Benefits of Bank of Melbourne Home Loan Protect Insurance
Buying a house is an important decision, and you want to make sure that you are financially ready and able to meet the repayments required for the many years to come. However, have you got a back-up plan in place should anything happen to you if you are unable to work for an extended period of time? Will your family savings be enough to keep on top of your mortgage repayments?.
The security of your home and family is important to you, so rather than worrying about the future in case something happens to you, you can take tangible steps to protect your family home with Bank of Melbourne Home Loan Protect cover. With Bank of Melbourne, you can have the peace of mind knowing that you'll be able to meet your home loan repayments if you have to take time off work due to an illness, injury or redundancy.
Features of Bank of Melbourne Home Loan Protection Insurance
Home loan protection insurance from Bank of Melbourne pays you your chosen benefit amount if you are unable to work because of illness or injury. You can then use your home loan protection benefit for paying out the mortgage, as well as covering medical bills and other ongoing expenses for your family.
Bank of Melbourne offers the following Home Loan Protection insurance benefits:
- Life Cover: You can choose the type of cover you have with Bank of Melbourne, and you may opt for the Life Cover option, which includes cover to the value of your approved home loan, and starts from the commencement of your home loan. You can have Life Cover with Bank of Melbourne up to the value of your approved home loan of up to $600,000. It also includes additional Recovery Cover to the value of 2.5% of your life cover, or $10,000, whichever is less. Recovery Cover is included in your Life Cover policy for no extra charge and you will be covered for the following medical conditions:
- Heart attack
- Heart surgery
- Coronary artery bypass surgery
- Repayment Cover: The Repayment Cover insurance option with Bank of Melbourne will pay your home loan payments up to the value of $6,000 per month, and includes the following features:
- Disability cover: In the event that you become disabled due to an illness or injury for at least 30 days, a monthly benefit will paid to a maximum of two years.
- Involuntary unemployment cover: If you are made redundant, you will be covered for a total of three months after a 30-day waiting period.
- Terminal illness cover: If you are diagnosed with a terminal illness, or you die during your insurance period, Bank of Melbourne will pay the full benefit amount under your Life Cover policy. A terminal illness must be defined by a registered medical practitioner as having less than 12 months to live, and the benefit will only be paid once on each policy – so if you claim for terminal illness, your family can’t claim again in the event of your death.
- Double cover: You have the option to choose a single cover (for one borrower) or double cover (for both borrowers), and the benefit limits will apply separately to each borrows. In the event of a claim, the benefit will be paid twice.
- Interim cover: Bank of Melbourne will provide an Interim Life Cover while you are waiting for your application to be assessed. A benefit will be payable if the applicant passes away or have been diagnosed with a terminal illness during the interim cover period of up $600,000, depending on the amount of cover that you have applied for.
- Choice of payment options: You can choose between monthly premium or single premium as your payment option. Monthly premium payment can be set up as direct debit and paid per month. Single premium is only available when apply for a home loan through Bank of Melbourne, and it pays for the first five years of cover.
Why Apply for Bank of Melbourne Home Loan Protect Cover?
With Bank of Melbourne Home Loan Protect Cover, you can safeguard your family home and lifestyle that you have worked so hard for, especially when you are unable to work temporarily as a result of an illness, injury or unemployment.
To apply for Bank of Melbourne Home Loan Protection, you must satisfy the following eligibility criteria:
- You are between 18 to 59 years old;
- You are applying for, or have a home loan for residential home;
- An Australian or New Zealand citizen, or are an Australian permanent resident;
- You are working for at least 20 hours per week in your regular employment that you have held for at least 6 months, if you are applying for Repayment Cover.
You also have a 30-day cooling-off period should you change your mind or your policy no longer suits your needs. Any premiums paid to date will be fully refundable, provided that no claim has been made.