FAQs

Frequently Asked Questions

QUESTION #1. When you die who would receive the death benefit?

ANSWER: Your chosen beneficiary, not your lender, would receive the death benefit. You can change your beneficiary anytime.

QUESTION #2. When my beneficiary receives the death benefit, do they have to pay off the mortgage?

ANSWER: No, they do not have to pay off the mortgage. They can use the death proceeds anyway they wish unless you indicate otherwise in your will or trust.

QUESTION #3. Does the death benefit stay level, or does it decrease along with your mortgage balance?

ANSWER: The death benefit stays level and your beneficiary receives the full amount even if you owe less on your mortgage loan.

QUESTION #4. If you suffer a chronic or critical illness, will you be able to access some of the death benefit before you pass away?

ANSWER: If you qualify you will be able to access a portion of the death benefit to use any way you wish. It may be used for nursing home expenses, home health care, medical bills, or replace income.

QUESTION #5. If you sell or refinance your home in the future can you take this insurance protection with you?

ANSWER: Yes. Your contract would be “portable” and once you are approved it is yours to keep regardless of your relationship with your mortgage lender.

QUESTION #6. If you have other insurance coverage on your life should you look at combining the benefit you currently have with this new contract?

ANSWER: Maybe. In many cases it is “cost effective” to combine what you want going forward into 1 contract. It is sometimes cheaper, in most cases simpler, and in many cases would provide more benefit to you and your family for the same money or less.