Sometimes finding the right type of insurance to match your financial objectives can be stressful. A few important differences to note between life insurance and mortgage insurance:
- Life insurance is underwritten at the time of application, whereas mortgage insurance is underwritten at the time of claim.
- The death benefit on life insurance does not lose value, whereas the death benefit on mortgage insurance declines as the mortgage is reduced.
- You may choose your beneficiary on a life insurance policy. On a mortgage insurance policy, the beneficiary is always the lender.
These insurance policies both intend to serve the same purpose, but the differences are important to consider. If you have any questions about your current insurance policies, we’re happy to schedule an appointment to chat with you! Call us at 250-595-1616.