Protection

Mortgage & Protection Advisors

If you are looking for Life insurance then you have come to the right place. Prospect Tree Mortgages are experts in protection and can offer you advice tailored to your unique situation. Please read on to find out about the different types of life cover that are available.

Life Insurance specialists

Why is life insurance important?

As professional mortgage advisors we must consider all outcomes throughout the life of your mortgage. In instances where your family would be financially worse off if you were no longer here, it is important to take steps to ensure that they are not.

After all, it is not about what you need, it is about what your family needs if you are no longer here. You don’t buy life insurance because you are going to die, but because those you love are going to live.

Life Insurance

​​Life insurance will provide a sum of money in the event of death during the term of the policy.

The sum is currently paid under current legislation tax free (tax year 2019/2020) and can be used by your dependents however they choose.

There are two main ways in which this cover is arranged;

1) A decreasing term assurance policy pays out a cash sum in the event of death, however the amount paid out decreases over time. These policies are usually taken alongside a repayment mortgage so that the amount paid out is the same as the amount outstanding on the mortgage. As the amount of cover decreases over time, the premiums for decreasing cover are typically cheaper than level term cover. 

2) A level term assurance policy is where the amount of cover stays the same throughout the length of the policy therefore the premiums are usually higher than decreasing term assurance. 

Critical Illness Insurance

Critical illness cover supports you financially if you’re diagnosed with one of the conditions included in the policy. The tax-free, one-off payment helps pay for your treatment, mortgage, rent or changes to your home, such as wheelchair access, should you need it.

If the worst does happen, it’s important to make sure you’re covered against critical illness and any impact it could have on you and your family. Critical illness insurance will provide a tax free (tax year 2019/2020) cash sum in the event that you are diagnosed with one of a set list of critical illnesses. 
This cash sum can be used however you need to use it. It could be used to clear a mortgage, or it could be used to replace a lost income, to pay for private treatment or for whatever else you feel is required. Essentially it is there to make a really difficult time a little bit financially easier and to allow you to concentrate on what is really important like getting better or spending time with the family rather than worrying about the money side of life. 

Like life cover, critical illness cover can be a fixed (or “level”) sum or can fall in line with your mortgage balance (“Decreasing”) and you can either take it alongside life cover or as a standalone option. You don’t even need to fully cover the mortgage balance if your budget is tight, you could always just do a years’ salary, after all some cover is better than none. There are differences between providers as to their definitions as well as the additional benefits that are available so it is not just a question of looking for the cheapest policy, but making sure you have the best level of cover you can get for your budget. 

​It is always vital that you speak to a financial advisor when taking out such an important insurance. Call us on 0800 8620 840

Income Protection

​Ill health can happen to anyone, at any time. In fact, every year almost half a million people in the UK suffer an injury or a serious illness that means they can’t work for a month or more. Income protection could provide you with an income during these difficult times. 

​An income protection policy pays out a monthly income to replace a proportion of your salary in the event that you are unable to work as a result of an accident or sickness. 

​It will pay out after a set amount of time has passed (which is decided by you at the start of the policy) and will continue to pay until you are either well enough to return to work, you reach retirement age or at the end of the policy term. This means that you have peace of mind of a regular on-going income to maintain your lifestyle should you fall ill, or have an accident and need to take time off work. 

​Statutory sick pay in the UK is £94.25 a week. Would that cover your mortgage? Your car insurance? Your bills? Is that enough to feed your family? If the answer is no, Protect your income! 

Call us today on 0800 8620 840

Home Insurance

There are two types of house insurance: buildings and contents cover. Buildings insurance covers the structure of your home, so the roof, walls and windows. Buildings insurance policies vary, but they should all insure your home in case of fire, storm, flood, subsidence, burst pipes, theft and falling trees.


Talk to an expert

Get in Touch

contact@ptmortgagesltd.co.uk

0800 8620 840

Acorn Barn, Wembdon Business Park, Smeeth
Ashford, Kent, TN25 6SZ

Opening Hours

Monday
9:00 am – 5:00 pm
Tuesday
9:00 am – 5:00 pm
Wednesday
9:00 am – 5:00 pm
Thursday
9:00 am – 5:00 pm
Friday
9:00 am – 5:00 pm
Saturday
Closed
Sunday
Closed