The Mortgage Business has revamped its mortgage care accident,
sickness and unemployment (ASU) mortgage protection plan.
The plan offers three levels of cover gold, silver and
bronze and each of these have different deferred
periods. Bronze is the lowest level of cover and has a 45-day deferred
period. Silver has a 30-day deferred period and gold is the highest
level of cover with a 30-day period that is backdated to day one.
Each of the three levels of cover has three options
accident sickness & unemployment, unemployment only
and accident & sickness only. The level of cover chosen
and the option chosen will determine the premium policyholders
Premiums range from £3.72 to £6.04 per £100 of cover with the
bronze option, £3.99 to £6.42 with the silver option and £4.68 to £7.38
with the gold option. The maximum benefit £1,500 a month, which is
paid for up to 12 months in the event of a claim.
Berkeley Alexander's mortgagesafe is a similar ASU mortgage
protection plan, but it offers fewer levels of cover than The Mortgage
Business product which could limit choice for homeowners who want
to protect their monthly mortgage repayments.
Policyholders can choose from 30-day and 60-day deferred periods
and cover is available on an unemployment only basis, an accident
only basis or a combination of the two. It pays out a maximum benefit
of £1,500 a month for one or two years, which may be more useful
where policyholders are out of work for longer periods.
Unemployment only cover with a 30-day deferred period and a benefit
period of one year would cost £4.58 for each £100 of benefit with The
Mortgage Business and £4.25 for each £100 of benefit with Berkeley