Mortgage cover

Here we discuss this different mortgage insurance options you have while you're overseas.

It’s important to make sure that if you’re no longer around to pay the mortgage, your home is protected and your family left secure.

If you’ve an interest-only mortgage, an international life insurance (or term assurance) will repay your mortgage if you die.  It’s very straightforward; just make sure the sum assured is for at least the same amount as you’ve borrowed.

If you’ve a repayment mortgage, an international mortgage protection insurance plan is likely to be the most suitable plan for you.  It works by reducing the amount of insurance over a predetermined number of years (sometimes called a decreasing term assurance).  The sum assured, or amount it pays out if you die, mirrors the reducing amount you owe to your mortgage company, so the outstanding mortgage is repaid if you die.

In recent years international mortgage protection includes a 'terminal illness' benefit. This guarantees a cash sum if you die or are diagnosed with a terminal illness that's likely to result in your death before the international mortgage protection plan ends.

Take care when considering including a partner on an international plan.  If they’re staying in the UK, it’s often a lot cheaper for them to get their own UK based plan than it is to include them on an international plan.

The best way to get the right insurance for your situation is to speak to an independent international insurance broker.

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