However, there is no need or requirement invoked by the mortgage company to say you must do this. If you die the balance of the mortgage will need to be paid. But that can be done by selling the property whether it is a house or flat.
Life Insurance cover and your Mortgage
If you have dependents then it is a good idea to consider what provision has been made for them, but you still don’t have to have life insurance cover for your mortgage.
There are policies that will cover you if you have a serious or critical illness and more comprehensive types of cover to insure you for loss of future earnings in the event of illness or injury as a result of an accident.
Should a financial advisor advise you that you must ells you MUST have life insurance cover or a similar mortgage insurance to cover the mortgage then they run the risk of being dismissed by their company or loosing their accreditation.
There is also no requirement to have contents insurance for your home. The risk is up to you, however, these days the cost compared to the is small.
The only insurance that is a requirement is buildings cover, which is to make sure that the asset that is your property is covered so that the mortgage is protected.