Why every property investor needs a mortgage and debt protection plan
- james73515
- Jun 16
- 2 min read
When you own property – whether in your personal name or through a limited company – and you’ve taken out a mortgage, you’re carrying debt (writes Howard Reuben, Principal, HCH Financial Services).
That’s not necessarily a bad thing. In fact, smart debt has helped millions build wealth through property investment. But here’s the uncomfortable truth: if you don’t have a protection plan in place, that debt doesn’t just disappear if something happens to you.
In our experience, this is the point where many people switch off. But burying your head in the sand won’t help your loved ones, business partners, or shareholders if you die during the term of a mortgage.
Why mortgage protection for landlords and business owners matters
If the worst were to happen, your debt could become someone else’s problem. Your spouse, children, co-directors or shareholders may have to scramble to repay your mortgage(s). Selling properties may be an option, but there are some major pitfalls:
They might need to sell quickly and below market value.
Capital gains tax could eat into the equity.
Future rental income and capital growth are lost.
Repossession proceedings could start before a sale is completed.
You’ve worked hard to acquire your properties. You’ve made smart decisions and grown your portfolio professionally. But without the right protection policy, that financial legacy is at risk.
What you need to do – now
If your mortgages are in your personal name, we can arrange a mortgage protection policy tailored to you (and your co-borrower if needed).
If your properties are owned via a limited company, then business protection insurance may be a better fit. These policies can often be tax-efficient, with premiums offset against your company’s turnover – potentially reducing your corporation tax bill (speak to your tax adviser to confirm).
Why you shouldn’t delay securing a debt protection plan for your mortgage(s)
The cost of waiting: Insurance becomes more expensive as you age.
Health risks: If you’re healthy now, you’ll get better rates. If your health declines, premiums rise – or worse, cover may be declined.
No set-up fees: We don’t charge for arranging the policy or placing it in trust.
Tax benefits: Putting the policy in trust can help avoid inheritance tax and delays in payouts.
Expert guidance: HCH Financial Services has been helping landlords and business owners protect their portfolios for more than 30 years.
We also provide regular reviews, ensuring your cover remains “fit for purpose” as your property and mortgage situation evolves.
Don’t leave it to chance
We’re not a faceless call centre. We’re real people who specialise in protecting property professionals like you.
Book your free debt protection review today:
Call: 0333 1234 536
Email: advice@hchfs.com
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