All About Mortgage Insurance: Update Mar. 09 - 2010 All About "Mortgage Insurance" Information By Insurance Experts

Mortgage insurance is defined as a decreasing term life insurance depending to the amortization of the mortgage period while the premium remains the same over that period. You can purchase the mortgage insurance from the bank, trust or life insurance companies.
1. If you purchase your mortgage insurance from the bank or trust
a) No medical exam is required
b) The beneficiary of the policy is the bank or trust
2. if you purchase your mortgage insurance from the life insurance companies
a) medical exam is required for any sum insured over $100,000
b) The beneficiary of the policy is designated by you ( Kyle J. Norton)

The One Product Better Than Mortgage Insurance? Term Insurance

By B. F. Khan

Now that you have read "10 Reasons MORTGAGE INSURANCE is not a good investment" and if you missed it, check out the investigation that was done by CBC Marketplace titled "In Denial"

Lets continue on what is considered the one product to protect your family!

TERM INSURANCE! YES! TERM INSURANCE!

All the experts agree that TERM INSURANCE is a better product than mortgage insurance.

Ask Suze Ormond or check MSN money and of course check Personal Finance for Canadians.. Dummies book. Here are the reasons why:

1.You are the policy owner and choose the beneficiary. You choose who should get the money because you are in control and not the institution.

2.Death benefits go to your designated beneficiary who can use the funds as needed.Your survivor gets to choose how the money is spent. i.e. pay off the mortgage, pay off debts, invest etc.

3.Coverage amount is determined by you based on a complete needs analysis. Your coverage will take into account, mortgage, debts, survivor income, children's education etc.

4.Coverage remains the same for the duration of policy. Regardless if the mortgage goes down or you have paid off all your debts, the amount you are covered for remains the same for the same price.

5.Policy in good standing remains in force for duration of policy term chosen. Pay your premiums and you are covered for the term that you choose.

6.Policy is portable and remains with you. If you move to another home, your policy remains the same. You do not need to renegotiate for a new policy. Add a rider if you need more coverage.

7.Underwriting and evaluation of medical history is done prior to policy being issued and won't be cancelled later if health issues arise. That explains itself. At least you will know if there are any medical issues up front.

8.Monthly premiums do not start until after you have been approved for a policy.

9.Preferred rates are available for individuals with excellent health. Great health... lower premiums.

Now go back and rethink that mortgage insurance... read previous article to really understand the difference.You need to make sure you are making an informed decision about protecting your future. Now which one will you choose?

B. F. Khan is a new entrepreneur who has found out how to minimize her time and maximize her profits from using the internet to talk about her business.

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