Mortgage Insurance Woodstock
Everybody dreams of a beautiful home. Now think that after buying the home you face some critical illness or there are other issues that make you unable to pay off the mortgage loan? What will you do? Your family won’t be able to live in the house after your death? All these questions come to our mind whenever we think of owning a dream home.
You can stop worrying about all this and enjoy a peaceful life and give your family tension free living at the same home if you get yourself insured with mortgage insurance.
Mortgage insurance- some basic facts
Most people who purchase mortgage life insurance do so when they buy their home or right after. Like term life insurance, mortgage protection life insurance also has a specified term. After all, once you’ve paid off your mortgage debt, you won’t need the policy any longer.
Most people buy their home by taking a mortgage and in the vent that they die without paying off the debt, their family may suffer. In such situation, mortgage insurance is the best solution as it covers your mortgage in case of your death. It is also known as creditors insurance as it actually covers the interest of the creditors. In reality, it is a type of life insurance that will pay off your balance debt after you are not able to pay it off.
It should not be confused with life insurance as although both these insurance covers the beneficiary after the death of an individual, but their nature is the difference. In the case of life insurance, the beneficiary will be your family member while in the case of mortgage insurance the beneficiary is the institution from where you have taken the loan.
Apart from that the premium of mortgage insurance will reduce every year as you keep on paying the mortgage loan. Such insurance is tied to the particular mortgage and it is not transferable.
Normally, the coverage of any mortgage insurance can start from the day your mortgage starts.