March 2021 The current home buying frenzy is a good time to remind everyone to give careful consideration to how you insure your mortgage.
When you buy life insurance from your bank or lender to cover your outstanding mortgage, who are you really wanting to protect? Your bank or your family?
Mortgage insurance protects your bank by paying them off for their mortgage to you. Nothing is left for your family. For usually the same cost, you can instead buy personal life insurance to protect your family by providing them with money to use as its most needed. They can pay off the mortgage and have extra money left over for other expenses, or pay none or only part of the mortgage outstanding, then use the money to provide them with income or for other purposes.
As long as you pay the premiums, personal insurance continues regardless of when your mortgage comes up for renewal, who you choose to renew it with, or what your health may be in the future.
Comparing the costs and advantages is easy. I can shop the market so you can decide what best fits the needs of your family. After all, its your family’s financial security that’s most important.
