Insurance taken out by a borrower to protect them against the inability to pay
the mortgage payments in the event of sickness disability or unemployment due to
As such this cover would be more appropriately called accident, sickness and
redundancy insurance due to the fact that unemployment cover is generally
restricted to events that are entirely beyond the control of the insured person.
Typical exclusions include dismissal following professional misconduct and any
act of voluntary redundancy. The accident and sickness cover could also be
subject to restrictions such as any act of self-injury or any injury related to
the use of alcohol or drugs.