Return to the Mortgage Glossary Home to view explanations for all mortgage terms. What follows is the definition for the term Accident, Sickness and Unemployment Insurance (ASU) as it relates to mortgages in the UK. Accident, Sickness and Unemployment Insurance (ASU)Accident, Sickness and Unemployment Insurance is an insurance that will protect you against your outstanding mortgage payments in the event of sickness, accident or unemployment. Homebuying can be a risky process, you should never overlook getting the right insurance. How would you cope paying for your home if you suddenly lost your income? Unless you have a very good flexible Mortgage (which can be an extra cost in itself) it is unlikely that you will be able to skip any payments at all. When you buy a home it is compulsory to take out buildings insurance to protect yourself against damage to your property, and most people also take out contents insurance in case their belongings are stolen or damaged. Accident, Sickness and Unemployment Insurance will be in addition to these insurances. This type of Insurance will usually have a term of one year, occasionally more, and sometimes (though rarely) until the insured recovers and/ or returns to work. Sometimes refered to as a Mortgage Payment Protection Insurance (MPPI).
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