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Expert Guide

IAD vs ITP: The most important choice for your mortgage insurance

Banks typically offer the minimum coverage (IAD). Independent brokers recommend comprehensive coverage (ITP). Here is why the difference matters for your family.

IAD (Basic)

Invalidez Absoluta e Definitiva

This is the bare minimum coverage usually offered by banks. It is extremely difficult to claim against.

  • Requires you to be in a vegetative state or require 3rd-party assistance for basic daily tasks
  • Typically requires >80–90% disability
  • Does not pay out if you simply cannot work anymore
Recommended

ITP (Comprehensive)

Invalidez Total e Permanente

This coverage protects you if you are unable to perform your profession, ensuring your mortgage is paid off.

  • Pays out if you are unable to work in your profession
  • Triggers at 60% or 66% disability (much lower threshold)
  • Does not require you to be dependent on others for daily tasks

Summary

If you have a mortgage, your bank likely sold you IAD to make the monthly payment look lower. For a few euros more per month — or often less when switching to an independent broker — you can upgrade to ITP and actually be protected.

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