The majority of homeowners never stop
to consider what would happen if they suddenly didn’t have the
ability to make their mortgage payment. Yet everyday people
find themselves facing sudden illnesses, a death in the family
or a natural disaster that prevents them from having the
necessary funds to pay their mortgage. With mortgage protection
insurance all homeowners can have the extra protection they
Many of those who buy a house and finance a mortgage are
young and very healthy. They really don’t foresee anything
happening that could interfere with their ability to hold a job
and make money. However, illness and accidents to happen and
unless you have mortgage protection insurance in place, you are
likely still responsible for making your full mortgage payment
even if physically that’s not possible.
A common problem that people find themselves facing is being
hurt in a car accident. Auto accidents can be very serious and
depending on the job you do, you might not be able to go to
work for several weeks or months. Although you are likely to
realize a monetary settlement from the accident if you weren’t
at fault that can take years. In the meantime you have a
mortgage to pay and no job to do that. If you have mortgage
protection insurance that includes accident coverage, your
mortgage payments will be made until you can return to
Illness is much the same. Cancer, heart disease and strokes
strike people of all ages, all the time. Serious illnesses
typically prevent a person from working in any capacity.
Without a regular salary coming in, they can face the reality
of losing their home to foreclosure. With mortgage protection
insurance, they can apply for coverage once they can no longer
work. Typically a doctor is assigned to the case and his or her
findings will help determine how long coverage will be extended
for. For a family already facing the hardship of a
life-threatening illness, having to worry about losing their
home shouldn’t be a concern at all.
Most companies that offer funding for homes will have these
types of policies available. The representative that you work
with during the loan process will usually initially ask you
about whether you are interested in mortgage protection
insurance. Many homeowners turn it down because they are
concerned with saving the few dollars a month it would cost.
It’s certainly a personal decision but it’s incredibly
important to weigh the benefits of having mortgage protection
insurance against what could possibly occur if you didn’t.
Think about the long term effects of a serious illness or
accident and just what your family may risk losing if you don’t
have the mortgage protection insurance in place.