Does anyone know about Mortgage Protection Life Insurance?

I was just wondering about programs like this. I know my mortgage corp. has a program for it. What it does is provides a check to pay off the remainder of the mortgage in the event that either I or my husband dies before the mortgage is paid off. I don't know what the cost is yet. (I turn to the LIW ladies first ). Does anyone know about it or have it? It may sound morbid, but it's important to look out for things like this.

Re: Does anyone know about Mortgage Protection Life Insurance?

It is a very very good thing to have but a tad expensive. It pays off the lender should one or both of you pass on.

Re: Does anyone know about Mortgage Protection Life Insurance?

we've gotten tons of stuff in the mail about this. we're going for regular life insurance through john hancock. my brother sells long term care insurance for them & is taking care of it for us. we're getting enough to cover the morgage & then some. actually, the post on this board from last week (was it claud?? i can't remember) about insurance prices- term vs. universal- motivated me to call him & take care of it now! when you own a house its really important to have some kind of coverage just in case.

Re: Does anyone know about Mortgage Protection Life Insurance?

Having insurance to cover your mortgage is a good thing to have, but you're better off getting a regular life insurance policy. Instead of having the policy go straight to paying off the mortgage you can manage the insurance proceeds in whatever way is best for your needs at the time. It might mean banking it and continuing to make monthly payments rather than paying off the whole mortgage for instance. You can probably get a better policy at a better price too.

Re: Does anyone know about Mortgage Protection Life Insurance?

So nice to see this post. I just got a ton of stuff in the mail about this yesterday. I was wondering if we were better off just getting regular long term insurance or getting the mortgage protection.

Re: Does anyone know about Mortgage Protection Life Insurance?

I have been getting tons of stuff in the mail for this and an obnoxious vendor called me the other day about it as well (you don't want to hear about this one and what I told him - Metlife - by the way). My MIL and DH both think it is great to have and will be necessary in our future but right now we just don't have the time or feel the strong need.

Re: Does anyone know about Mortgage Protection Life Insurance?

I agree with Karen H about getting regular life insurance instead. God forbid any of us need it but I'd rather have a lump sum of money that I could do what I choose with rather than have the mortgage paid off. Even if I would ultimately decide to pay the mortgage with it, I'd rather have options. I asked our mortgage broker about the mortgage payoff ins and this was his advice. Our lawyer also agreed that Life Insurance is a better route.

HTH