant work for health reasons or redundancy
Accident Insurance
- Pays out a regular amount for a limited time – a year say – if you cant work for health reasons or redundancy
Income Protection Insurance (also called Permanent Health Insurance)
- Replaces part of your income if you cannot work because of long term illness or disability
- Often this is a type of General Insurance but if it builds up a cash in value, it is based on an investment type life insurance policy
Critical Illness Cover
- Pays out if you are diagnosed with a life threatening condition, such as cancer or heart attack
This Insurance pays out to cover loss of earnings in the event of accident, sickness or unemployment, either for all of these unforeseen circumstances, individually, or any combination of them.
It is a requirement that both Intermediaries and Lenders give customers information about MPPI. This is in response to the Government’s wishes that an improved safety net is put in place following the review of Income Support for Mortgage Interest (ISMI).
The result of the review is that this benefit will not be paid until after 29 weeks (9 months) from when the claim is made, for loans taken out after 1st October 1995. Due to the way the payments are calculated (according to a “standard interest rate” set by the Government) the actual rate being paid by you may be greater.
It is important to note that eligibility for this benefit is assessed by the Benefits Agency Adjudicators. DSS estimates that only about 20% of claimants qualify for ISMI. It should not therefore be assumed that qualification is assured.
Equally it is important to get advice to ensure that your own circumstances meet the criteria for benefiting from these policies in the event of a claim.; As well as looking at any existing arrangements with employers or other policies that may have been taken out already and to assess any savings that could be used to tide you over a prolonged period of reduced or zero income.
You may like to obtain a copy of the leaflet “Take Cover For a Rainy Day”. If you would like a copy please ask. The leaflet incorporates a message from the Government which includes the following:
“The Government is concerned to ensure that you fully understand your mortgage responsibilities and that you can continue to pay your mortgage if you suddenly find yourself in unforeseen difficulties. If you do not have the means to support your mortgage payments if you were to lose your income, the Government urges you to think seriously about whether you need to take out Mortgage Payment Protection Insurance”.
WHAT TO CHECK OUT
Does it meet your need?
- What risks, items and events are covered?
- How much will be paid out if you claim (for example, the full cost of replacing the item, its second hand value, no more than a set cash sum, and so on )?
- What’s not included – for example, claims fur to health problems you already have, possessions not under lock and key, a home left empty?
- Are there any special features you want to be included?
- Note any ‘excesses’ (the first so many £s of a claim that you must pay yourself)? Often agreeing to pay a larger ‘excess’ means you pay a lower premium.
COST
- Compare premiums for a year (or shorter period if relevant)
- Premiums may vary with where you live, your job, your car, the size of loan to be protected and son on – make sure premiums are all quoted on the same basis.
- Is Insurance Premium Tax (IPT) included?
- Is there a saving if you pay by direct debit? Do you pay extra if you pay monthly rather than yearly?
YOUR COMMITMENT
- How much must you pay?
- Do you pay monthly or yearly?
FLEXIBILITY
- Does cover stop immediately if you miss a payment or is there a period of grace?
- Do you get some money back if you cancel the policy?
- Do you lose some cover – for existing health problems, say- if you switch to another Insurer?
RETURN
- Not applicable
RISK
- If you buy insurance over the Internet, it may be less easy than other methods to find out where the Insurer is based. If things go wrong you may not be so well protected with an Insurer outside the UK.
- If you are not honest with the Insurer, your policy may be declared void and your claims refused.
REVIEW
- Review when you renew to check if it’s still good value.
