Why protect your home loan with Bank of Queensland Mortgage Insurance?
Your mortgage is likely to be one of the biggest investments you will ever make, so you’ll spend countless hours comparing loan products, speaking with lenders and running budgets, to ensure you make the right choice. However, as much as you research and plan, there are plenty of things you can’t anticipate, and as understanding and accommodating as your lender may seem at the time of your application, it will be a major concern if you're unable to pay your mortgage.
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That is why it's important to make sure you protect yourself with mortgage insurance. Mortgage insurance will make your loan payments for you if you’re unable to because you have lost your job, you have been in an accident, you are suddenly ill or in the event of your death. This means you and your family don’t have to live in fear of harassing phone calls and threatening letters, and the possibility of losing your home, when you’re already dealing with a distressing situation.
Why consider Bank of Queensland Mortgage Insurance cover?
When you take out a mortgage, you may be required to also pay for lender’s mortgage insurance (LMI). This insurance protects the lender, not you, in the event that you are unable to pay your mortgage, LMI covers the lender for any costs involved in recovering the value of your loan. If you want to protect yourself, you’re going to need mortgage insurance, which will allow you to meet your loan obligations should an eligible event defined in your policy occur.
On the other hand, Bank of Queensland mortgage insurance will cover your mortgage repayments in the event of death, sickness, accidental injury or involuntary unemployment. This means that you can have peace of mind that you are providing your family with a secure home, regardless of the challenges which might be ahead.
Choose your level of cover with Bank of Queensland Mortgage Insurance plan
With Bank of Queensland mortgage insurance, you can choose from the following levels of cover depending on your individual circumstances:
- Gold Cover: You can apply for gold cover if you are 18 to 61 years old and an Australian resident. You must also be employed by an organisation operating in Australia, and be working at least 20 hours per week in a role which is not casual, temporary or seasonal work. You must also apply to Bank of Queensland for your mortgage insurance within 60 days of the settlement or refinance of your loan. Gold Cover provides a benefit to pay your mortgage in the event of your death, illness, accident, or involuntary unemployment.
- Silver Cover: Silver cover is for Australian residents 18 to 61 years old who are self employed, and working at least 20 hours per week. This level of cover pays a benefit for your mortgage repayments if you die, suffer an illness or an accident.
- Bronze cover: is available to any Australian resident who is 18 to 61 years old and it will provide a benefit in the event of your death.
If you are applying for Bank of Queensland mortgage insurance to cover more than $500,000 in home loan, you may be required to complete an additional questionnaire prior to approval.
Different types of cover available through Bank of Queensland Mortgage Insurance
Remember that each insurer will have different definitions of events that they cover, so make sure that you carefully compare the policies and their inclusions.
Bank of Queensland mortgage insurance covers the following eligible events:
- Life cover: With life cover on your mortgage, you can feel safe in the knowledge that BoQ will pay out your loan if you die. The amount paid out will be in accordance with your benefit limit.
- Interim life cover: This feature will pay the full amount of your loan at settlement if you die between the time you apply for mortgage insurance and the time your loan settles. Your mortgage insurance will pay out the full loan amount, even if you have not drawn down on the full amount yet. Interim life cover only applies if your application would have been approved and the interim period is not more than 180 days.
- Accident and sickness cover: Provides you with the choice and freedom to recover at your own pace after an accident or illness, without having the added stress of worrying about your finances. If you are unable to work for more than 30 days because of accident or illness, BoQ will pay the minimum amount due on your loan after the first 30 days, for up to 36 months. If you are unable to work because of stress, depression or a nervous disorder, your repayments will be met for up to 12 months. You will need a doctor to certify that you are unfit for work.
- Involuntary unemployment: If you have been involuntarily unemployed for more than 30 days your mortgage protection insurance will make your repayments for up to six months, after that first 30 days period. A maximum of six monthly benefits are available within a 12 month period.
Protecting your family home and your ability to meet the loan repayments is straightforward and inexpensive with the innovative offerings of Bank of Queensland mortgage insurance. With this protection plan in place, you can rest assured knowing that your loved ones will be cared for no matter what happens to you.