 |
 |
|
|
|
|
|
|
|
|
|
|
Info
Becoming unemployed can cause many problems, not least
the fact that there simply may not be any money to pay the
bills, or buy essentials like children's shoes, food and
petrol.
You do not have to have a mortgage to take out an Income
Protection policy. You can cover your rent payments and other
household bills. You can buy cover to protect your income if
you have an accident or become ill and cannot work, if you
become unemployed, or to provide full cover for accidents,
sickness and unemployment. The terms and conditions under
which you can claim differ with every policy, so you should
always check them very carefully.
The Benefit period is the length of time you can claim monthly
payments for, and these vary for each policy. You can select
the time period you want to be covered (1 year, 2 years etc)
but the longer you want the cover for, the more expensive the
premiums will be.
There is also an Exclusion Period, sometimes known as an
Excess period. This is the time you have to wait to start
receiving benefits from the policy after you have become ill,
had an accident or become unemployed. Again, this can vary
from having no exclusion period to 30, 60 or 90 days. In some
instances, this can be even longer.
Mortgage Protection
Becoming unemployed can cause many problems, not least the
fact that there simply may not be any money to pay the bills.
Most people will agree that their home is their most important
material possession, yet if mortgage payments cannot be made,
the security of a home can be taken away.
You cannot rely on state help to cover your mortgage payments
if you cannot work. There is no help for the first nine months
of unemployment or disability for mortgages taken since
October 1995. Existing borrowers only qualify for benefit if
they qualify for Income Support.
You can buy cover to protect your mortgage payments if you
have an accident or become ill and cannot work, if you become
unemployed, or to provide full cover for accidents, sickness
and unemployment. The terms and conditions under which you can
claim differ with every policy, so you should always check
them very carefully.
The Benefit period is the length of time you can claim monthly
payments for, and these vary for each policy. You can select
the time period you want to be covered (1 year, 2 years etc)
but the longer you want the cover for, the more expensive the
premiums will be.
There is also an Exclusion Period, sometimes known as an
Excess period. This is the time you have to wait to start
receiving benefits from the policy after you have become ill,
had an accident or become unemployed. Again, this can vary
from having no exclusion period to 30, 60 or 90 days. In some
instances, this can be even longer.
Most providers will cover your mortgage payment and a little
extra for mortgage related bills, such as pensions, insurances
etc. They usually offer an extra 5, 10 or even 25% but may
have conditions on what this money can be used for.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
.gif){kind=spacer}
