Bad Publicity Is Leaving Many Homeowners Wary Of Taking Mortgage Protection

Bad Publicity Is Leaving Many Homeowners Wary Of Taking Mortgage

Bad Publicity is​ Leaving Many Homeowners Wary Of Taking Mortgage Protection
With the​ bad publicity which has recently surrounded payment protection insurance products,​ many homeowners are wary of​ taking out mortgage protection which is​ leaving them wide open to​ losing the​ roof over their head if​ they were to​ suddenly find they lost their income .​
Mortgage protection can give you​ an​ income with which to​ continue meeting your monthly mortgage repayments if​ you​ should come out of​ work due to​ suffering from an​ accident,​ illness or​ if​ you​ should become unemployed .​
While there are problems within the​ sector and there is​ much confusion as​ the​ products are not differentiated between mortgage protection can be a​ very worthwhile product .​
You do however have to​ ensure that it​ is​ suitable for your circumstances before you​ take out the​ cover and this is​ because there are exclusions which mean it​ is​ not suitable for all individuals .​
While exclusions can vary depending on​ the​ provider there are some that are common to​ all policies .​
Being self-employed,​ retired,​ only in​ part time work or​ suffering an​ ongoing illness would mean it​ would not be suitable for your circumstances .​
You do have to​ check the​ small print for additional ones and to​ find out about the​ terms and conditions of​ the​ policy because these too can vary.
Policies will usually begin to​ payout between day 31 and 90 and then continue for between 12 and 24 months depending on​ the​ provider .​
Premiums for mortgage protection can vary greatly too and going with an​ independent specialist provider will get you​ the​ cheapest premiums for the​ cover .​
The premium will be based on​ your age at​ the​ time of​ taking out the​ policy and how much your monthly mortgage repayments are .​
A specialist provider will also have the​ experience when it​ comes to​ selling the​ products which means you​ can benefit from their experience by way of​ reading articles and facts regarding the​ insurance they sell .​
They will also give you​ the​ key facts document and explain the​ exclusions in​ plain English so that you​ are able to​ make a​ decision before buying .​
Ignorance of​ the​ exclusions is​ what caused the​ majority of​ mis-selling and it​ is​ hoped that in​ March 2008 buying mortgage cover and payment protection related products will become easier.
The Financial Services Authority is​ introducing comparison tables which it​ is​ hoped will take some of​ the​ mystery out of​ buying cover .​
The consumer will be able to​ answer a​ series of​ questions which depending on​ the​ answers will lead them to​ buying the​ most suitable type of​ cover for their needs .​
Along with this the​ tables will explain the​ exclusions which exist in​ the​ policy and how much in​ total the​ cover will cost .​
Cover needs to​ be made more transparent if​ mis-selling is​ to​ stop and right now the​ only thing in​ the​ favour of​ the​ consumer is​ an​ independent specialist .​
Never be tempted to​ take out the​ cover that is​ offered alongside your mortgage at​ the​ time of​ taking it​ out,​ you​ do not have to​ buy it​ this way,​ you​ can choose to​ go independently for your mortgage protection cover.

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