Should I get mortgage insurance from my bank?


Lenders will often offer you to sign a mortgage life insurance that will protect the family if the person who carries the mortgage passes away. This coverage is often made available through a bank or another lending institution.

As an alternative to a mortgage life insurance, one may consider term life insurance which will not only cover mortgage payments, but will also take care of all other arising expenses should the person bringing most income at home suffers disease, disability or death.

Although it may seem convenient to get a mortgage insurance from your bank or lender, you may benefit significantly better if you shop around for a tailored term life insurance policy that will not only offer you more coverage and flexibility, but will also have lower monthly premium. A term life insurance may be cheaper than a life mortgage insurance and still get you exceptional coverage, and perhaps you'd better refuse politely to your bank or lender when they offer you a life mortgage insurance and get a term life insurance instead.

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