Decreasing Cover is normally used to cover a repayment mortgage, where the amount of money the policyholder has been insured for decreases in line with the value of the mortgage.
Level Cover is where the amount of money the policyholder has been insured for remains level throughout the term of the policy. This type of cover is more suitable for an interest-free mortgage where the value of the mortgage remains level.
Indexed Cover is where the amount of money the policyholder has been insured for increases with inflation throughout the term of the policy.