What is Mortgage Protection?
Niall O'Connor MSc CFP® QFA
Co-Founder
Mortgage Protection Insurance is a life insurance policy that is assigned to your lender and is designed to clear the balance on your mortgage in the event of death of the policy holder. Premiums are fixed for the entire term of the policy. The proceeds of the policy on death will go directly to the bank, with any surplus being paid back to the other borrower or your estate. Over time the cover amount on the policy will reduce in line with your mortgage balance.