Mortgage life insurance and personal life insurance

Estate Planning Port Moody

Mortgage life insurance and personal life insurance

Estate Planning Port Moody

Do you have the right insurance for you?

If you’re buying a home or renewing an existing mortgage you may be offered group insurance by your lender or broker to cover the balance (or a portion of the balance) of your mortgage. Mortgage life insurance is typically marketed towards new homeowners who may be concerned that an unexpected death or illness could leave their loved ones burdened by a large mortgage.

Personal life insurance can perform a similar function, but isn’t tied to your mortgage. It’s designed to provide your beneficiaries with financial support in the event of your death, and its flexibility allows your beneficiaries to use the money for whatever purpose they wish. It’s an individual insurance product.

Mortgage life insurance should not be confused with mortgage loan insurance.  CLICK HERE to read the full article from Great-West Life. If you would need help determining what type is most suitable for your personal situation, please be sure to contact us.