Underwriter's non-discriminatory mortgage payment protection plan covers sexually transmitted diseas...
Underwriter's non-discriminatory mortgage payment protection plan covers sexually transmitted diseases
By Robyn Hall
Underwriting agency, Goodfellow Rebecca Ingrams Pearson (Grip) is offering mortgage payment protection insurance (MPPI) which includes cover against AIDS and other sexually transmitted diseases.
This latest MPPI product gives cover for people who cannot meet mortgage repayments as a result of absence through suffering from syphilis, hepatitis B, HIV, or full-blown AIDS.
The policy, Equality, has been launched in response to the ABI and the Council of Mortgage Lenders' (CML) minimum standards for MPPI which came into force for new policies on 1 July.
Simon Burgess, managing partner at Grip, said: "We are fully compliant with the guidelines and are non-discriminatory. There is no need for a medical examination, an employer's reference, or a lifestyle questionnaire. We are able to offer cover to a number of high risk occupations - including the sex industry."
The MPPI, underwritten at Lloyd's, provides individual or joint cover against the risks of disability and unemployment, irrespective of age, occupation, sexuality, employment status, or whether a person works on a full or part-time basis, provided they have worked for a minimum of 16 hours per week for the past six months.
Equality is available to all UK residents aged between 18 and 65 and will cover the full costs of owning a home or £2,500 pm, whichever is less, after a 30-day waiting period.
Burgess added: "We are enfranchising people who may not otherwise take out MPPI as they are in a high risk profession. For example, if a surgical nurse found out they had contracted syphilis or hepatitis B, and so was unable to work, they would be eligible for 12 months respite cover. We do not discriminate against smokers or drinkers either. We want a spread of clients and offer them a good policy, taking limited margins to enhance sales. A job for life is now history and Equality, being an attractively positioned product in terms of content and price, will enable people currently in employment to have peace of mind at an affordable cost."
Protection for an £800 per month mortgage for up to 12 months will cost £30 pm including tax and agent's commission.
The ABI said the move to cover diseases such as HIV and AIDS is not commonplace in the market.
An ABI spokesperson said: "Some policies already include cover against STDs, but this is an unusual move by Grip and it is quite possible that other policy providers will follow suit. Increasingly insurers are becoming more relaxed towards HIV and AIDs. Now that prognosis has improved and combination drugs are enabling people to live longer, HIV is no longer the death sentence that it once was."
