5 Qualities that Disqualify a Person for Mortgage Payments Insurance

Mortgage Payments Insurance is also known as ASU cover. ASU stands for Accident, Sickness, and Unemployment. Apparently, it is already a fact that these three occurrences happen when you least expect it, or during difficult times. It is for this reason that this insurance is designed to help the insured individual meet monthly mortgage payments on time, even if he is out of work.

Unlike Loan Payment Insurance, payment insurance on mortgage is primarily focused on protecting mortgage. Being within the age of 18 and 64 years old and having a U.K. residency are not the only qualifications needed for you to purchase an ASU cover or MPI. Here are 5 qualities that disqualify a person from applying for an MPI.

1. If a person has a pre-existing medical condition. Other companies would not qualify a person if a medical condition exists on or before day 1 of the insurance policy. Such medical condition is excluded from making a claim.

2. People working on a non-renewable work contract, are self-employed, holding part time jobs, or short-term contract. A stable job is required for the policy to exist.

3. Individuals who are below 18 years of age and above 64 years old, as well as those who have already retired from work. Older people are high risk clients, in terms of health. Retired individuals are automatically disqualified because they already eligible to receive pension.

4. If the amount of savings is already substantial. Insurance coverage is only up to 12 months, and those who have savings, is capable of covering any costs incurred for that period.

5. Individuals already informed publicly that they are to be made redundant. This means that claims can be made while the person is working in a small company; however, prior to any claim, there should be at least six months of payment.

Mortgage payments insurance covers numerous criteria that should be met before a person qualifies for a mortgage payment plan. However the above-written qualities may not apply to some companies. With the world\'s financial condition, some companies are stretching a bit to accommodate everyone who needs assistance in these difficult times. As such, instead of being covered and insured for sickness, disability, and unemployment, some policies only cover sickness and disability, or unemployment only depending on what your needs are; and there are also policies that lets you choose whether you would like to receive payments for accidents only, unemployment only, or for sickness and accidents only.

If you think that this is not the right insurance for you, then, do not let yourself go on with the purchase just because your friends say so, or your insurance agent is so persistent that you cannot say no. The reason for purchasing any insurance policy should always be because you need it and you believe that it is indeed going to be very helpful when the unfortunate moment comes. There is no harm in saying no. You only harm yourself if are not able to make a well-informed purchase.