The provider believes that the introduction of its no risk policy will help overcome the negative industry and consumer perceptions of MPPI.
The product protects borrowers against accident and sickness, as well as reflecting individual mortgage terms to fit around the policy holder.
It provides up to five years of cover so that borrowers can peg it to their specific mortgage product.
Customers can opt for either 100 per cent or 130 per cent of the monthly mortgage payment, with the maximum monthly benefit set at £2,000.
Once the borrower reaches the end of their mortgage term, they can review the policy and amend it to reflect any changes that have been thrown up by remorgaging as well as adjust the level of cover if need be.
The policy adopts tele-underwriting by a qualified nurse at the time of sale to ensure claims are dealt with quickly and efficiently - with the nurse involved so that IFAs do not have to deal with any awkward medical questions, whilst making the best advice available to the consumer.
Geoffrey Spencer, CEO of Shepherds Friendly said: “Following the consumer backlash and regulatory clampdown against PPI providers that have been misleading consumers with their MPPI policies, we wanted to offer a product that intermediaries can be confident about selling.
“Our product has been genuinely developed to protect the consumer, which is why it provides cover for the full term of the special period, up to five years, ensuring the customer feels confident that they are properly covered.”
