Higher term life insurance or Mortgage insurance

Posted in Mortgage Protection Life Insurance about 1 year ago, 1 reply

Very interesting blog. My boyfriend and I are going to purchase a home but we are concerned about the house payment if something happens to one of us (death or permanent disability). He is the primary income person and has a high risk job. (we are in our early 50's). I had heard about mortgage protection insurance in the event of a death, but did not know that it might be better off to buy a higher term life insurance policy rather then have BOTH types of insurance. He has a life insurance policy that he might be able to add to, would you recommend that option?
Your blog gave me more answers and issues to investigate. Thank-you.

submitted by kay leigh in california

Mortgage protection life insurance costs more than term life insurance. Also, in the event that your boyfriend dies, the money from his mortgage protection insurance will be used to pay off the mortgage. The mortgagor will retain any leftover money, so you or other possible dependants will not receive anything. Compare this to a large term life policy where when you receive the death benefit, you can use part of it to pay off pending mortgage amounts, and keep the rest to use as you wish.

Denise at AccuQuote
Disclaimer: I work for AccuQuote and this is my personal opinion.

submitted by Denise in Wheeling, US @ July 30, 2010 - 01:08 AM

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