Do I have to purchase Mortgage Protection through my bank?
No, y
ou
are free to shop around.
Keep reading to learn the benefits of purchasing mortgage protection through a broker.
Brokers provide full market access & expert advice.
Brokers have access to lender approved mortgage protection, no matter the terms of your loan.
Every bank in Ireland is “tied” to a provider, each with an agreement to offer their customers products from just one specific life company. (with most banks “tied” to either New Ireland or Irish Life).
Not all mortgage protection policies are alike, each life company offers a slightly different set of terms, conditions and ancillary benefits; if you are paying for a policy, you should be paired with the policy that offers you the most benefit. If you purchase through the bank, you have no choice over the terms and conditions.
Brokers can save you time & money
Most brokers, including us, do not charge a broker fee for setting up your policy. We receive commission directly from the life company for facilitating the policy. (this is a win-win-win as the life company doesn’t need to staff local advisers and you don’t have to pay out of pocket for advice)
Too often, I work with people who have over paid on their policy for years because they took a policy offered by their bank and didn’t shop it.
That is not to say that banks aim to charge you more, they simply do not have market access. A broker will shop across all providers for the best product & the best rate.
Case study
I have compared mortgage protection rates between Irish Life and the best market rate available. (I chose Irish Life as it is the most popular provider for banks, including AIB)
Based on rates as of 24/02/2020.
A 30 year old couple, non smokers in standard health. Basic, decreasing term mortgage protection on a mortgage amount of €300,000 over 30 years.
If they take a policy with Irish Life, the monthly cost is €41.13.
The same couple could purchase a policy with a broker for just €29.21 per month.
A total savings of €4,291.20 over the term.
This is not to mention the additional policy benefits they could avail of.
Find a trusted broker, we are not all the same.
If time is a concern, discuss their process up front to ensure your policy will be ready for draw down.
We offer digital proposals to ensure we can provide same day cover as necessary.
We offer advice in office, by phone or email, doing business as it suits you.
Our advisers spend day in and day out working with life companies directly, offering years of experience navigating complex health conditions and lender requirements. Protection is not an “add on” for us, it is what we do.
If you are in need or mortgage protection or think you’re paying too much for your existing policy, call or email me anytime.
Author: Rachel O’ Shea, Protection Manager