Mortgage loan companies usually offer their clients the option to buy mortgage decreasing term life insurance which guarantees that your mortgage will be paid off in the event of your premature death.

Although the idea behind it sounds good, purchasing mortgage term life insurance is usually not recommended, unless you are in extremely poor health and cannot qualify for life insurance coverage elsewhere. 

Who will benefit from mortgage term life insurance?

Mortgage term life insurance can be th...

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Is there any simplified issue mortgage term life insurance available?

Yes, there are simplified issue term life plans that offer coverage up to 30 years to provide protection to help pay off your home mortgage loan.

Most mortgage term life policies offer coverage for a period of 10, 15, 20 or 30 years. So, if you have a 15 or 30 year mortgage, a simplified issue term life policy can help you accomplish your goal.

For example, one carrier offers up to $350,000 of simplified issue life insurance f...
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Life insurance is usually not required when getting a mortgage loan on your home unless the down payment is very low, for example, 5% or less.

Then, the borrower is required to buy a type of insurance called "PMI", or Private Mortgage Insurance. This insurance coverage would pay the lender what is owed to them from the outstanding unpaid balance on the mortgage loan in the event of the mortgage borrower's death.

However, many people do use regular term life insurance to prote...

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