Countrywide Insurance Services MortgageCare Exclusive to Countrywide Proud to be associated with www.countrywideinsurance.co.uk
Information booklet MortgageCare Buying a home is probably the largest financial commitment you are likely to make. Are you worried about what would happen if you were unable to work and couldn t meet your monthly mortgage payment? Are you worried that you might become unemployed or that an unexpected accident or illness could hit you? You also know in such times your expenses tend to increase and make things more difficult. MortgageCare could help take away those worries by providing monthly covers that help protect you against the financial risks of accident, sickness and unemployment. Please ensure that you read the policy summary and note the significant or unusual exclusions or limitations on page 6. This Payment Protection Insurance is optional. There are other providers of Payment Protection Insurance and other products designed to protect you against loss of income. For impartial information about insurance, please visit the website at www.moneyadviceservice.org.uk. 2 Contents Options 3 Policy summary 4 Other helpful information 9
MortgageCare Accident and sickness cover Unemployment only cover Accident, sickness and unemployment cover This cover can help you to continue to meet your mortgage repayments for a period of up to 12 months per claim in the event of you being unable to work because of accident or sickness. This cover can help you to continue to meet your mortgage repayments for a period of up to 12 months per claim in the unfortunate event of you becoming involuntarily unemployed. This cover helps provide peace of mind by combining the benefits of accident and sickness cover with unemployment only cover. 3
Information booklet Policy summary 4 This policy summary does not contain full details and conditions of your insurance these are located in sections 2-11 of your policy booklet. Where a heading is underlined in this policy summary, full details can be found in your policy booklet under the same heading. It is essential that you refer to the exclusions relating to medical conditions and voluntary unemployment which appear in the Significant or Unusual Exclusions or Limitations section of this policy summary. Remember to review the policy document from time to time to ensure it still meets your needs. This policy is underwritten by AXA Insurance UK plc, which is authorised and regulated by the Financial Services Authority. Type of Insurance This insurance provides financial benefit to assist you in meeting your mortgage repayments and other monthly outgoings, up to the limit of your cover, in the event of unemployment (resulting from involuntary redundancy if you are employed or business failure if you are self-employed) or accident or sickness for a period of up to 12 months per claim your schedule of insurance will show which option or combination of options you have selected. Duration of Cover This policy is for a period of one year. It will automatically expire at the end of your annual period of insurance. If, at the end of your annual period of insurance, we decide not to offer renewal, we will write to you advising you of this at least 60 days before your period of insurance ends. If, at the end of your annual period of insurance, we decide to offer renewal, then at least 60 days before the end of your period of insurance, you will receive details of your cover for the next 12 months, together with a new schedule of insurance. If we do offer renewal, please note that your new policy may contain different cover, benefits, exclusions and/or other terms to those of this policy, and we may charge a different premium. Any new terms will be detailed clearly to you in good time before renewal, so that you can decide whether to accept the new policy or not. Extent of cover Please note that the maximum benefit you are able to claim under this insurance policy is an amount equal to 12 monthly benefits as shown in your schedule of insurance. You are eligible for this insurance provided that, at the inception date and at each subsequent start date as defined in Section 2 Meaning of words of your policy wording, you: are aged 18 or over and under 65; and have applied for a mortgage or already have a mortgage to protect; and are permanently resident in the United Kingdom, the Channel Islands or the Isle of Man; and are working in paid employment or self-employment in the United Kingdom, the Channel Islands or the Isle of Man and have been continuously employed for at least the previous six months (if you are on holiday, are on statutory maternity leave from your employment, or making an unemployment claim you will still meet this condition). We will consider you to be self-employed if you are actively working for profit in a business or profession, alone or in association with others and paying Class 2 National Insurance Contributions and being assessable to Income
MortgageCare Tax under Schedule D Case I or II; or a non-salaried partner in a partnership or a director of (or someone who has a shareholding in) a private limited company with an issued and fully paid share capital of less than 1,000. We will consider you to be employed if you are in paid work; working for a minimum of 16 hours per week and paying class 1 National Insurance contributions: i) on a permanent contract of employment; or ii) on a fixed-term contract; or iii) as a director (not covered by the definition of a self-employed person) who is salaried and employed on a permanent basis and has no control over his/her own contract of employment; or iv) as a partner who is salaried and employed on a permanent basis and under a contract of service and has no control over his/her contract of employment; or v) as a trainee with a permanent contract of employment. Features and Benefits Mortgage Payment Protection Insurance could assist you in meeting your mortgage payments and other monthly commitments, up to the limit of your cover, for up to 12 months if you become unable to work as a result of disability caused by an accident or sickness or unemployment. Section 4 Accident & Sickness Cover What is Covered If during the period of insurance you become unable to work due to an accidental injury or sickness that lasts for longer than the deferred period, and this is certified by a doctor, then we will pay 1/30th of the monthly benefit for each further day that the disability continues, commencing from the day after the deferred period has ended. Benefit will be paid monthly in arrears throughout the continuance of the disability until you return to work or an amount equal to 12 monthly benefit payments for any one claim has been paid, whichever occurs sooner. Where we have paid less than an amount equal to 12 monthly benefit payments for a claim for any one disability; you must have returned to work for at least one month before you can claim again for a different unrelated disability; or and there is a recurrence of the same disability within three months of your return to work, your claim will be treated as a continuation of the original claim. The deferred period will not be re-imposed and in total we will pay an amount equal to 12 monthly benefit payments. This process will be applied whether or not these periods of disability occur in the same period of insurance. Following a claim under this or a previous Countrywide MortgageCare policy for which you have been paid an amount equal to 12 monthly benefit payments, you must have returned to work for at least; six months before you will be entitled to claim again for the same disability; or one month before you can claim again for a different unrelated disability; or one month before you are able to claim under a different section of this policy. Please refer to the definitions of period of insurance and deferred period under Section 2 Meaning of words of the policy document. 5
Information booklet Policy summary continued 6 Section 5 Unemployment Cover What is Covered If during the period of insurance you become unemployed (resulting from involuntary redundancy if you are employed or business failure if you are self-employed) and your unemployment continues for longer than the deferred period then we will pay 1/30th of the monthly benefit for each further day that your unemployment continues, commencing from the day after the deferred period has ended. Benefit will be paid monthly in arrears throughout the continuance of unemployment until you return to work or an amount equal to 12 monthly benefit payments for any one claim has been paid, whichever occurs sooner. If there are less than three consecutive months of employment or self-employment between two periods of unemployment, we will treat these two periods as one claim. We will not pay any benefit for the time you were in employment or self-employment between the two periods of unemployment. The deferred period will not be re-imposed and in total, we will pay a maximum amount equal to 12 monthly benefit payments. This process will be applied whether or not these periods of unemployment occur in the same period of insurance. Following a claim under this or a previous Countrywide MortgageCare Policy for which you have been paid an amount equal to 12 monthly benefit payments, you must have returned to work for at least; six months before you are able to claim again for unemployment; or one month before you are able to claim under a different section of this policy. Please refer to the definitions of period of insurance and deferred period under Section 2 Meaning of words of the policy document. Significant or Unusual Exclusions or Limitations There are some situations where you will not be able to claim. The most significant exclusions of this policy are set out here but you can find full details of these exclusions in your policy booklet. There may be other exclusions that are not listed here that are significant to you, so you need to check the policy booklet for full details. The maximum amount we will pay is the sum insured shown on your schedule of insurance, although cover is subject to an overall maximum monthly payment of 2,000 or 60% of your gross monthly salary, whichever is the lower. If the policy is in joint names, each person will be covered for the benefit amount shown against their name on the schedule of insurance. For further information please refer to your schedule of insurance and the definition of monthly benefit under Section 2 Meaning of words of the policy document. Section 4 Accident & Sickness Cover What is Not Covered We will not pay benefit for disability arising directly or indirectly from: any medical condition, injury, illness, disease, sickness or related condition and/ or associated symptoms, whether diagnosed or not which you; a. knew about or should reasonably have known about at the inception date; or b. have seen or arrange to see a doctor about during the 12 months before the inception date of this policy; and which persists or returns during the first 12 months of cover; or any chronic condition that you knew about or should have reasonably known about at the inception date, whether requiring medical attention at that time or not. A chronic
MortgageCare condition is defined as any condition, injury, illness, disease, sickness or related condition that has at least one of the following characteristics; a. continues indefinitely; or b. is constant and controlled rather than cured; or c. has symptoms that recur and have required consultation, treatment, advice or care in the past; or d. requires long-term monitoring, treatment, consultation, check ups, examinations or tests; or any mental or nervous disorder including anxiety, stress or depression unless investigated and diagnosed by a consultant specialising in the relevant field; or any back complaint or associated condition unless investigated and diagnosed by a consultant specialising in the relevant field; or any disability lasting for less than the deferred period - please refer to Section 6 General Exclusions. Please refer to the definitions of pre-existing condition, chronic condition, inception date and deferred period under Section 2 Meaning of words of the policy document. Section 5 Unemployment Cover What is Not Covered We will not pay monthly benefit for any period of unemployment: if your unemployment occurs, is notified to you, or the risk of unemployment is notified to you within 30 days of the inception date; or which you knew of, had received notification that you are to be made unemployed or had received notification that you were at risk of being made unemployed at the inception date; or if as a self-employed person you cannot produce satisfactory evidence that you have ceased to trade; or caused by your resignation, voluntary unemployment or voluntary redundancy; or which is a normal incident or seasonal occurrence in your line of work; or commencing at the expiry of a fixed-term contract. This exclusion will not apply if you have been employed on a fixed-term contract with the same employer: for at least 12 months that has been renewed at least once; or for a continuous period of at least 24 months; or to which you were transferred from a permanent contract of employment with no break between contracts; or for which payment in lieu has been received; or where you are not registered as unemployed and actively seeking re-employment; or lasting for less than the deferred period - please refer to Section 6 General Exclusions Please refer to the definitions of ceased to trade, inception date and deferred period under Section 2 Meaning of words of the policy document. Cancellation Period You are free to cancel this policy at any time. To do so please contact Countrywide Insurance Services at Countrywide House, 88-103 Caldecotte Lake Drive, Caldecotte, Milton Keynes, Buckinghamshire, MK7 8JT on 01908 961399*. 7
Information booklet Policy summary continued Please see Section 11 General Conditions of the policy document for full details of how to cancel. Claim Notification To register a claim contact 0870 850 4846*. Full information about the compensation scheme arrangements are available from the FSCS (www.fscs.org.uk). *Calls may be monitored or recorded. Call charges will apply and will vary. Customer Care Countrywide Insurance Services and AXA Insurance care about the service provided to you. We make every effort to maintain the highest possible standards. If your complaint relates to this policy or the sale of this policy you need to contact Countrywide Insurance Services, Countrywide House at 88-103 Caldecotte Lake Drive, Caldecotte, Milton Keynes, Buckinghamshire, MK7 8JT on 01908 961399*. If your complaint relates to a claim on this policy you need to contact AXA Insurance, Creditor Claims, 1st Floor, Civic Drive, Ipswich, IP1 2AN. Telephone 0870 850 4846*. If you have received a final response and you are still dissatisfied you may refer your case to the Financial Ombudsman Service. Full details of our customer care procedures and contact details can be found in Section 12 Customer Care of the policy document. 8 Financial Services Compensation Scheme (FSCS) AXA Insurance UK plc is covered by the Financial Services Compensation Scheme (FSCS). You may be entitled to compensation from the scheme in the unlikely event we cannot meet our obligations to you. This depends on the type of insurance, size of the business and the circumstances of the claim.
MortgageCare Joint Mortgage For a joint mortgage where both customers are eligible for cover the borrowers can select the apportionment of the benefit (i.e. 90/10, 70/30), subject to this amount not exceeding 60% of their gross monthly salary. What does it cost? Not as much as you might think. The cost is linked to your monthly mortgage payment. Additionally, you have the option to protect an amount equivalent of up to a further 100% of your monthly mortgage repayments. This is to cover associated costs such as household insurance premiums and other related expenses (subject to an overall maximum monthly payment of 2,000 or 60% of your gross monthly salary, whichever is the lower). You should be aware that if you make a claim under this policy and also apply for any means-tested state benefits, the government agency dealing with your claim may treat some or all of the monthly benefit you receive from us as income when calculating your benefit entitlement. A quotation is available from Countrywide Insurance Services. Premiums are payable monthly by Direct Debit without charge. Premium amounts quoted include 6% Insurance Premium Tax. Accident & Sickness Only: 4.29 per month per 100 of benefit Unemployment Only: 4.54 per month per 100 of benefit Accident Sickness & Unemployment: 6.56 per month per 100 of benefit What happens if you have a claim? When you have taken the cover you will be given a policy document which will tell you how to claim. Insurance Provided By AXA Insurance AXA Insurance is a trading name of AXA Insurance UK plc Registered in England No. 78950 Registered Office: 5 Old Broad Street, London EC2N 1AD A member of the AXA Group of companies The Policy document A full copy of the policy document and complaints procedure is available on request. Cancellation Fee Please note that Countrywide Insurance Services reserve the right to charge a cancellation fee of 25.00 if the Policy is cancelled within the first 12 months. Telephone calls Your telephone calls may be monitored or recorded. This leaflet is a summary It does not describe all of the benefits available, nor does it show all of the limits and exclusions. What happens if I move? One of the benefits of this policy is that it is portable and therefore, should you redeem your current mortgage, you will be able to transfer the benefits to cover your new mortgage regardless of the lender. Please contact Countrywide Insurance Services advising us of your new details on 01604 746300. Law You and we can choose the law which applies to this policy. We propose that English law applies. Unless we and you agree otherwise English law will apply to this policy. 9
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