Mortgage Protection Insurance

Protect Your Mortgage, Protect Your House

Mortgage Protection Insurance or Mortgage Repayment Cover pays your mortgage instalments if you become sick, injured, or disabled and as a result are unable to attend work and pay your mortgage.

Just like you protect your house from unforeseen situations with home and contents insurance it is just as important to protect your ability to pay off your mortgage and keep the house secure. After all, your home is the biggest and most important asset you own.

Why take Mortgage Protection Insurance?

Mortgage Protection insurance can help you ease the financial stress on your family by covering the following costs and expenses:

  • Pay your mortgage – Sickness, Injury, or Disability may affect your earning ability therefore mortgage protection insurance can help you pay off the mortgage instalments and ease the financial burden on your family.
  • No ACC Offset:  Even if you are getting some form of regular compensation or payout from ACC, the insurance company will still payout for your mortgage instalments as long as you meet their claim criteria and will not deduct ACC payments from due mortgage payments.  
  • 110 % of Mortgage Instalments – Most insurance companies allow you to cover 110% of your mortgage instalments meaning you can use the additional money to cover other expenses of your choice.
  • Regular Payouts for a specific period – Insurance companies will payout your mortgage instalments for a specified period. This can range from 2 years up until you turn 65 and your mortgage instalment payouts can start in as little as 4 weeks from the time you lodge a claim.
  • Cover Rental Property – Some companies provide coverage to include mortgage instalments for one rental property in addition to your own home. Any rents you may be getting from the rental property will be factored into the payout at the time of the claim.

How much Mortgage Protection Insurance is sufficient?

To ensure you have sufficient insurance to cover yourself and your family in the event of a disability, sickness or injury, you must take mortgage protection at least equal to your monthly mortgage instalments on your own home.