Mortgage Protector & Dismissal

silentotter

Could anyone tell me please if they know whether mortgage protectors (insurance) would still payout if you lose your job through dismissal?

dmg24

It depends on the reason for dismissal. They will pay out for redundancy, but it would be very unlikely if the reason is due to capability or another disciplinary matter.

withabix

T&Cs will vary from policy to policy as well.

Doesn't help that some employers mis-use capability or disciplinary matters to disguise redundancy as well.

silentotter

What about income replacement plans and the same situation?

GEEGEE8

I'm fairly sure that dismissal is not covered. This is from working as a mortgage advisor 5yrs ago, so things may have changed.
Do you have a leaflet or KFI from when you took the policy out? It should tell you in there.

Emmzi

generally if you are dismissed it is because you have done something wrong so is classed as purposeful on your part. = no insurance payout.

boopopps

I was dismissed for something I have not done and will be taking to it to tribunal but my mortgage insurer will not payout for it, say your not covered for dismissal. I can take a 3 mth holiday and then I will get passed onto the naughty team! I have been dismissed a month and half now and not been able to get 1 interview.

Good luck