Life Insurance, So Your Mortgage Isn't Someone Else's Problem
Nobody wants to think about this, and that’s exactly why it’s worth ten minutes now. Life insurance means that if you die during the mortgage term, there’s a lump sum available so your family isn’t left trying to keep the house while grieving, or trying to sell it because they can’t.
We’ll help you work out how much cover makes sense and which type genuinely fits your mortgage, not just sell you whatever pays the highest commission.
The Main Types, in Plain Terms
Decreasing Term
The payout reduces roughly in line with your mortgage balance. This is usually the cheapest option and a common match for a standard repayment mortgage.
Auction purchases
The payout stays the same throughout the term. Ideally suited to interest-only mortgages, or if you want to leave extra cover for your family beyond the debt.
Buying before selling
Instead of a lump sum, this pays out a regular monthly tax-free income for the rest of the term, making it much easier for a family to manage day-to-day.
How Much Cover Do You Actually Need?
The starting point is usually your outstanding mortgage balance, but it’s worth thinking beyond that too: ongoing bills, childcare, or simply giving your family breathing room to adjust rather than the bare minimum to clear the mortgage. We’ll talk through your actual situation rather than hand you a generic formula.
Writing Your Policy in Trust
Putting a life insurance policy in trust means the payout can go directly to your family rather than through probate, which is usually faster and can avoid inheritance tax on the payout. It’s a simple step that’s easy to overlook, so we’ll always raise it as part of setting up your cover.
Why Families Trust Us with This Conversation
We explain it without the scare tactics
This is a hard enough conversation without sales pressure. We’ll lay out your options clearly, in plain language, and let you make the decision in your own time.
We look at your whole situation
A joint mortgage, a sole income, young children, these all change what makes sense. We factor in your actual circumstances rather than a standard one-size answer.
We stay available, not just at setup
If your circumstances change—more children, a new mortgage, a pay rise—your cover should keep up. We are still here for that ongoing conversation.
Life Insurance FAQs
Do I need life insurance if I have a mortgage?
It’s not legally required, but if anyone relies on your income to keep up mortgage payments, it’s worth serious consideration. Without it, your family could be left having to sell the home to clear the debt.
What's the difference between decreasing and level term cover?
Decreasing term cover reduces over time roughly in line with a repayment mortgage balance, and is usually cheaper. Level term cover stays the same throughout, better suited to interest-only mortgages or wider financial protection.
Can I get life insurance with a pre-existing health condition?
Often, yes, though it may affect your premium or require additional underwriting. Different insurers assess health differently, so it’s worth talking to us before assuming you’ll be declined or charged more than necessary.
Should I write my policy in trust?
For most people, yes, it usually means a faster payout for your family and can help avoid inheritance tax on the proceeds. We’ll talk you through the paperwork when we set up your cover.
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A straightforward conversation, in your own time, about what would actually help your family.
Prefer to talk right now? Call 0800 1 777 333