If you’ve worked hard, met someone you love, and started a family together, it’s only natural that one of the things you’re most proud of is putting roof under the heads of all those people you love, who depend on you. However, a mortgage, while a sign that you are a homeowner, is also an ongoing financial obligation that often takes years to manage.
So what happens to the mortgage if something happens to you?
The Inheritance Of Debt
A mortgage is essentially a substantial loan made specifically to buy and eventually own a home. If you and a loved one take out a mortgage, it’s one of the most natural things in the world, as few people can afford to pay the full cost of a home in cash. Excepting millionaires and billionaires, most of us don’t have the cash on hand for a purchase of that magnitude.
However, while millions of Americans meet their mortgage obligations every year, and pay off the debt in full, eventually owning that home, others don’t. Sometimes this may be due to an accident that disables the breadwinners and makes them unable to return to the work that paid them their salaries.
In other instances, tragedy strikes, and someone responsible for earning a salary and handling the mortgage dies. In situations like this, however, the mortgage that the person was paying doesn’t just stop. Instead, it may be “inherited” by surviving members of the family to handle.
Protecting The Things That Matter
For some people, the solution to this concern is life insurance. After all, life insurance is a contingency that is designed to provide some financial peace of mind to loved ones if an earner in a family should die. However, life insurance is general. Once the policy is fulfilled, the money from a life insurance policy can be used for anything.
This is where mortgage insurance comes in. Unlike life insurance, mortgage insurance is designed to do only one thing. It can either pay the remaining monthly installments on a mortgage, or it can pay the remainder of the mortgage in full, thus ensuring clear and free ownership of the home.
The Big Difference
With mortgage insurance, you have the peace of mind that comes from knowing specifically that the home you’ve worked so hard for will be protected for your family, even if you are no longer able to complete your financial obligations for paying the mortgage.
However, mortgage insurance can benefit you too. Unlike life insurance, mortgage insurance doesn’t necessarily have to pay out to beneficiaries upon death. A mortgage insurance policy may also apply to you if an accident occurs that leaves you unable to work. There are plenty of ways to make mortgage protection life insurance work not just for your loved ones, but for you as well so that everyone has more peace of mind.
If you’re interested in sleeping a little easier at night knowing that your home and its mortgage have a little extra financial protection, let us help you. Contact Asurea, and ask about our mortgage insurance, and other policies for you and your family.