Please note that JAM Mortgages is only authorised to advise on general insurance. For investment backed insurance policies we recommend that you contact an Independent Financial Adviser.
 
An Insurance policy is one that protects against something that might happen.
An Assurance policy is one that protects against something that will definitely happen.
 
MPPI/ASU - Mortgage Payment Protection Insurance or Accident, Sickness and Unemployment cover pays out in the event that you are unable to work for reasons specified in the policy documents. The policy will only cover the amount of your monthly mortgage payments and a small amount more and will have a deferred period before payments commence. The premium you pay will depend on your circumstances and the amount of your mortgage. It is important to note that these policies are not valid if you voluntarily resign from you job.
 
Term Assurance - This is a form of life cover that will pay out an agreed sum in the event of your death during the term of your mortgage. It can be level, ie the amount paid out remains constant during the term of the policy, or decreasing in which case the amount paid out will decrease, usually in line with the balance of your mortgage (on repayment basis). Decreasing term assurance is usually the cheapest form of life cover. It is important to note that this type of policy only pays out on death so there is no payout at the end of the term if death hasn't occurred.
 
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