The Importance of Mortgage Life Insurance
Understand what mortgage life insurance is-insurance that pays off your home loan in the case of your death. We all try to ignore this issue, but it is a question of something that is too important to ignore- whether your family will have a place to live.
Most mortgage life insurance policies are the kind that goes down as the mortgage decreases, under the assumption that you need less coverage as years go by.
This may have worked years ago, but now, many people move a lot, and they also may refinance their loans, thereby negating the original mortgage. . Here is the distinction between fixed term and decreasing term mortgage life insurance.
Mortgage insurance given by banks and lenders is usually decreasing term insurance. This means that your policy will not be available to you through thick and thin. If you sell your home, or even if you stay in the same house but refinance it, you will lose your insurance. Since the bank was the insurance issuer, if you don’t stay with that same bank, your policy will be cancelled. Today, with so many households buying new houses, or just refinancing their existing homes, this kind of an option just doesn’t function; you want your insurance to be as flexible as you have to be now.
If you get your mortgage life insurance from an insurance professional, however, instead of your bank, your policy stays in place, through thick and thin.
This is one, but not the only benefit of mortgage life insurance from an insurance company. There is also the advantage of dealing with an insurance consultant instead of a bank lending officer, who really knows nothing about insurance except this one type he has been instructed to sell to you.
You are the owner of the policy, and you have control over it. When you purchase your policy from a bank, they have the control, instead of you. The lender can, and does set restrictive requirements that may endanger the policy, such as reviews every few years.
If you are reviewed at a point when your health may not be at its best, the lender can simply cancel the insurance, even though you have kept your premiums up and need you policy right now.
best canadian mortgage insurance, term life insurance canada
More Examples:
- $200000 mortgage insurance (life) for a 33 years old male (non-smoker) and a 34 female (non-smoker): Bank of Montreal: $43.6 per month. InfoPrimes.com: $29.13 per month. Savings: $2605 over 15 years.
- $109500 mortgage insurance (life and disability) for a 25 years old male (non-smoker): National Bank: $24.76 per month. InfoPrimes.com: $15.69 per month. Savings: $2721 over 25 years.
- $150000 mortgage insurance (life) for a 49 years old male (non-smoker) and a 48 female (non-smoker): Laurentian Bank: $122.63 per month. InfoPrimes.com: $54 per month. Savings: $12353 over 15 years.
- $204000 mortgage insurance (life and disability) for a 27 years old female (non-smoker): National Bank: $35.23 per month. InfoPrimes.com: $23.8 per month. Savings: $4115 over 30 years.
- $190000 mortgage insurance (life) for a 32 years old female (non-smoker) and a 32 male (non-smoker): TD Canada Trust: $45.77 per month. InfoPrimes.com: $15.31 per month. Savings: $12793 over 35 years.
Courtenay. British Columbia is on the east coast of Vancouver Island, 108 km northwest of Nanaimo and 7 km northeast of Cumberland. The city is named after the Courtenay River, which was named after George William Courtenay, captain of the HMS Constance, a British ship that was stationed in the area in the mid 1800’s. Courtenay was incorporated as a town in 1915 and became a city in 1953.
The City of Courtenay has a population of approximately 22,500 people. It is located in the midst of beautiful agricultural landscape, and the Tsolum and Puntledge Rivers meet to form the Courtenay River, which runs through the city. The river banks are the location of a marina, airpark, parks, fish hatchery and the river feeds into a tidal estuary full of wildlife. This estuary is said to be the most important wintering site for the Trupeter Swan, and the city has a week long Trumpeter Swan festival.
Courtenay is a fast growing urban community in addition to a rich farmland. It has a major performance center, the Sid Williams Civic Theatre, the largest in this part of Vancouver Island. The British Columbia ferry system links the city to the mainland.
Situated in the far northwest of the country of Canada is the beautiful province of British Columbia. Like most of Canada’s western provinces, it grew as an outgrowth of the numerous trading posts of the fur trading industry formed by the Hudson Bay Company. This fur trade was the basis for towns that grew up around the posts, and afterwards, when gold was discovered in the Fraser Canyon in the 1850’s, gold fever meant even more growth to the province and eventually led to the province becoming part of the new nation of Canada.
British Columbia has new appeal for the visitor these days; instead of fur and gold, majestic mountains bring in nature lovers from all over the world to the many parks and reserves. East of the Peace River, the countryside changes to the no less spectacular prairie land and farmland of the Peace River District.
Tags: mortgage life insurance, Mortgage Life Insurance Courtenay Bc British Columbia