Mortgage Life Insurance: Tips on How to Choose

Whether you're moving from life insurance, mortgage or if you're considering signing up for one, be sure to carefully review the components to confirm that you're choosing the plan that meets your goals.

When you have to make such an important decision, consider the following:

• Coverage: The basic coverage for this type of insurance provides protection in the event of death or total disability. However, you can purchase supplemental coverage without affecting your savings. If you are interested in increasing the level of protection provided by the basic plan, contact EXS to learn about the other coverage options and choose the solution that best suits your needs.
• Prize: Confirm the sum insured, as well as whether there will be any remaining benefit to protect your family. It is very important to consider this factor in light of the amount you will pay for the insurance premium. Only by taking these two factors into account can you evaluate the proposal.
• Insured principal and grace period: When you purchase mortgage life insurance, the death benefit is paid within the timeframes agreed upon in the contract, and there is no waiting period—that is, there is no time lag between the policy’s effective date and the coverage provided by the insurance.
• Exclusions: Take note of the situations in which home life insurance does not provide coverage so you aren’t caught off guard. Examples include certain sports (mountaineering, karate, and spearfishing) or self-inflicted injuries. In these cases, you will likely need to fill out a specific questionnaire for review by the insurance company.
• Installment payments: Although the insurance premium is annual—renewing each year and coinciding with the policy’s anniversary—you can choose to pay in installments. Check with EXS to see if monthly payments are an option. In most cases, installment payments are available at no extra cost.
• Medical exams: Check with EXS to find out which medical exams are required to apply for new insurance. EXS guarantees that these exams will be provided free of charge and scheduled according to your availability. However, in most cases, simply filling out a medical questionnaire is sufficient.
• Competing solutions on the market: Contact EXS to learn about not just one, but a variety of solutions and plans from different insurance companies. EXS conducts a market comparison and finds the option that’s best for you, with the best premiums and benefits.