Mortgages uncovered by life insurance

According to the data provided by Sainsbury’s Life Insurance, 43 per cent of mortgage holders in the UK have no life insurance to protect their financial commitments.

It turns out that more than 7.1 million Brits don’t have life insurance cover although their collective mortgage debt amounts to £318bn.

Worryingly, this figure constitutes a 47 per cent jump on the £217bn of mortgages not covered by life insurance four years ago, when the same study was carried out last time.

Lucy Hunter, of Sainsbury’s,  says that life insurance provides financial cover in case the worst thing happen, giving borrowers a sense of security that their dependants could get a lump sum if they were to pass away.

Homeowners are strongly recommended to get life insurance coverage as it will ensure peace of mind that the mortgage debt is paid off upon death, letting loved ones continue residing in the family home.

 


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