Mortgage Life Insurance
Mortgage life insurance, otherwise known as mortgage life cover, is a type of life insurance policy that will pay off your mortgage debt in the event of your death. With ActiveQuote, it is easy to compare mortgage life insurance quotes online from across the market to find the best life insurance mortgage rates for you and your family.
What is Mortgage Life Insurance?
Mortgage life assurance quotes will cover the cost of your mortgage in the event of your death by paying your family a tax-free, lump sum of money.
Do I need Mortgage Life Cover?
You are not required by law to have life insurance for mortgage. However, taking on a debt like a mortgage is a big financial commitment, and mortgage protection life insurance quotes can be a sensible move if you have a partner or dependent children. If you were to pass away unexpectedly before the mortgage was due to be paid off, your mortgage life insurance quote will enable your family to meet the mortgage repayments and prevent them losing their home.
If you live on your own and have no dependents, you may decide you don’t need to invest in life insurance mortgage cover. Mortgage protection insurance might be more suitable for your needs, and will meet the costs of your mortgage if you are unable to work because of illness or injury.
What kind of UK Mortgage Life Insurance Quotes are there?
There are two main types of life insurance for mortgage in the UK: decreasing and level term.
Decreasing mortgage life insurance
Decreasing mortgage life cover is a type of mortgage life insurance quote specifically designed to cover a repayment mortgage. The lump sum payable on death will decrease over time in line with the balance outstanding, reaching zero by the end of the mortgage life cover policy term.
Decreasing mortgage life assurance is often very cost effective. Because the mortgage balance falls over time, the premiums are usually cheaper than the same initial amount of cover for level term. However, because this is a type of term assurance, the mortgage life insurance quote will only pay out if you die within a specified time frame.
Level term mortgage life insurance
Level term mortgage life cover is taken out to cover an interest only mortgage. This type of mortgage life assurance policy will pay a one-off lump sum of money if you die within the term, but the amount stays fixed over time.
How much does Mortgage Life Insurance cost?
The cost of mortgage life cover will depend on a variety of factors, including your personal circumstances when you compare mortgage life insurance quotes. For example, non-smokers will not pay as much because they are less likely to die during the policy term. To be considered a non-smoker you have to go a minimum of 12 months tobacco free. Older people and those with medical conditions may also have higher mortgage life assurance premiums.
If you bought a mortgage life cover policy from your mortgage lender, it might be worthwhile if you compare mortgage life insurance quotes to see if you could find better cover for a lower price. In addition, a joint life mortgage protection policy might not be as cost effective as two policies, so research the market thoroughly before investing.
Already have Mortgage Life Assurance?
If you already have a policy you could still benefit from comparing mortgage life insurance quotes online to see if you are still getting the best offer. You have no obligation to stay with a particular mortgage life assurance company, and it might be that a different provider offers better premiums for the same cover- particularly if your personal circumstances have recently changed.
Compare Mortgage Life Insurance Quotes
Finding the best mortgage life insurance quotes can be a time consuming task, particularly if you compare many different insurers. Luckily, ActiveQuote offers a leading mortgage life cover comparison system which allows you to compare mortgage life insurance quotes from leading UK providers.
If you find it difficult to choose between your life insurance mortgage quotes, one of our experienced life insurance experts would be happy to help.