Finance Talk

What does mortgage life insurance do does it cover payments for the life of the mortgage

Confused

Charlie

Charlie,

Mortgage Life Insurance is designed to pay off the remaining balance of a mortgage should the policy holder die whilst the policy is in force.

The product you seem to want is actually called Mortgage Payment Protection Insurance. Mortgage Payment Protection Insurance will pay your mortgage for a maximum period of 2 years ( depending on the policy ). You can be covered for redundancy / sickness or both.

Does this help?

Cheers,

BB

A mortgage life policy is just a decreasing term policy. It is actually in your best interest to take out a term insurance policy that will keep a level death benefit.