Mortgage Protection Insurance
Mortgage life insurance is a term life insurance policy that is typically sold under the premise that if one of the homeowners dies during the coverage period, it will retire (payoff) the existing or remaining mortgage. You have a number of options for purchasing this type of coverage.
The policy can be purchased to cover any name that is on the mortgage, so if a husband and wife buy a home and both names are on the mortgage, they can choose to either cover the husband or the wife or both on a mortgage insurance policy. If they only cover one, and it is the other one that dies, the mortgage would not be paid by the policy.
Advantages of Mortgage Protection Insurance:
1. Give a family peace of mind because if something happens to one of them, the other one doesn’t have to worry about loosing their home.
2. Mortgage protection life insurance has been around for a long time, therefore, to offer security and peace of mind to those you wouldn’t want to have to worry about paying off the mortgage if you died.
3. In some cases the family doesn’t have any other insurance so this is the only insurance to help that family in that tragic events something does happen to that loved one.