Our Mortgage Payment Protection Plan pays up to 150% of your monthly mortgage payments if sickness or an accident means you're off work
If an accident or sickness prevented you from working, any sick pay you receive may only cover you for a limited period, while the mortgage and other related household bills may go on mounting up.
Shepherds Mortgage Payment Protection Plan gives you the option of cover for just your monthly mortgage payments OR an increased level of cover of up to 150% of your monthly mortgage throughout its term - right up to a maximum of £2000 a month - and all payments made are FREE of tax.
Just look at what the Mortgage Payment Protection Plan has to offer:
Choose the level of cover and benefits will be paid throughout the term of your mortgage
Protection can cost from as little as 68p* per £100 of cover. Your premiums are based on the level of benefit you need and the waiting period you choose - from a minimum benefit of £200 a month right up to a maximum of £2000.
Cover just your mortgage or include your other related monthly bills too
You have the option of choosing a level of monthly benefit that meets just your mortgage payments or to include your other household bills as well (eg utility bills, household insurance, etc) up to a maximum of 150% of your normal monthly mortgage level.
Choose the length of waiting time before you receive benefits
You can decide how long a waiting time there should be from the date when you became ill or had an accident to the date when you receive your first sickness benefit eg 4 weeks, 8 weeks up to 52 weeks (but not if you are claiming Mortgage Payment Protection benefits). The longer the waiting time, the lower the monthly premium you will pay.
* This premium relates to someone aged between 18 and 30, with a deferred period of 52 weeks. Premiums will increase on every 5th anniversary after you have reached the age of 30.
All references to taxation are to UK taxation and are based on Shepherds Friendly Society's understanding of current legislation and HM Revenue and Customs practice which may change in the future. Please ensure that you read the full Terms and Conditions of this plan which are available from your financial adviser or by contacting us directly.
Look at an example
Steve and Becky are both aged 36 and have a monthly mortgage payment of £900 and other related bills totalling around £300 a month.
With a deferred period of 13 weeks, they would pay just £32.88 per month to provide cover of £1200.