Our homes are a reflection of ourselves. We strive to buy the perfect home and keep ourselves comfortable in it. When we take a loan to achieve this feat, though it is a great option, there are a number of risks that come along with it. What if something were to happen to you, will your family still be able to enjoy the house you secured for them? A mortgage insurance policy will help safeguard your house come what may, so that your loved ones can keep that roof over their head.
About Great Eastern
Great Eastern, founded in 1908, is a subsidiary of the OCBC Group which has been at the forefront of the insurance industry in Asia for over a century. They provide financial solutions and offer security to millions of customers. It operates in Indonesia, Brunei and Vietnam and has a joint venture in China. It also has a representative office in Myanmar.
Great Eastern has a mission to make life great for its policyholders by promoting security and wellbeing while it commits to fair dealings and safeguarding customers interests. It believes in integrity, initiative and involvement and has reached new levels of excellence as it strives to be the most trusted insurer in Asia. Its motto “To make life great” is backed by a proactive approach in promoting good health and financial security.
Overview of Great Eastern Mortgage Insurance
Mortgage Insurance is an assurance that your home loan will be paid off in case you are rendered unable to repay the outstanding balance. This insurance will cover any remaining mortgage payments and ensure that your family can live in the home you provided. With Great Eastern, you will pay fixed premiums only for a limited number of years but your protection will continue throughout the term. This plan is a decreasing term assurance which means the sum that you are assured of keeps reducing over the policy term. As your mortgage debt is decreasing so will the sum assured.
Features of Great Eastern Mortgage Insurance
- Affordable premium rates.
- The policy term is usually the same as the home loan term.
- In the event of death or disability before the age of 65 years, a lump sum will be paid out to your family to pay off the mortgage.
- In the case of joint owners, you can opt for a joint-life MortgageCare plan which will take care of the mortgage settlement if anything happens to either of you.
- Enjoy fixed premiums and a limited payment term.
- Protection carries on through the entire term of the plan.
- Get worldwide coverage with this plan.
- Avail of policy terms from a wide choice offered by Great Eastern to suit your home loan.
Living Assurance – extend your cover to 37 critical illnesses for even greater assurance.
Mortgage insurance plans offered by Great Eastern
A home loan can help you build your dream home. However, like any other loan, there are some risks involved with home loans too. One such risk is repayment of loan if something happens to you. That’s where mortgage insurance comes in. A mortgage insurance policy will help your family pay off the remaining mortgage amount when you are no longer able to do so. MortgageCare from Great Eastern is one such plan that offers to protect the future of your loved ones. Find out more about this plan and how it works.
This mortgage insurance plan offers to pay a lump sum amount to your loved ones, in case of an unfortunate event like death, terminal illness, or disablement before you turn 65. With this policy, you will have to pay fixed, predetermined premiums. Also, you will be paying the premiums for a limited period of time, while you will enjoy the protection throughout the term of the plan.
Take a look at how MortgageCare works:
Assume you are 30 and you buy a new home, jointly with your wife who is also 30. You took a loan of S$400,000 to purchase your new home. Now, you are planning to insure your home loan with Great Eastern’s joint-life MortgageCare plan.
The term of the loan is 10 years and the sum assured is S$400,000. Assume that your sum assured reduces at the rate of 5% p.a. Since this is a limited premium payment term policy, you will be paying the premium for only eight years, instead of 10 years. Your annual premium would be S$316, which will remain fixed for the entire eight years.
Now, after five years, your outstanding mortgage amount is S$220,000 and your wife is no longer able to pay off the outstanding balance. In such a scenario, the MortgageCare plan will give you a payout of S$220,000, so you can settle the mortgage amount and continue to live in that home.
Great Eastern Mortgage Insurance premiums
The premium you pay under the MortgageCare plan is fixed for the entire payment term. It’s determined on the basis of the term of the loan, mortgage amount, and the mortgage reducing rate.
Great Eastern Mortgage Insurance exclusions
- Income loss: This policy doesn’t protect you against loss of your monthly income due to any circumstances like illness or injury.
- Hospitalisation expenses: This policy doesn’t provide cover for your hospitalisation expenses and for the subsequent loss of income.
- Personal accident: Your MortgageCare policy doesn’t provide protection against personal accidents.
Great Eastern Mortgage Insurance claim process
To file the claim, you can download the Claim Form from Great Easter’s website. You will have to complete the form and attach all the required supporting documents. Once your documents are ready, you can submit your claim through your Great Eastern distribution representative or by post.
How to cancel Great Eastern Mortgage Insurance policy?
You can cancel your Great Eastern mortgage insurance policy by submitting a written request. You will also have to submit the original policy document with your request.
Eligibility of Great Eastern Mortgage Insurance
- Individuals who are 17 years (next birthday) are eligible.
- Housing loans on residential properties can apply.
- Monthly loan repayments have to be kept up to date.
Compare Great Eastern Mortgage Insurance With Other Insurance Companies Offering Mortgage Insurance in Singapore
- AIA Mortgage Insurance
- NTUC Mortgage Insurance
- Prudential Mortgage Insurance
- Tokio Marine Mortgage Protection
- HSBC Mortgage Repayment Protection
FAQs - Great Eastern Mortgage Insurance
- Will I be covered for loss of income during any critical illness?
- Does this insurance cover me in case I am hospitalised?
- What does limited payment term mean?
- How often do I have to pay premiums?
- If I suffer from a heart attack, will this policy cover my mortgage?
- If I opt for the Critical Illness Rider, will my premiums increase?
- What are the illness covered under the Critical Illness Rider?
No, this insurance policy does not protect you against losing your monthly income due to injury or illness. You can opt for other plans offered by Great Eastern to avail of this benefit.
This insurance policy pays out your mortgage in the event of your death or disablement before the age of 65 years. Hospitalisation is not covered under this plan.
Under this plan, you will pay premiums only for 80% of the policy term. The benefits will last till the end of the term.
Great Eastern offers you a choice of paying premiums yearly, semi-annually, quarterly or monthly.
The policy provides cover only in case of death or permanent disability. It does not include heart attacks. If you opt for the Critical Illness Rider then you will be covered in case of a heart attack.
Yes, with the Critical Illness Rider you are not guaranteed of fixed premiums. You also will pay an additional amount for the rider, but your cover extends to a number of cases that you can benefit from.
There are 37 critical illnesses included in the rider. Some of them are heart attack, stroke, bypass surgery, major cancer, coma, Alzheimer's, kidney failure, terminal illness, major organ and bone marrow transplants, paralysis, and multiple sclerosis. It also covers blindness, deafness, loss of speech, major burns, major head trauma and Parkinson’s disease Refer to the offer document to know all illnesses covered.