Mortgage Protection

Mortgage Protection is a type of life insurance that clears your outstanding mortgage balance should you or your partner die before your mortgage is fully repaid. In Ireland, having this life cover is usually compulsory on all residential mortgages, whereas adding serious illness cover is optional. Our mortgage protection quote calculator quickly compares all mortgage protection quotes on the Irish market!

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Mortgage Protection Comparison Tips
Compare Mortgage Protection Quotes


Mortgage Protection Quotes - top-tips

  1. If a new mortgage, make sure to apply at least one month before the draw-down date, no payments will be taken until after policy issue and we provide the first month free.
  2. If switching to save, apply at any time, with the first month free, we prevent any payment overlap.
  3. Don’t worry about noting your lender’s interest, that’s done by the bank themselves when we email your policy documents.
  4. For the best and most flexible cover always opt for Dual Cover and include a Conversion Option, this gives you the most adaptable cover and only costs a little bit extra, in comparison with standard joint life cover.

Mortgage Protection Insurance Comparison

Mortgage Protection Insurance Options

Mortgage Protection Quotes Comparison

Our quick and simple mortgage protection quotes calculator instantly compares quotes from all of Ireland’s leading mortgage protection providers granting up to 25% full-term discount + the first month free! We compare all possible quote options, so you’re always guaranteed of the cheapest and most suitable mortgage protection policy for you.

Mortgage Protection Benefits Comparison

Easily compare policy benefits from each of Ireland’s leading mortgage protection insurance providers; Aviva, Friends First, Irish Life, New Ireland, Royal London, and Zurich Life.
 

Noting your Mortgage Lenders Interest

Mortgage Protection – Easy Bank Assignment

As part of our mortgage protection insurance service, once your application is processed and you have confirmed your required policy start date, we will send you your original “Policy Certificate” to assign to your bank, allowing them to note their interest.

Choosing the Right Mortgage Protection

Types of Mortgage Protection Insurance

When taking out a Mortgage Protection insurance policy is pays to understand all your options! The phrase “Mortgage Protection” refers to a reducing cover, term life insurance policy. The policy has a term (in whole years) to match your mortgage loan term and the cover reduces as the balance on your mortgage loan decreases.

The minimum bank (mortgage lender) requirement is for a reducing cover life insurance policy, but you should consider all mortgage protection policy types against your own personal requirements, all of which can be quickly compared using our free mortgage protection quote comparison calculator.

Your Policy Options

  1. Life Insurance Only – Mortgage Protection
    This represents the cheapest form of mortgage protection insurance, the life insurance is arranged to match your mortgage loan term, with the life cover reducing in-line with the outstanding mortgage loan.
  2. Joint or Dual Life – Mortgage Protection
    Dual cover as the name suggests means that 2 people are covered under the policy, but unlike joint cover that would pay off the mortgage lender on the first death claim dual cover allows the policy to be continued for a second possible pay-out.
  3. Convertible – Flexible Mortgage Protection
    Including a Conversion Option allows you to extend or reduce your cover term or even to convert to a level cover policy should a switch to interest-only ever be necessitated, or a need for additional family cover. It also allows you to increase your cover by up to 100K if increasing your mortgage and it can be taken with you where switching lender. In addition, if your health was to decline in the future your original health rates will be protected.
  4. Life & Serious Illness Cover – Mortgage Protection
    The same as the reducing cover mortgage protection policy described above, but with optional serious illness cover included. The Serious Illness cover amount is up to you, as it is not a bank requirement but your choice, so it can be less than or equal to mortgage loan life cover amount (minimum 10%).

Switching Mortgage Protection Insurance

Switching Mortgage Protection Provider

Switching mortgage protection can save you thousands over your policy term and we make the switching process simple, with the first month free, to ensure no payment overlap occurs.

Note: You cannot replace policies using the same insurer for a like for like policy, if your replacement quote shows the same insurer, please call us on: 01 845 0049 to discuss your options.

Switching in 4 simple steps:

1. Run your discounted quote and apply online.

2. Start your new policy, as soon as it’s processed and get the first month free.

3. Hand your new Policy Certificate over to your bank, sign their Assignment Notice and tell them to cancel the old policy.

4. Then contact the insurer of your old policy to ensure that the policy is cancelled.

 

Understanding Mortgage Protection – Frequently Asked Questions

What is Mortgage Protection?

Mortgage Protection is a compulsory life insurance policy that your mortgage lender requires whenever you have a mortgage loan against your own residence. The cheapest form of Mortgage Protection policy is a single or joint life policy that will pay out once on death to clear the outstanding mortgage, with the policy then ending.

Does the premium reduce along with the cover?

The term “reducing” refers to the cover amount, not the price, if the cover did not reduce the fixed price would be a lot higher. You can compare the cost of mortgage protection against “level” term life cover to see this for yourself. It would be too complicated to charge a high to low price as your cover reduces so the average price is calculated and charged on a fixed basis.

Should I add optional Serious Illness Cover?

The answer is that’s up to you as your mortgage lender can only insist on a policy with life cover, but we would recommend including this additional protection, if affordable and especially if you don’t have any other Serious Illness cover already in place.

If choosing to do so opt for either 100% or 50% of the life cover amount that way a Serious Claim payout would either clear or half your mortgage repayments. You are four times more likely to get diagnosed with a serious illness before the age of 65 than you are to die. It’s also the cheapest way of having at least some level of serious illness cover in place, which is always preferable.

Also as Serious Illness Cover is not compulsory like Life Cover if you can’t afford to match at least half your mortgage amount, you can opt to cover a percentage starting from 10%.

As a couple, should we opt for Joint or Dual cover?

You will always pay a little bit more for dual life cover versus our unique best priced joint life policy, but dual life has the possibility of 2 payouts rather than a first death claim only pay-out.

Should I add a Conversion Option?

No matter which mortgage protection cover basis you choose, you should always consider including a Conversion Option and especially if you’re under age 40. This valuable option provides that should your financial circumstances change you can extend the term of cover in line with an extended mortgage term or convert from a decreasing term policy to a level term policy to match a new interest-only mortgage. Also, as standard with a convertible policy, you can increase your cover by up to 100K, if moving or increasing your mortgage.

What do I need to give to my bank as proof of my Mortgage Protection?

It’s a simple 3 stage process!

1. Your lender will give you a “Deed of Assignment”, which you complete based on the “Policy Schedule” we supply at document issue.
2. You also give your lender the original “Policy Schedule” and keep only the copy version sent to you separately.
3. Your lender will then email the insurer with the completed “Deed of Assignment” to have their interest noted on the policy.

How long does my quote remain valid?

All quoted premiums assume standard medical acceptance and remain valid up until your next birthday arrives, in which case a very small increase may occur.

When should I submit my Mortgage Protection application?

New Mortgage – Draw Down
If you have approval for a new mortgage, then you need to apply approximately 1 month before you want to draw down on your loan, especially if you have any health issues.

If you have no health issues your Application can be ready with 24hours and your documents issued immediately or held for a start date!

Existing Mortgage – Policy Switch
If you already have your loan and are switching your mortgage protection policy, you should apply straight away and we will time your new policy start date to avoid any cross over in old and new policy payments.

How do I apply for Mortgage Protection insurance?

Run your quote and complete and email return the application form, which is automatically emailed to you. Alternatively, call us on 01 845 0049 to make your application by phone.

What start date should I put on my application?

If switching your policy, then enter a policy start date matching your existing policies next direct debit date.

If it’s for a new mortgage loan, then enter a policy start date corresponding to your intended loan drawdown date. Don’t worry if your loan is delayed you can change this anytime.

When will I receive my policy documents?

You tell us your required start date. Processing your application normally takes a minimum of 2 working days from our date of receipt, or up to 3-4 weeks, if you have any long-term health issues, that may require medical reports. Once you return your application, we will call you to discuss this.

How will I receive my policy documents?

Your policy documents will be posted or emailed as you require. The original Policy Schedule should be given to your mortgage lender and the copy set should be retained for your own records.

What happens if a claim occurs?

If a life insurance claim occurs, the proceeds of the policy automatically go to pay off the mortgage loan and the policy ceases. If there is any surplus left over, it would be paid tax-free to that person’s estate.

If a serious illness claim occurs, the benefit payment is made to your lender. If your Serious Illness cover is equivalent to the mortgage loan amount, your mortgage loan is then cleared, if it’s for a lesser amount, then any balance remains outstanding on the mortgage loan and your mortgage repayments will be reduced.

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