When you’re buying a home, it can feel like the process will never end. Saving, viewings, mortgage applications, and an avalanche of paperwork. Important decisions can be rushed and pushed with biased advice. Mortgage Protection is one of those things that can get left out until near the end of the process.
Mortgage protection explained?
Mortgage Protection is a legal requirement, and you can’t get a mortgage without it. Are you feeling rushed to get a policy without really understanding what it will do for you?
Simply it’s an insurance policy that will pay off your remaining mortgage amount in case of death or serious illness.
When a bank arranges your mortgage, they will offer you a Mortgage Protection policy as part of their service. However, in this case, banks are operating as Tied Agents for one insurer. This means that you won’t get a choice of insurers with your offer, and the quote may be higher than what you would receive from an Insurance Broker or Financial Advisor.
If you arrange your mortgage with Bank of Ireland, you will only be offered New Ireland policies, as Bank of Ireland own them. New Ireland is an excellent company, but their mortgage protection policy may not suit you, and your choice is the most important in this instance. For example, you might appreciate a benefit that Zurich offers, such as their payment waiver, if you can’t work for 13 weeks.
Choosing your mortgage protection policy
You can’t choose whether to have Mortgage Protection, but you can choose a policy that suits you, your pocket, and your needs at the moment.
Never feel pressured to make a decision on your insurance policy straight away. We would always recommend speaking to an independent financial advisor who has your interests at heart.