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Insuring your biggest investment--- your home


By Hardy9




Your home is probably the biggest investment you'll ever make. when arranging mortgage,your mortgage company offer you mortgage insurance. have you consider the advantages of personal life insurance to cover your mortgage?you must know what is the diffrence between them.

Mortgage Insurance:-
Most companies offer decreasing term insurance mean the benefits are decreasing but the cost of the insurance remains level,the coverages expires without allowing you the opportunity to purchase other insurance or provide you with cash values.
the proceeds are payable to the mortgage company,in the event of death,the mortgage company is automatically repaid.
In most cases, if you take your mortgage to another company,you lose your protection. To obtain mortgage insurance with the new company you must submit new satisfactory eveidence of health and new satisfactory eveidence of health are subject to the current rate charged by the new company.
The face amount can only be the exact amount of your mortgage no more no less
you may not be able to insure both you and your spouse if the mortgage is registerd in only one spouse's name.

Individual Life Insurance:-
you can choose term coverage and match the term length to your amortization period.A term life policy may be coverted,regardless of health, 35 year level premium term life insurance is available in the market which may cover you upto 95of your age. It provide more coverage with less dollar
You appoint a beneficary who can use the proceeds in wharever manner he/she wishes(i.e., to invest rather than payoff a low intrest mortgage)
Your policy is portable. If you transfer your mortgage to another company,your insurance remains in force. you don't need to re-apply and provide your insurability.you are protected from the danger of losing your insurance beacuse of your health.
you may select an insurance amount sufficent to cover your mortgage and other outstanding debts and term length to match your amortization.
You can insure both you and your spouse even if the mortgage is registered in one spouse's name

Hardyal S. Riar
647-298-9633

 


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