What Is Mortgage Life Insurance?
Suppose you have purchased your own house. All the amenities and bills are yours to deal with and you can build and furnish the house however you please. When you are doing the paperwork with your associated banker, they ask you if you would like to purchase mortgage life insurance. Mortgage life insurance is a product bought directly from the bank and bought directly to take care of the house. As you continue to make payments on your home and on your mortgage, the amount of life insurance declines and reduces. The beneficiary is not your spouse, your children or any family member, it is the bank or the mortgage company. So if something tragic happens to you, premiums go directly to the bank to pay off your mortgage completely.