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 MORTGAGE INSURANCE : Is it worth it? |
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 If
you go to work daily to provide your family with a nice home
and a future, you know you make sacrifices. As one client
shared with us, "Paying a mortgage involves sacrifice."
When one spouse is away at work, the children and the other
spouse sacrifice by the absence of the working spouse. Where
both spouses work, the children sacrifice doubly.
What if
you weren't around, permanently? When death leaves an unfunded mortgage
and requires a move, stress is born by children uprooted from school and
neighborhood friends. It is born by a spouse who, on top of the relentless
stress of modern life and the shocking stress of losing a partner and
best friend, may have to sell the family home in a buyer's market.
When everyone
lives, mutual sacrifices tend to balance out and drift away over time.
However, suddenly, if you were to die today, one way to lessen some of
the sacrifice your family is making is to provide them with a debt free
home. Homeowners traditionally use one of two types of protection in such
cases. One is life insurance to pay off a mortgage. The other is an actual
mortgage protection policy.
One type
of mortgage protection policy reduces its death benefit as your mortgage
is reduced. Though you are aging, your premiums remain level because the
death benefit is decreasing with your mortgage.
One drawback
to such protection with the lender as beneficiary is the death benefit
goes to the lender. Maybe interest rates are hovering at a rate where
it would be better to invest the money in safe, U.S. Government securities?
This result
can be avoided by using level term life insurance to retire a mortgage.
With such policies you can name a non-lender beneficiary who can use the
proceeds in the most financially suitable way.
Drawbacks
occur here too. One is when mortgage indebtedness is less than $100,000.
Few term life policies offer a minimum death benefit below $100,000, and
below this amount almost none offer good value in the cost to coverage
ratio. That is why often we will quote you $100,000 coverage for a mortgage
under $100,000. It is just more cost effective.
Please allow
one of our qualified mortgage/life insurance specialists to assist you
in obtaining the information you want so you can make an informed decision.
With one free phone call or by clicking on the icon below you can take
the first step toward leaving a clear title to your home.
Using modern
technology and traditional service we provide you with all the information
you need to make the right decision for you.
Receive Your Free Mortgage Insurance Quote
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