Protecting your mortgage payments and preparing for the worst.

Taking out a mortgage is one of the biggest financial commitments you will ever make. But have you ever thought how you and your family would cope financially if the unexpected were to happen?

We at Leybridge Limited can help you relax in the knowledge that your family is protected against financial hardship and unnecessary worry about paying your mortgage.

By preparing for these eventualities and taking out the right cover for your situation you are giving your family or business a chance at recovering should the worst happen. The State will offer some support but this will, in many cases, not be enought for you to maintain your standard of living.

Once our Mortgage Advisers have helped you with your mortgage requirements the service we offer at Leybridge Limited goes on.

Protection with insurance

We understand the importance of protecting against the things no one likes to think could happen. That's why we will be talking to you about protecting your mortgage in the unfortunate event of your death by taking out the appropriate insurance cover.

We understand that it may be a difficult time to find extra money to provide this cover and our aim is to ensure that you are given the best possible advice. No hard sell, no hidden costs.

Let us look with you at the various options available through Level Term, Mortgage Protection and Critical Illness Cover.

Level Term Assurance.

Level Term Assurance is an Insurance plan that can pay out a cash sum which will remain constant throughout the plan. You can choose whether the Level Term Assurance plan covers your life only, or the lives of you and another person. Level Term Assurance is a simple, cost-effective form of life cover. It is designed to pay out a fixed cash lump sum should you die or be diagnosed with a terminal illness before the Level Term Assurance plan ends. This offers you a fixed sum assured over a given period of time.

You can use the Level Term Assurance plan to cover a mortgage or any other personal lending. If you use a Level Term Assurance plan to cover a standard capital repayment mortgage you may find you are paying for more cover than you need towards the end of your mortgage. However, it may provide your family with peace of mind knowing they will receive a set lump sum. Level Term Assurance can also be useful if you have a flexible or offset mortgage, where the amount you owe may go up as well as down over time.

You choose the level of Life Insurance at the start of the Level Term Assurance plan and if this is paid out the Level Term Assurance plan will end. If the cash sum has not been paid out by the end of the Level Term Assurance plan, the Level Term Assurance plan will end and you will get nothing back.

Mortgage Protection Cover

Mortgage Protection Cover is a type of decreasing term assurance which is normally taken out to protect a repayment mortgage or business loan. The amount of cover selected at the start of the Mortgage protection Cover plan is normally the same as the outstanding mortgage or business loan.

The level of Mortgage Protection Cover reduces in line with the Insurance Companies policy conditions. The Mortgage Protection Cover should be sufficient to repay the outstanding mortgage or business loan provided that it has not been extended or increased, there are no arrears on the mortgage or loan and that the interest rate during the term has not exceeded that used by the Insurance Company involved. Mortgage Protection Cover is cover that decreases over a fixed period of time. It is often used in conjunction with repayment mortgages or home loans. As the amount of money due to the lender reduces, so does the amount of life cover. This is often referred to as a decreasing term assurance.

Mortgage Protection Cover is often cheaper than Level Term Assurance because the amount which can be paid out (the sum assured) decreases over time.

You can choose whether the Mortgage Protection Cover plan is on your life only or on the lives of you and another person.

Again, if the cash sum is paid out the Mortgage Protection Cover plan will end. If the cash sum has not been paid out by the end of the Mortgage Protection Cover plan, the Mortgage Protection Cover plan will end and you will get nothing back.

Critical Illness Cover

Critical Illness Cover can provide payment of a fixed cash sum if the Life Assured is diagnosed as suffering from a range of specified Critical Illnesses. It can be taken out on its own or attached to either a Level Term or Mortgage protection product.

What would happen to your dependants, your mortgage, loans or your business interests if you suffered a serious illness or injury?

If you take out Critical Illness Cover stand alone under a Level Term Assurance or Mortgage and Business Cover plan, then it will pay out a cash sum if you are diagnosed as suffering from one of a range of specified illnesses during the Critical Illness Cover plan term and survive for 21 days. If you take Critical Illness Cover in addition to life cover on a Level Term Assurance or Mortgage and Business Cover basis, it will pay out a cash sum if you are diagnosed as suffering from one of a range of specified illnesses during the Critical Illness Cover plan term.

You can choose to have Critical Illness Cover on the following terms:

• in addition to life cover
• critical illness only
• single life
• joint life first illness

If the cash sum has not been paid out by the end of the Critical Illness Cover plan, the Critical Illness Cover plan will end and you will get nothing back. The Critical Illness Cover plan has no cash in value.

Details of the illnesses covered and the exclusions that apply will be fully listed in the policy provisions of the Insurance Company.

Payment Protection Cover

Payment Protection Cover can usually be added at the start of a plan. The Payment Protection Cover option ensures that - should you become unable to work for a prolonged period through illness or injury - Your insurer will start to make your payments for you after six months. They will continue to make payments until you return to work, reach age 65 or the plan ends, whichever is earlier. This helps to safeguard your plan and your protection.

The above gives a brief outline of some of the ways we can help you protect your mortgage payments. We will talk to you about your options and will look carefullly at your requirements. We at Leybridge are here to help and to make sure our customers make the right choices for themselves and for their families. Apply now for more information and to talk to our in-house experienced insurance advisor.