Free life cover is provided automatically at no extra charge on all our mortgage related plans, and provides cover between exchange of contracts and completion (or conclusion of missives in Scotland).

Free life cover provides vital protection for your client’s dependants if the life assured dies before completion on a property purchase and before their mortgage protection plan starts.

Once exchange of contracts has taken place the life assured has a legal responsibility to complete the purchase. If the life assured died before completion the lender could withdraw the mortgage offer, leaving the dependants without the funds to purchase the property. This free life cover facility aims to help protect the dependants from such a situation.

Provided the life assured is accepted on standard terms for one of our mortgage protection plans,  and we’ve received all the requirements to put the policy on risk, we’ll provide free life cover between exchange and completion (or conclusion of missives in Scotland).

The amount  we’ll pay out will be the sum assured applied for, the amount of the loan or £300,000 whichever is lower.

Free life cover is provided for up to 90 days between exchange and completion (or between conclusion of missives and date of entry in Scotland). The following conditions apply:

• The life assured should be under 55 when the mortgage is taken out (older life for joint life plans).
• No other plans covering the same mortgage can be in force or applied for.
• The duty of disclosure still applies until completion (or date of entry for Scotland).

For critical illness policies or term assurance policies where critical illness is added as a rider, this cover will be for death only.

Once a claim for free life cover has been paid, no further benefit will be payable. All claims will be investigated.

In the event of a claim we’ll only pay out on one of the following, accidental death benefit, free life cover, immediate cover or the policy applied for, not on all four.