You probably wouldn’t think twice about taking out insurance to protect your car or home, but what about protecting your financial commitments?
Many Australians with mortgages do not have adequate cover in place to service their loan in the event they lost their job, suffered a serious illness, injury or death.
It’s important that you take the time to consider how you would meet your loan repayments should the unthinkable happen.
Could your parents assist with repaying your mortgage debt of $2000-$3000 per month?
Will your friends jump into assist with mortgage and other bill repayments? Can they afford it?
How long can you live off your savings and maintain your current lifestyle?
ALI Group's Loan Protection Plan is a simple, easy to understand and affordable solution that provides peace of mind by helping protect you and your family, your assets and your lifestyle.
You may have heard about Lenders Mortgage Insurance (LMI). This protects the lender when you borrow more than 80-85% of the property value. LMI covers the lender in the unfortunate event a borrower is not able to maintain mortgage repayments and defaults on their loan. LMI provides assurance to the lender that the loan will be repaid to them. This would not protect your assets. Though the lender is covered, you would still be at risk of losing your property.
If you would like to discuss Loan Protection Insurance further or get a rough estimate on a policy, please get in touch.
Real life story - Robyn
Globally, cervical cancer is the second most common women's cancer. Each year in Australia approximately 700 new cases of cervical cancer are diagnosed with this disease.
Robyn was unfortunately one of the 700 Australians to be diagnosed with the disease. Fortunately however, Robyn and her husband had decided to take loan protection when they took out a home loan through their mortgage broker. When they considered their situation, they realised that if anything were to happen to one of them they wouldn’t be able to pay their mortgage. The cover enabled them to focus on Robyn’s recovery without having to worry about losing their home.