Mortgage protection insurance is a financial safeguard for homeowners and their families, providing a safety net in the face of life’s uncertainties. While mortgage protection insurance is an option for those seeking to secure their mortgage obligations, it’s crucial for homeowners to carefully examine policy terms and explore alternative insurance options that align with their needs and preferences. 

What Is Mortgage Protection Insurance? 

Mortgage protection insurance is designed to protect homeowners and their families in the event of the borrower’s death, disability or involuntary unemployment. Mortgage protection insurance ensures that the mortgage will be paid off or that mortgage payments will be covered in specific situations, reducing the financial burden on the surviving family members or the homeowner facing unexpected challenges. 

The following are three main types of coverage under mortgage protection insurance: 

• Death benefit—In the event of the borrower’s death, the insurance pays off the remaining mortgage balance, ensuring that the surviving family members are not burdened with the mortgage debt. Disability benefit—If the borrower becomes disabled and cannot work, mortgage protection insurance may cover the mortgage payments for a specified period. The terms and conditions vary, and the coverage may kick in after a waiting period.
• Unemployment benefit—Some policies also offer coverage if the borrower becomes involuntarily unemployed. The insurance may cover the mortgage payments for a specified period, providing temporary relief during unemployment. 

Who Does Mortgage Protection Insurance Protect? 

Mortgage protection insurance primarily protects the homeowner and their family in the event of specific life events. 

How to Get Mortgage Protection Insurance 

Talk with an insurance specialist at Stastny Insurance Agency to determine if mortgage protection insurance suits your needs. Explore additional insurance options to give your family the peace of mind they deserve.