If you have Mortgage Indemnity Insurance, do you still need additional mortgage insurance such as Nationwide Mortgage Payment Protection? Yes, because mortgage indemnity insurance and mortgage payment protection are not the same. Mortgage indemnity insurance only protects your lender if your property is sold for less than what is owed (the auctioning of repossessed properties comes to mind). You need a mortgage payment protection policy if you want your home to be personally protected in the event that you can’t work due to long-term illness or job loss. If you’re safeguarded by mortgage payment protection, the mortgage indemnity insurance will never come into play on the part of your lender, because you’ll get to keep your home.