A new online mortgage payment protection policy (MPPI) that provides three months free cover to all policyholders has been launched by City underwriting agency Goodfellows.

Called securityfirst.co.uk, it is underwritten at Lloyd's, and is fully compliant with the Council of Mortgage Lenders/Association of British Insurers baseline standard.

It provides individual or joint cover against the risks of unemployment and disability up to £1,500 a month or 65% of gross earnings.

The policy is available to both new and existing mortgage borrowers aged between 18 and 65, irrespective of occupation or employment status – including self-employed and contract workers.

It also includes those working full or part-time, provided they have worked for a minimum of 16 hours a week for the past six months.

The policy has been praised by ITV's Mortgage Watchdog Monty Burns, who has described it as innovative and a welcome development in the UK mortgage market.