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Greg Said:

What is Mortgage Protection Insurance?

We Answered:

Mortgage Protection Term Insurance is a form of life insurance that is intended to provide enough money to pay off the home in the event of the premature death of the insured -- in essence the coverage amount follows the loan amount, i.e. as the loan balance goes down the amount of coverage goes down. This is also known as a decreasing term life insurance product. Because of how the product has been set up it ends up being one of the most expensive life insurance products on the market when comparing the rate per thousand.

If your sole intent is to at a minimum cover the mortgage amount, you are better served purchasing a 30 year level term policy since this will end up costing you less and provide more coverage. If your mortgage is for less than 30 years, the insurance companies also have 20 or 15 year level term products.

I hope this information helps. Good Luck

Sharon Said:

could i claim back mortgage protection insurance that i believe was mis-sold?

We Answered:

It depends upon the reason you believe it was misold. For example if it wouldn't pay out if you were self employed or something and you were then you would definitely have a case. But if it is valid to your circumstances then you would have a much harder time proving that you shouldn't have been sold it as, after all, it was your choice to take it.

Bryan Said:

What are the best lead sources for mortgage protection or life insurance?

We Answered:

I have used several different lead providers but the I use most is https://www.hometownquotes.com/index.cfm…

Harold Said:

Is Mortgage Protection Insurance really necessary?

We Answered:

Yes, however not the kind you buy as mortgage insurance. That has a decreasing value (as you pay your mortgage) and a very high price.

Get yourself a cheap, term life insurance policy instead. You can save as much as 10x over the price of the garbage sold as mortgage insurance.

George Said:

what are the pros and cons of mortgage payment protection insurance?

We Answered:

It depends on the plan you choose.

A good mortgage protection plan is going to cover several things. First if you die, its will pay your mortgage off for you so your family wont have too. This portion of the plan is simply Term Life coverage usually either 15 or 30 year coverage to match the life of the mortgage. You want to probably make sure here that it level benefit and not a decreasing term, I never liked the idea of paying for something that gets smaller over time.

The second part of the coverage will be Disability coverage. Here you want to have a TOTAL disability coverage that will cover you for both accidents and sickness. You’ll want to have a monthly benefit to match your mortgage payment or 65% of your income. Typically these policies have a 90 day elimination period, which means you will have to be out of work for 90 days before benefits kick in. Also look at the benefit period, it should pay you anywhere from about 18 to 24 months that you are out of work.

The other things you'll see on a mortgage protection policy are just bells and whistles, but some of them are nice ones! Two that I like are the return of premium, when the mortgage is done and coverage is no longer needed you get your money back that you paid into the policy. And an accelerated death benefit, if you become terminally ill the death benefit gets advanced to you before you die.

There are unemployment provisions, waiver of premiums, home owner provisions which basically wave the monthly premium for a given time if you ever find yourself in a situation where you need to use them.

Your best bet is to find a policy that rolls all of these into one coverage (1 policy) as you'll save money on policy fees.

Depending on your age and mortgage amount the premium can be typically anywhere from $20 a month to $200 a month.

The only con I can think of that you'd run into would be another monthly bill. So make sure you pick a plan that fits your budget as well as your need.

Joseph Said:

is mortgage protection insurance really need or not?

We Answered:

If you are talking about Mortgage Life Insurance, which pays your mortgage balance off in case you die, no. If you are talking about Private Mortgage Insurance, which protects the lender, it may be mandated in order to get a certain loan.

Vernon Said:

Is the mortgage protection life & disability insurance a strong industry? Is it hard to be a sales agent in?

We Answered:

Yes. it is very hard because you have to be able to handle rejection over and over. You have to be willing to to work evenings because that is when people are available. Even when you are successful in getting an application you still need to get the applicant trough underwriting. Very few agents complete the first year. Sorry but those are the facts.