NLIC.org

Rafael Said:

What good is housing insurance if the insurance companies don't pay you?

We Answered:

Not much! I don't think most of us have a problem with "passing around the hat" and helping these people.

Katrina was a horrible disaster. I have no problem faulting everyone in authority with not doing enough. Like many issues, though, it is so politicized that I doubt we will ever know all the facts about what happened and who failed to do what.

Find the problem and fix it. Worry about assigning blame later - there will be plenty of time for that, before the next election. We have to make sure this human tragedy does not happen again, to the extent we can.

PS I totally misread your pollution tax credit question. (It's a LONG story!) Sorry.

Valerie Said:

does pmi insurance cover the death of a co-owner?

We Answered:

No, it doesn't.

PMI is an insurance that a buyer is required to pay for, if they put less than 20% down on the house. It protects the BANK, and will pay the BANK, if the bank has to foreclose on the house.

It will pay the bank the difference between what the house brings at auction, and the sum of the mortgage balance and foreclosure fees. Then the bank STILL gets to come after the owners for the difference.

Likely, unless your sister had other life insurance, that house will get foreclosed on. AND, your mother's assets can all be attached, to pay any negative equity. That means, her life's savings.