It might be possible to negotiate a restructure of the loan to extend the mortgage term to give more time to build up investments or switch to capital repayments.
Some banks and building societies have maximum ages for borrowing so if you are over 65 you might experience some difficulty getting a lender to agree to this. Some lenders are however beginning to review these policies. Using a mortgage broker can help because they can navigate the market and negotiate with these more flexible lenders.
Switch the shortfall part of the mortgage to a repayment mortgage
You may be able to keep your existing endowment going at its current level, and convert the predicted shortfall to a repayment mortgage. If you do this, part of the capital you borrowed would be paid off during the remaining term, and your endowment policy would pay off the rest at the end of your mortgage. Ask your lender whether this is possible, and how much it would cost.
Switching the whole of your mortgage to a repayment mortgage
You may decide that you are not happy with the risks involved, and choose to take out a repayment mortgage. You can do this through your existing lender, or by switching to a new one. You can keep your endowment policy going if you want to, which would give you a much bigger lump sum than if you sell your policy or cash it in early. If you don’t want to keep your policy going, you may have to take out separate life insurance, which could be expensive and may be difficult if you are older or have health problems.