What is the difference between life insurance and mortgage protection?

I am looking for some insurance to protect my mortgage and have seen insurers offering mortgage protection plans, is this the same as life insurance cover? I ideally want to cover death and illness.

Question asked by Sally Bishop
Compare Top 10 UK
 Protection
Insurers
 
Takes approx. 60 seconds
Type of Policy
Level of Cover
per
month
Date of Birth
Loading your options...
Thank you for using our Quote Tool
If you need some help, just call us!
T: 02084327333
Our in-house Experts are here to provide Whole of Market Advice!
Our Experts can answer all your questions
Our Experts can send you more appropriate options based on your personal circumstances

Very important if you are either Self-Employed or a Company Director.

Our online quote tool is good but our Experts are better

Oue Experts have access to far more insurers and can often find a better deal offline.

Saves you time, let our Experts do what they are best at

Answered by Tom Conner

Mortgage protection insurance is often used as a general phrase to categorise the various types of mortgage insurances available in the market, one of which being life cover.

The main types of mortgage protection consist of the following:

Mortgage Life Insurance – This type of cover pays out a lump-sum to repay the loan in full should you pass away during the policy term. If taken out as a joint plan the policy would payout should either partner pass away.

Critical Illness Cover – This type of cover is often added to mortgage life insurance so that the plan can payout not only upon death but also if you were to suffer a serious illness or injury. Most plans specify around 35 conditions covered, including cancer, heart attack and stroke.

Mortgage Payment Protection – This plan provides a monthly benefit to cover your monthly repayments should you have to take time out of work due to accident, sickness or unemployment. Policies can usually payout for a maximum of 12 consecutive months.

If you were to combine all three plans this is sometimes referred to as ‘total mortgage protection’ as your loan would be covered for short- and long-term accident & sickness, short-term unemployment and death.

mortgage protection insurance
 
life insurance
 
critical illness insurance
 
payment protection
 
This information does not constitute financial or other professional advice. You should consult your professional adviser or contact us directly on 02084327333 should you require financial advice. It is important to ensure any insurance policy you take out is suitable for your needs.
Compare Top 10 UK Insurers
  Takes approx. 60 seconds
 - 
Need help? 
Call us on 

Frequently Asked Mortgage Protection Insurance Questions

 
I’ve got two houses, one of them I live in and the other I rent out. Is it okay to have a mortgage...
 
I am looking to take out mortgage life insurance and saw there is an option to add critical illness protection....
 
I have just bought a house and wanted to know what type of insurance I need for mortgage protection purposes?...
 
I am looking at life insurance to cover my mortgage but there are so many different types, which one...
Need Help? Live chat now and get an instant answer from our Experts...

Neil
Pensions

Victoria
Insurance
Our Latest Reviews
Trevor Massey
22/01/2019

Excellent service from start to finish. Both Jack & Jake were both helpful and polite through the process. I would recommend Drewberry to family and friends.

Adriana Fouche
31/01/2019

Oliver was great at explaining things, with patience. He called back when he said he would, and spent a lot of time to make sure the policy meets my needs.

Robin Condliffe
12/02/2019

Victoria Slade has been consistently prompt, personable, efficient and a great communicator. It is the first time that we have had straightforward dealings with financial services since becoming qualified doctors 20 years ago. Well done!

We are rated 4.9/5 based on 2024 independent client reviews.
To read more of our independent client reviews click here →
REVIEWS
EXCELLENT
4.92 / 5 Average
2024 Reviews
H CONDLIFFE
Overall Rating
Victoria Slade has been consistently prompt, personable, efficient and a greta communicator. It is the first time that we have had straightforward dealings with financial services since becoming qualified Drs 20 years ago. Well done!
K Szymkiewicz
Overall Rating
Rauri Taylor is Independent Protection Expert who you want to help you with any Pensions, Investments & Insurance. He helped me made right choice.
S Brocklehurst
Overall Rating
Professional service, Oliver seemed genuinely interested in getting the right product for me. I was given plenty of options and everything was described fully when required. I felt no pressure to purchase a product.
G Bigga
Overall Rating
Helpful, knowledgeable and efficient and able to find great prices. I would highly recommend
N Lawton
Overall Rating
Everything was very well organised. Sam took the time to explain all of the options very thoroughly so that I could choose the right policy.