Mortgage life insurance
Need cover for your repayment mortgage? Learn more about decreasing cover and how it can help your loved ones keep your home when you can't be there.
What is mortgage life insurance?
Mortgage life insurance can pay out a cash lump sum after your death. It's designed to give your loved ones enough support to help pay off your mortgage if something happens to you.
How does mortgage life insurance work?
Mortgage life insurance can help pay off your mortgage after your death. It's sometimes called 'decreasing cover'. This means that the amount the policy pays out after your death goes down each month until it ends. So as you pay off your mortgage, the amount of cover you need will go down too.
It tends to be cheaper than other kinds of cover. So you can still make sure your loved ones get the support they need, at a slightly lower cost.
Scottish Widows protection products have no cash-in value at any time. So if the policy ends without a claim, you won't get any money back. If you don't make payments on time, your cover will stop, your policy will end and you'll get nothing back.
How can mortgage critical illness cover help?
You might also want to think about critical illness cover. This kind of cover can pay out a cash lump sum if you fall seriously ill. It could help you and your loved ones pay off your mortgage, and let you focus on your own health and wellbeing.
Decreasing cover
How does decreasing cover work?
Decreasing cover means that the amount your policy pays out goes down each month until it ends. You'll pay the same amount each month.
What’s the benefit of decreasing cover?
Decreasing cover is usually a cheaper kind of cover. It's often used to cover a repayment mortgage. As you pay off your mortgage, the amount of cover you'd need to pay it off will go down. So if you mainly need cover for your mortgage, you could get the support you need and pay less each month than level cover.