This Payment Protection Insurance is optional. There are other providers of Payment Protection Insurance and other products designed to protect you against the loss of income. For impartial information about insurance, please visit the website at

Taking out a mortgage is a lasting commitment and if you worry about falling ill or being made redundant and not being able to afford their monthly payments – Accident, Sickness & Unemployment Cover can protect against this.

How does it work?

Mortgage Payment Protection Insurance (MPPI), sometimes called ASU (Accident Sickness, Unemployment) pays your mortgage for a limited time, typically 12 months, normally after a deferred period of 30 days if you are unable to work due to accident, sickness or unemployment.

If your mortgage is in your name only, or you have a joint mortgage and you are the only person who is eligible for cover, we will issue single cover in your name.

The benefit split options under the policy

If your mortgage is in joint names and both of you are eligible for cover, you can:

  • Take out single cover in your name (provided that you are the main income earner)
  • Take out split cover in joint names and you will both be insured for a percentage of the monthly benefit. If you make a claim, we will divide your monthly benefit in the same percentage as the normal income of each person at the start of the claim.

What type of cover do you require?

There are three different levels of cover:

  • You can take out unemployment and disability insurance and this option will give you the maximum level of protection in the event of a claim.
  • You can take out unemployment only cover at a reduced cost, but if you do, you will not be able to make a claim for disability under the policy. If you suffer a disability during a period of unemployment, your monthly benefit payments will be suspended until you are able to actively continue seeking work.
  • You can take out disability only cover – at a reduced cost, but if you do, you will not be able to make a claim for unemployment under the policy. If you become unemployed during a period of disability, you will only continue to receive monthly benefit payments while you remain disabled.

Important mortgage facts to remember

If your mortgage has been in force for more than 30 days at the policy start date, you will be classed as an existing borrower. As an existing borrower, you will not be insured for any unemployment that occurs within 3 months of the policy start date. This is known as the initial exclusion period for unemployment.

Find out more about Sickness, Accident & Unemployment Cover, call 01708 504455 or email Gary Taylor on