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| Mortgage
protection term insurance vs. other types of term life insurance | | The
face amount under mortgage protection term insurance
decreases over time, consistent with the
projected annual decreases in the outstanding balance
of a mortgage loan. Mortgage protection
policies generally cover a range of mortgage repayment
periods, e.g., 15, 20, 25 or 30 years.
Although the death benefit decreases, the premium is
usually level in amount. Further, the premium
payment period often is shorter than the maximum period
of insurance coverage--for example, a
20-year mortgage protection policy might require that
premiums be paid over the first 17
years. |
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