St George Home Loan Protection Review
There will be no shortage of people telling you of the risks and the responsibilities involved with home ownership, however, chances are that if you have decided to take the leap into being a mortgage holder, you have already carefully researched and contemplated all the avenues and pitfalls yourself.
Part of this research is considering home loan protection insurance, which will be there to pay your mortgage if you become unable to meet your commitments because of death, terminal illness or a serious medical event, or if you are unable to work because of illness, injury or involuntary unemployment. When you buy a home and take out a mortgage, you don’t only make a commitment to the bank, promising to pay back the money you’ve borrowed from them, you also make a commitment to yourself and your family, that this will be your home, this will be where you build your life together, and that there will always be a safe place to come back to, no matter what.
That is why, no matter what, you need to make sure that your home loan will be paid, and that safety and security preserved, and St George Home Loan Protection plans give you a number of ways to tailor cover and protect the home you’ve worked so hard to create.
How to use St George Home Loan Protection Insurance
St George offers simple and affordable insurance solutions to help you ensure your home remains secure even if you run into financial difficulty. With St George Home Loan Protection you can benefit from:
- A lump sum benefit payout. The benefit of your St George Home Loan Protection policy is paid as a lump sum amount. This allows you or your family to manage your finances as you need to in the moment, applying funds where they are needed most. You can choose to pay off your remaining mortgage amount, pay up just several months in advance, or use the benefit as an ongoing income to pay the mortgage and other household bills.
- Cover for death and illness. You and your family can claim on your St George Home Loan Protection policy if you die, are diagnosed with a terminal illness or you suffer one of the eligible medical events defined in the policy.
- Cover if you can’t work. If you are unable to work because of injury, illness or involuntary unemployment, your St George Home Loan Protection will pay a monthly benefit to help you keep your home loan current. This allows you to keep up with the most important household bills while you recover or find new work, without forcing you to dip into and deplete your savings to survive.
- Choose Life Cover. You can choose from two types of home loan protection insurance with St George, the first is Life Cover, which pays a lump sum benefit if you die or are diagnosed with a terminal illness. With the Life Cover option you can choose a benefit amount up to your approved home loan amount, to a maximum of $750,000.
- Choose Repayment Cover. If you choose the Repayment Cover option for your home loan protection, St George will pay you a monthly benefit if you are unable to work because of illness, injury or involuntary unemployment. The cover benefit is paid as monthly home loan repayments, up to a maximum of $6,000 per month. If you claim on your Repayment Cover in the event of a disability, you will receive a benefit for a total of 24 months for all claims. If you are claiming because of involuntary unemployment, your benefit will be paid for three months, or a total of $6,000 for all claims.
- Joint cover. You can take out St George Home Loan Protection insurance as joint cover when where are two borrowers on the home loan. With joint cover, each person receives a separate benefit amount in the event of a claim.
- Easy and affordable premiums. When you take out a home loan, the last thing you want to be doing is adding another monthly bill to your budget with home loan insurance. However, St George makes it easy and affordable to fit home loan protection into your financial situation, allowing you to include the premium in your home loan borrowings for new loans. Or you can choose to pay your premiums monthly or yearly, by credit card or direct debit. If you are worried about the costs of the insurance, St George can tailor a home loan protection package to your budget, from just $10 per month.
- Recovery Cover. Recovery Cover is included with all Life Cover home loan protection policies. Recovery Cover will pay 2.5% of your Life Cover benefit, or $10,000, whichever is less, if you suffer one of the defined medical conditions: cancer, stroke, heart attack, heart surgery or coronary artery bypass surgery.
Is it possible to make adjustments to the cover once it has been taken out?
You may apply to increase your cover at any stage by writing to St George to request the change. St George may require that you undergo further medical assessment before accepting the application.
If you have selected a single premium option and want to increase your level of cover within the first 5 years, the additional premium will be charged monthly.
If you have chosen the monthly premium option, you may decrease your cover at any stage by notifying St George in writing. The change will take effect on the next premium due date.