Mortgage Protection Insurance Hembstead NC
What is mortgage protection insurance?
Mortgage protection life insurance was created to protect your family from burdensome mortgage payments if the primary breadwinner isn’t around to supply an income any longer.
Mortgage insurance resembles other types of term life insurance in how it works.
You buy a policy, pay regular premiums, and, at the end of the policy term , it ends. If you die throughout the term of the policy, a death benefit is paid out to your beneficiaries.
However, mortgage protection insurance features a few key differences.
First, the mortgage insurance company or lender is usually the beneficiary in a mortgage protection insurance policy. Which means the death benefit bypasses your family and goes right to the mortgage lender to pay for off the mortgage.
And speaking of the death benefit, because it’s used to pay for off your mortgage balance typically, it always decreases after the very first five years of coverage to complement your
remaining mortgage. That is unlike other term life insurance policies, where in actuality the death benefit stays constant if you make changes to the policy.
Finally, the term lengths for term life insurance policies are often fairly flexible; you can usually choose term lengths in five- or ten-year intervals, and some carriers even allow custom term lengths. However, mortgage protection
insurance is usually locked in at exactly the same period of time as your mortgage itself: 15 years or 30 years. Your term length are often limited by your actual age; for example, State Farm’s mortgage protection insurance limits one to a 15-year term if you’re above age 45.
If you need life insurance , winecountryfinancialgroup makes it no problem finding a policy that matches your needs but won’t mess with your budget.
Contact us today for Mortgage Protection Insurance Hembstead NC.