Mortgage life insurance purchased from your lender has many disadvantages. Check out our brief summary below to find out more.
Protect your home and family the right way, with a stand alone policy.
WHAT YOU NEED TO KNOW
Mortgage Protection Through Your Lender
1. The beneficiary of your policy is automatically the lender and no one else.
2. As the amount of your mortgage decreases so does your coverage.
3. If you switch lenders coverage is cancelled or you are forced to re-apply.
4. Claims are adjudicated post underwriting. Your claim can be denied after the fact, with no warning, at the bank's discretion.
5. If you cancel your policy all premiums are lost. There are no options for continuation or conversion.
Stand Alone Insurance Policy
1. The beneficiary of your policy is whoever you decide. Spouse, children, family... The choice is yours.
2. The amount of insurance does not decrease over the life of the policy.
3. Your policy is unaffected if you switch lenders.
4. Policies are underwritten before being issued. This means there will be no surprises at claim time.
5. If you would like to cancel or change your policy you have options. You can convert term policies into permanent ones without medical underwriting.
*The insurance premiums through your mortgage lender may be the same or higher than a stand alone policy. Don't keep paying for low quality coverage!