What amount should I insure for mortgage protection?

The figure to insure is the amount you are borrowing from the bank, minus your deposit. For example, if your property costs €540,000 with a €54,000 deposit, you would insure €486,000.

Mortgage Protection policies are designed to track your mortgage decreasing over time, so the cover remains higher in the early years when you’re paying more interest than capital. The life company uses an assumed interest rate of 6% to allow for fluctuations over time, ensuring there will always be sufficient cover to pay off your mortgage in the event of death during the term.