Mortgage Repayment Cover has significant advantages when combined with Income Cover.
Most significantly the payments made under this policy do not offset in any way any ACC payment that you may be eligible for.
The insurer will honour this amount even if in the future interest rates fall further and your repayments reduce. Also, they will make the payments monthly in advance.
In addition, if interest rates rise they will allow you to increase your cover with no medical underwriting.
Household Expenses Cover
Household Expenses Cover provides a financial safety net should you be unable to meet your regular household expenses due to total or partial disability.
Similar to Mortgage cover this is extended to cover items such as electricity, water, gas phone, rent, general insurance premiums, personal loan repayments and private school fees.
It will even maintain your Kiwisaver contributions should you choose that option.
If you are currently renting, and – at some time in the future – change to owning your own home and paying a mortgage, you have the option to convert all or part of your HEC to Mortgage cover at no additional cost.
As with Mortgage Cover, there is no offset for any ACC entitlements.
Total & Permanent Disability Cover - TPD
A permanent disability affects more than just your physical body. In addition to being unable to work permanently, loss of income can be as financially crippling as a serious illness or death.
This valuable benefit provides a lump sum to ensure all debts are cleared and any other costs are covered in the event you are permanently disabled.