Mortgage Protection Insurance UK

There are, however, certain periods when you will not be covered by your UK mortgage protection insurance even if you are unable to pay due to sickness, unemployment or other circumstances. At the beginning of your policy term there will probably be an 'exclusion period' during which you will not be covered, and unable to receive benefits. Also, when you start your mortgage protection insurance you will be asked to nominate a chosen deferred period. The deferred period is the length of time you will have to wait, when out of work, before your mortgage protection payments start. The longer the deferred period, the lower your premiums will generally be. Due to these periods where you would not be eligible to receive benefits it is a very good idea to have your own savings to fall back on should a situation occur where you are out of work but not receiving benefits. By planning you can make sure that you can pay your mortgage during the early stages of unemployment or sickness.

You will receive your monthly payments until you return to work or until you have received the maximum amount of benefits to which you are entitled, whichever occurs first. In most cases, insurance companies will only pay benefits for a specified period, (twelve months, for example), so be sure to check your policy details thoroughly. Sometimes you will able to extend your benefit allowance to a longer period, but this will come at an added cost.

If you need to make a claim then it is important to contact your insurance company as soon as possible. They will usually supply you with a claim form which you will need to fill in accurately, returning it to your insurer as soon as possible. You may need to have proof of days off work from either your doctor or Jobcentre to support your claim. Once you have successfully made your claim, and qualified for payment, then benefits are generally paid once a month in arrears.