Friends First is to add a new "debilitating condition" cover option to HomeProtector, its existing mortgage protection product.
The cover is an alternative to critical illness cover and disability protection already offered. It offers mortgage protection by providing repayment cover for policyholders who suffer from an illness that may not be critical, but prevents the insured from maintaining a normal lifestyle.
The option also offers cover for mental incapacity resulting in serious impairment to social
or occupational functioning and requiring continuous care or treatment.
Payment of the debilitating condition cover is not dependent on the diagnosis of a critical illness, and the policyholder is not restricted to a list of specified illnesses.
The mortgage payments are paid from the end of a six-month deferred period. This benefit will pay the insured party an income to cover the mortgage repayments based on the Initial sum assured, assuming the mortgage was taken out on a 10% interest rate basis.
General manager, group planning and marketing, John Cunningham, said: "Today customers want access to cover over and above the basic life cover options. The current market demands a range of insurance products to suit specific requirements and can provide total peace of mind.
"We are constantly re-examining our product portfolio so that we can offer the best and most mpetitive choices to our customers."
