Why am I being charged mortgage interest on my insurance premium?


Hello, I’m new to moneysavingexpert and am going through each of my bills one at a time using the guides on here. I’ve gotten to my home insurance and am confused, hoping someone can help me?

I took out mortgage insurance with Halifax who I have my mortgage with (took out 2011). I’ve been reading through the renewal and I don’t understand if I can change provider or if it is part of my mortgage?

It says “When you opened your mortgage account, your insurance policy was set up to cover your property at the same time. This means your total insurance premium is added to your mortgage balance. If this is not paid in full when it’s due, interest is charged on the premium amount (at the same rate as your mortgage) until your mortgage is fully repaid and your balance will increase. Call us on 0345 6091269 to avoid paying interest on the insurance premium by paying this separately.”

My renewal is for over £600, but using the sites recommended on the home insurance guide on here, it could be as low as £100 with a different insurer, does anyone know if I can change insurers or is this part of my mortgage?

Thank-you for reading.



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