Benefits of Private Mortgage Insurance

The Benefits of Private versus Financial Institution Mortgage Insurance

Insurance Offered by Most Lending Institutions
With Personal Life/Mortgage  Insurance
 
It's about having control.
Your lender owns the policy and if you find a better mortgage rate.
 
You own the policy not your lender.  You have the freedom to switch your mortgage to another lending institution without jeopardizing your life insurance coverage.
 
Your lender automatically pays off the mortgage if you die.  Your beneficiary has no choice about how to use the funds at a time when funds may be required the most.
 Your beneficiaries can choose how to use the funds - to pay off the mortgage, provide a monthly income of take care of a more immediate need.  it's their choice, not your lender's.
 
You have a lending institution employee to look after you.
 You use your own insurance and financial advisor to arrange and service the policy.
 
 
It's about getting the most for your money.
The cost per thousand of coverage generally increases every year.  When you think about it costs may increase while coverage decreases.
 
You choose the type of insurance that best suits your needs with premiums to suit your budget.  We offer a range of term and permanent life insurance solutions.  You can choose a plan that will keep the premium you pay level for 10, 20 years or for your lifetime.
 
The insurance protection stops when the property is sold.
The insurance protection stays in place even if the property is sold.
 
 
It's about being covered.
Generally, mortgage life insurance from most lending institutions is non-convertible term insurance - there are no cash values, no premium flexibility or ability to move to a permanent life insurance policy if your needs change.
You select the plan that meets your needs.  Many term policies are convertible term life insurance that are convertible to permanent policies so if your health changes and you find it difficult to get life insurance, you can keep the full death benefit and convert your insurance to the permanent insurance policies available at that time without having to re-qualify medically.
 
Usually covers the exact amount of your mortgage.  And your coverage decreases as the mortgage is paid down.  This means you have no coverage when the mortgage is paid off.
Your coverage doesn't decrease as the mortgage is paid down.  This means additional funds could be available at a time when your family may need it the most.  Or you could reduce the face amount when you want.