{"id":1629,"date":"2026-08-26T08:51:32","date_gmt":"2026-08-26T07:51:32","guid":{"rendered":"https:\/\/clientnews.co.uk\/articles\/?p=1629"},"modified":"2026-08-26T08:51:32","modified_gmt":"2026-08-26T07:51:32","slug":"why-reviewing-your-protection-cover-matters-when-remortgaging-2","status":"publish","type":"post","link":"https:\/\/clientnews.co.uk\/articles\/1629","title":{"rendered":"Why Reviewing Your Protection Cover Matters When Remortgaging"},"content":{"rendered":"\n<p class=\"wp-block-paragraph\">When your mortgage deal comes to an end, it is natural to focus on one question: what will my new monthly payment be?<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">But there is another important question worth asking at exactly the same time.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\"><strong>If something happened to you or your income, would your mortgage and household finances still be protected?<\/strong><\/p>\n\n\n\n<p class=\"wp-block-paragraph\">With 1.8 million fixed-rate mortgages expected to come to an end during 2026, according to UK Finance, large numbers of homeowners will be reviewing their borrowing this year<sup>1<\/sup>. But a remortgage is not simply an opportunity to review the mortgage rate. It can also be a useful financial MOT for the protection sitting behind it.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">And new research suggests that is a conversation many households have yet to have.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\"><strong>The protection gap is bigger than you might think<\/strong><\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Research published by the Financial Conduct Authority in January 2026 found that&nbsp;<strong>58% of adults do not hold a pure protection product<\/strong>, such as life insurance, critical illness cover or income protection<sup>2<\/sup>.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Perhaps more strikingly, of those without protection,&nbsp;<strong>59% had never considered their protection needs<sup>2<\/sup><\/strong>.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">That does not mean everybody needs every type of insurance. Protection should be based on individual circumstances, existing benefits, savings, dependants and financial commitments.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">But it does show how easily protection can be overlooked.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">For homeowners, a remortgage provides a natural opportunity to ask whether the cover arranged several years ago still matches life today.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\"><strong>Your mortgage may have changed. Has your protection?<\/strong><\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Think back to when you last arranged your mortgage.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">A great deal can happen in two, three or five years.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">You may have got married or separated, had children, changed jobs, received a substantial pay rise, become self-employed or reduced your working hours.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">You might have moved house, borrowed more for improvements or changed the length of your mortgage.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Each of those changes could alter the protection you need.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Take life insurance.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">MoneyHelper points out that the amount of cover someone needs can depend on factors including their mortgage, other debts, dependants and household income<sup>3<\/sup>.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">So, if you originally arranged life cover alongside a \u00a3180,000 mortgage but have subsequently increased your borrowing, simply assuming the original policy is still sufficient could leave a gap.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">There is another easily overlooked issue:&nbsp;<strong>the term<\/strong>.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">If your remortgage involves extending a mortgage from, say, 20 years to 30 years, but your life insurance still ends in 20 years, the mortgage and the protection may no longer run alongside each other.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">That does not automatically mean the policy needs changing. It does mean it is worth checking.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\"><strong>Could your household cope if your salary suddenly stopped?<\/strong><\/p>\n\n\n\n<p class=\"wp-block-paragraph\">For many households, the biggest financial asset is not the property itself. It is the income used to pay for it.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">That makes income protection particularly relevant when reviewing a mortgage.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">From 6 April 2026, the rules for Statutory Sick Pay changed. Eligible employees can now receive it from the first full day of sickness absence and the previous lower earnings threshold has been removed<sup>4<\/sup>.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">But there is still a significant limit to the support available.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">For the 2026\/27 tax year, Statutory Sick Pay is&nbsp;<strong>\u00a3123.25 a week or 80% of average weekly earnings, whichever is lower<sup>4<\/sup><\/strong>.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">For someone accustomed to receiving a normal monthly salary while also paying a mortgage, utilities, food, childcare and other household bills, that could leave a considerable income gap.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Some employers provide much more generous sick pay, of course. Others do not.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">The self-employed will usually face a different position again.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">MoneyHelper says income protection typically replaces around 50% to 65% of income if illness or an accident prevents you from working, although the amount, qualifying conditions, waiting period and length of payment will depend on the individual policy<sup>5<\/sup>.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">The important point is not simply whether you have a policy.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">It is whether the policy still fits the way you earn and live today.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\"><strong>Protection cover can make a real difference<\/strong><\/p>\n\n\n\n<p class=\"wp-block-paragraph\">There can sometimes be a perception that insurers routinely find reasons not to pay protection claims.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">The figures tell a rather different story.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">According to the Association of British Insurers,&nbsp;<strong>97.9% of new individual protection claims were paid in 2024<\/strong>, with insurers paying \u00a35.32 billion across individual life insurance, critical illness and income protection policies<sup>6<\/sup>.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Individual income protection claims alone accounted for \u00a3204 million of payouts<sup>6<\/sup>.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Insurance cannot prevent illness, injury or bereavement. What suitable protection can do is provide financial support when household finances are potentially under their greatest pressure.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\"><strong>Do not automatically cancel your existing policy<\/strong><\/p>\n\n\n\n<p class=\"wp-block-paragraph\">A protection review is not the same thing as being told to replace everything you already have.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">In fact, this is an important distinction.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">An existing policy may contain valuable terms or have been arranged when you were younger or before changes to your health.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Cancelling it and applying for replacement cover could mean paying a different premium, receiving different terms or finding that a medical condition is treated differently by the new insurer.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">The FCA is currently examining incentives around unnecessary switching within the pure protection market, making it particularly important that any recommendation to replace existing cover can be justified as being in the customer&#8217;s interests<sup>2<\/sup>.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\"><strong>Never cancel existing protection until you understand what you are giving up and, where replacement cover is being arranged, the new policy is in force.<\/strong><\/p>\n\n\n\n<p class=\"wp-block-paragraph\">A protection review should establish whether your current arrangements remain suitable, not assume that new automatically means better.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\"><strong>And what about your home insurance?<\/strong><\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Your personal protection is only part of the picture.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Remortgaging can also be a sensible prompt to check the insurance protecting the property itself.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">MoneyHelper says homeowners with a mortgage will usually be required to have buildings insurance<sup>7<\/sup>.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">The amount of buildings cover should normally be based on the cost of rebuilding the property rather than simply its market value<sup>7<\/sup>.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">You should also consider whether your contents cover still reflects what you actually own.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">New furniture, televisions, laptops, jewellery, bicycles and other purchases can gradually increase the value of a household&#8217;s possessions without the owner necessarily noticing how much has changed.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Home improvements can matter too. An extension, converted loft or other significant change to a property may need to be disclosed to an insurer.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\"><strong>The protection questions worth asking when you remortgage<\/strong><\/p>\n\n\n\n<p class=\"wp-block-paragraph\">When reviewing your mortgage, consider asking yourself:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Has my mortgage balance, term or monthly payment changed?<\/li>\n\n\n\n<li>Would my family be able to remain in the home if I died?<\/li>\n\n\n\n<li>How long would my employer continue paying me if I could not work?<\/li>\n\n\n\n<li>How would I meet the mortgage and household bills during a long period of illness?<\/li>\n\n\n\n<li>Has my income changed since my protection was arranged?<\/li>\n\n\n\n<li>Have I had children or taken on other financial responsibilities?<\/li>\n\n\n\n<li>Do I now receive workplace benefits that I did not have before?<\/li>\n\n\n\n<li>Does my existing cover continue for as long as I need it?<\/li>\n\n\n\n<li>Have improvements to my home changed its rebuild cost?<\/li>\n\n\n\n<li>Would my contents insurance be enough to replace what I own today?<\/li>\n<\/ul>\n\n\n\n<div style=\"height:30px\" aria-hidden=\"true\" class=\"wp-block-spacer\"><\/div>\n\n\n\n<p class=\"wp-block-paragraph\">You may discover that everything remains perfectly suitable.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">If so, that is useful to know.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">If something no longer fits, identifying it while you are already reviewing your finances gives you the opportunity to consider your options before you ever need to rely on the cover.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\"><strong>Your mortgage protects the home. Protection can help protect the plan behind it.<\/strong><\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Remortgaging is usually discussed in terms of rates, repayments and mortgage terms.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Those things matter.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">But the mortgage is only affordable for as long as the household has the resources to pay it.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">That is why we believe a mortgage review should look beyond the loan itself.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">If you are remortgaging, approaching the end of your current deal or have not reviewed your protection for several years, speak to us.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">We can help you review your mortgage alongside your existing protection arrangements, identify where circumstances may have changed and discuss whether your current cover continues to meet your needs.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Sometimes the outcome of a good review is that nothing needs changing.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">And sometimes it identifies a financial gap you did not know was there.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\"><strong>Important information<\/strong><\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Protection policies have exclusions and limitations. The cost and availability of cover will depend on your individual circumstances, including factors such as your age, health, occupation and the type and level of cover required.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Do not cancel an existing protection policy until any replacement cover has been accepted and is in force and you understand the differences between the policies.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">There may be a fee for mortgage advice. The precise amount of the fee will depend on your circumstances.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">This article is for general information only and is not intended to constitute personalised mortgage or insurance advice.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\"><strong>Your home\/property may be repossessed if you do not keep up repayments on a mortgage or other debt secured on it.<\/strong><\/p>\n\n\n\n<p class=\"wp-block-paragraph\"><strong><em>There may be a fee for mortgage advice. The precise amount of the fee will depend on your circumstances.<\/em><\/strong><\/p>\n\n\n\n<p class=\"wp-block-paragraph\"><strong><em>Think carefully before securing other debts against your home\/property.<\/em><\/strong><\/p>\n\n\n\n<p class=\"has-small-font-size wp-block-paragraph\"><em>All the information in this article is correct as of the publish date 27<sup>th<\/sup>&nbsp;August 2026. The opinions expressed in this publication are those of the authors. The information provided in this article, including text, graphics and images does not, and is not intended to, substitute advice; instead, all information, content, and materials available in this article are for general informational purposes only. Information in this article may not constitute the most up-to-date legal or other information.<\/em><\/p>\n\n\n\n<p class=\"has-small-font-size wp-block-paragraph\"><strong><em>Please be aware that by clicking on to any of the above links you are leaving our website. Please note that neither we nor HL Partnership Limited are responsible for the accuracy of the information contained within the linked site(s) accessible from this page.<\/em><\/strong><strong><\/strong><\/p>\n\n\n\n<p class=\"wp-block-paragraph\"><strong>Sources<\/strong><\/p>\n\n\n\n<ol class=\"wp-block-list\">\n<li><strong>UK Finance. (2025)\u00a0<\/strong><em>Mortgage Market Forecasts 2026 to 2027<\/em>. [online] Available at:\u00a0<a href=\"https:\/\/www.ukfinance.org.uk\/data-and-research\/data\/mortgage-market-forecasts\">https:\/\/www.ukfinance.org.uk\/data-and-research\/data\/mortgage-market-forecasts<\/a>\u00a0[Accessed 25 August 2026].<\/li>\n\n\n\n<li><strong>Financial Conduct Authority. (2026)\u00a0<\/strong><em>MS24\/1: Pure Protection Market Study<\/em>. [online] Available at:\u00a0<a href=\"https:\/\/www.fca.org.uk\/publications\/market-studies\/ms24-1-1-market-distribution-pure-protection\">https:\/\/www.fca.org.uk\/publications\/market-studies\/ms24-1-1-market-distribution-pure-protection<\/a>[Accessed 25 August 2026].<\/li>\n\n\n\n<li><strong>MoneyHelper. (2026)\u00a0<\/strong><em>What is life insurance?<\/em>\u00a0[online] Available at:\u00a0<a href=\"https:\/\/www.moneyhelper.org.uk\/en\/everyday-money\/insurance\/what-is-life-insurance\">https:\/\/www.moneyhelper.org.uk\/en\/everyday-money\/insurance\/what-is-life-insurance<\/a>\u00a0[Accessed 25 August 2026].<\/li>\n\n\n\n<li><strong>HM Revenue and Customs. (2026)\u00a0<\/strong><em>Sickness absences that start before and end on or after 6 April 2026<\/em>. [online] GOV.UK. Available at:\u00a0<a href=\"https:\/\/www.gov.uk\/guidance\/sickness-absences-that-start-before-and-end-on-or-after-6-april-2026\">https:\/\/www.gov.uk\/guidance\/sickness-absences-that-start-before-and-end-on-or-after-6-april-2026<\/a><strong>\u00a0[Accessed 25 August 2026].<\/strong><\/li>\n\n\n\n<li><strong>MoneyHelper. (2026)\u00a0<\/strong><em>What is income protection insurance?<\/em>\u00a0[online] Available at:\u00a0<a href=\"https:\/\/www.moneyhelper.org.uk\/en\/everyday-money\/insurance\/what-is-income-protection-insurance\">https:\/\/www.moneyhelper.org.uk\/en\/everyday-money\/insurance\/what-is-income-protection-insurance<\/a><strong>[Accessed 25 August 2026].<\/strong><\/li>\n\n\n\n<li><strong>Association of British Insurers. (2025)\u00a0<\/strong><em>Record \u00a38bn paid out in vital protection claims during 2024<\/em>. [online] Available at:\u00a0<a href=\"https:\/\/www.abi.org.uk\/media-hub\/news-post\/record-8bn-paid-out-in-vital-protection-claims-during-2024?utm_source=chatgpt.com\">https:\/\/www.abi.org.uk\/media-hub\/news-post\/record-8bn-paid-out-in-vital-protection-claims-during-2024<\/a>\u00a0[Accessed 25 August 2026].<\/li>\n\n\n\n<li><strong>MoneyHelper. (2026)\u00a0<\/strong><em>What is buildings insurance?<\/em>\u00a0[online] Available at:\u00a0<a href=\"https:\/\/www.moneyhelper.org.uk\/en\/everyday-money\/insurance\/what-is-buildings-insurance.html\">https:\/\/www.moneyhelper.org.uk\/en\/everyday-money\/insurance\/what-is-buildings-insurance.html<\/a>[Accessed 25 August 2026].<\/li>\n<\/ol>\n","protected":false},"excerpt":{"rendered":"<p>When your mortgage deal comes to an end, it is natural to focus on one question: what will my new monthly payment be? But there is another important question worth asking at exactly the same time. If something happened to you or your income, would your mortgage and household finances still be protected? With 1.8 [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":1630,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[78],"tags":[],"class_list":["post-1629","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-aug2026"],"_links":{"self":[{"href":"https:\/\/clientnews.co.uk\/articles\/wp-json\/wp\/v2\/posts\/1629","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/clientnews.co.uk\/articles\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/clientnews.co.uk\/articles\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/clientnews.co.uk\/articles\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/clientnews.co.uk\/articles\/wp-json\/wp\/v2\/comments?post=1629"}],"version-history":[{"count":1,"href":"https:\/\/clientnews.co.uk\/articles\/wp-json\/wp\/v2\/posts\/1629\/revisions"}],"predecessor-version":[{"id":1631,"href":"https:\/\/clientnews.co.uk\/articles\/wp-json\/wp\/v2\/posts\/1629\/revisions\/1631"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/clientnews.co.uk\/articles\/wp-json\/wp\/v2\/media\/1630"}],"wp:attachment":[{"href":"https:\/\/clientnews.co.uk\/articles\/wp-json\/wp\/v2\/media?parent=1629"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/clientnews.co.uk\/articles\/wp-json\/wp\/v2\/categories?post=1629"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/clientnews.co.uk\/articles\/wp-json\/wp\/v2\/tags?post=1629"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}