MPPI / IP Comparison
Mortgage Payment Protection Insurance (MPPI) and Income Protection Insurance are sometimes perceived as being the same but in fact they are quite different. This table compares the features of the two products at a glance to help explain the differences, however please make sure you refer to your policy schedule and/or Key Facts document for full details.
| Mortgage Payment Protection | Income Protection | |
|---|---|---|
| Max Cover | Mortgage repayments & related expenditure only. | Normally 60% of gross earnings. |
| Max Payout | 12 or 24 months depending on provider. | Indefinite cover until you return to work, reach chosen retirement age or die. |
| Tax Treatment | Benefit paid tax free. | Benefit paid tax free. |
| Waiting Period | 30 or 60 days depending on provider. | You choose from 1, 2, 3, 6, 12 or 24 months. |
| Definition of Disability | Inability to perform any occupation. | Inability to perform own occupation. |
| What is covered as standard | Disability as a result of accident or sickness including unemployment option. | Disability as a result of any accident or illness, no unemployment option. |
| What is not covered as standard. | Pre-existing medical conditions, pregnancy, back & stress conditions, involuntary unemployment, seasonal & contract work, dismissal as a result of misconduct, fraud etc (see provider literature for full details which we will send you in the post if you request a quote). | Unemployment |
| Application process | Short application, no medical details required. | Detailed application, full medical and occupation details will be required. |
| Summary | Short term 'one size fits all' cover with restrictions, very quick & easy to arrange. | Long-term cover with few restrictions, no unemployment option. |
Download a printable version of this comparison table (PDF).
Find out more about Income Protection insurance.
Request an Income Protection quote, or call us on 0800 068 5043 so we can advise you on your needs.