Mortgage Protection Insurance (MPPI)

How does Mortgage Protection Insurance work?

Mortgage payment protection insurance is offered in various forms.

• Back to Day one cover is the best, this means that you can make a claim after just 30 days of loss of income due to accident, sickness or unemployment and the benefit is then backdated to the first day.
• Or you may also choose "deferred periods" whereby you will wait a chosen period of time between 1 to 6 months before you make a claim. The longer you wait the cheaper the premium but again you need to be sure that you can continue to pay your mortgage payments from savings until such time as the policy begins to pay out.

You will find with nearly all mortgage protection polices that you will need to be in receipt of Jobseekers Allowance or Statutory Sick Pay in order to claim.