Mortgage customers advised to get life insurance

People looking at houses for sale in the UK have been told to get life insurance when securing their mortgage.

This is after Sainsbury's Finance revealed that nearly half of all mortgage holders in Britain do not have life cover, which will protect the payment of their loan should they die.

It also revealed that since January 2006, there has been a 47 per cent increase in the number of home loans that are not covered by life protection.

Sainsbury's life insurance manager Lucy Hunter said that cover is "particularly important for homeowners".

"It can help to ensure peace of mind that the property is paid for upon death, allowing loved ones to continue living in the family home and it could also alleviate any financial burden, therefore providing financial security," she stated.

There could be more people who choose to take up life insurance policies after the Building Societies Association revealed that mortgage lending had increased by ten per cent from August to September 2010.