Mortgage Life Insurance is a form of insurance specifically designed to protect a repayment mortgage. If the policyholder were to die while the mortgage life insurance was in force, the policy would pay out a capital sum that will be just sufficient to repay the outstanding mortgage.
Mortgage life insurance is supposed to protect the borrower's ability to repay the mortgage for the lifetime of the mortgage. This is in contrast to Private mortgage insurance, which is meant to protect the lender against the risk of default on the part of the borrower.
Read more about Mortgage Life Insurance: The Mechanics, The Controversy, Private Mortgage Insurance
Famous quotes containing the words mortgage, life and/or insurance:
“The mortgage is still in our name but, increasingly, the house is theirs. One diaper, one vote.”
—Fred G. Gosman (20th century)
“I am Anne Rutledge who sleep beneath these weeds,
Beloved in life of Abraham Lincoln,
Wedded to him, not through union,
But through separation”
—Edgar Lee Masters (1869–1950)
“The Republican convention, an event with the intellectual content of a Guns’n’Roses lyric attended by every ofay insurance broker in America who owns a pair of white shoes.”
—P.J. (Patrick Jake)