If you want to protect the roof over your head and make sure that if you lose your job due to being laid off, getting sick for a long time, or being in an accident, you'll still have the money each month to keep paying your mortgage, you should think about getting mortgage protection from a separate company.
Mortgage protection is also called MPPI, which stands for mortgage payment protection insurance. It can be bought for a monthly premium that is based on things like your age when you buy the insurance and how much your monthly mortgage payments are. The insurance would start to pay out after a certain number of days, which could be day 31 or up to day 90 of being out of work continuously.
Mortgage protection cover gives you a tax-free income, so you don't have to worry about losing your home if you fall behind on your mortgage payments and get behind on your mortgage payments. Homeowners think that if they lost their jobs, the state would step in and help. Homeowners can get some financial help if they qualify, but it's rarely enough.
Mortgage protection can give you a safety net in case something goes wrong, but you need to make sure that a policy is right for you. There are some things that aren't covered, which could stop you from making a claim. Some of the most common reasons are having part-time work, being retired, or having a medical condition that was already there. You can usually find the exclusions in the fine print of a mortgage protection policy. It is important to read the fine print and the main facts of a policy before you buy it to make sure it will meet your needs.
