Mortgage Payment Protection And Unemployment
I was looking at my mortgage protection plans (I have two) and even
though they do not explicitly mention it in their policies I wondered
if I was allowed to make claims on both of them in the event of
sickness/redundancy/disability?
One of the advisors at the time said it didn't matter if it was for a
mortgage or not. So I am now a bit confused.
If I took out one of those "monthly payment protection" plans which are
not exclusively linked to a mortgage, would that cause a conflict with
the two above policies?
You may claim under both of them, but without knowing the level of cover,
possibly not the full amount that you are covered for. Generally the total
from all policies would be restricted to 65% of your gross pre-incapacity
earnings.
It depends upon the provider, although they are designed to cover mortgage
payments, not all contracts are specifically linked to the mortgage. So
long as you not exceeding the maximum benefit payable, you may be able to
claim under both.
Be aware that if you are paying for two limited accident sickness
unemployment type covers, you may be able to get superior permanent health
insurance and redundancy cover for little or no more monthly cost.