ABOUT Decreasing life insurance/Mortgage Life Cover
Decreasing Life Insurance is a type of insurance that is designed to help protect a repayment mortgage. It could pay out a cash sum if the policy holder dies or is diagnosed with a terminal illness with a life expectancy of less than 12 months, during the length of your policy. The amount of cover reduces in line with the way a repayment mortgage decreases with this type of policy.
You can choose the amount of cover you need and how long you need it for. If you’re using Decreasing Life Insurance to help protect a repayment mortgage, it’s important to make sure that the amount of cover matches your outstanding mortgage. You have the option to take out a policy in joint or single names and you can pay your premiums monthly or annually.