I’m going to break this up into two parts. 1) What is mortgage protection? 2) What is the most important part of Mortgage Protection Insurance?
Mortgage protection is a term structured life insurance policy that’s built around paying off the mortgage if you die or if you are diagnosed with medical issues.
Check out our other videos if you want to know more about what those things are called living benefits.
Usually, these policies are 20, 25, or 30 years in length and you have the same price every month. They are a level policy. They do not decrease with the mortgage. Those level policies tend to have the best prices, best programs around. They are the most popular type and so they are the best. That’s what most of the insurance carriers out there provide. And they are competing among themselves to provide the best programs that are the most tempting to you at the best prices.
And so it brings those prices down for you. Supply and demand. So what are the best some of the most important parts of the mortgage protection policies, most people would say death benefit? I’ve heard death benefit a lot. They want to have it taken care of if they die. I’ve also heard often they want to make sure that unemployment is covered or disability is covered. My opinion is the living benefits are the most important part of the mortgage protection policies, and the living benefits can be lots and lots of different things.
Again, check out our other mortgage protection videos with more information on what these are. But the shortened version of this since this series is short and sweet. The short version of the living benefits is that if you get diagnosed with chronic conditions, critical conditions terminal. That the policy is either going to pay in full or depending upon what the conditions are, they pay out partially twenty-four percent to 90 percent. And again, in some cases, these programs, depending upon the company, depending on the program, depending upon your mortgage amount.
A lot of these will pay out one hundred percent if you get diagnosed with those things. Now, critical, depending upon the carrier, can be lots of different things. But most of them agree that it’s going to be something as simple as a heart attack or a stroke. Is very common. Medical issues, chronic can be a whole lot of things, I’m going to save that for the other videos, please. Again, check it out.
Very, very important that chronic coverage, most of our programs have excellent chronic writer’s built into the policies at no extra cost. And those are very, very important because statistically, people are much more likely to have their living benefits pay than just a death benefit.
Now, as far as unemployment. As far as a disability. Unemployment, there aren’t a whole lot of great programs out there. Now there are options where if you are unemployed. Outside of your control, that they will wave your premiums for six months, potentially more. There are somewhere there’s income protection, and that is the closest thing to what I’ve heard asked for on many occasions, income protection means that you have unemployment and the policy will pay you a monthly stipend, essentially.
So anywhere from a thousand dollars to thousands of dollars, I’ve seen as high as about fifteen thousand dollars a month, depending upon what people are willing to pay for these policies. So if you’re watching this video and you say, oh, that’s what we’ve been looking for, income protection, call us. Just let us know that we need to know up front if that’s what you want because that is its special category. And we’re happy to provide that for you.
And we can quote that quickly. There won’t be it won’t be a lengthy process of getting health information from you.
We just need to know some basic things and then we can run that for you. Now, as far as disability goes, some of those living benefits are within that category. And so it just depends upon what you qualify for. So please reach out to us. If you have other mortgage protection questions, we’re here for you. We’ll help you with whatever you need. And beyond that, stay safe out there.