Buying a home greatly changes your debt to income ratio, and should give you pause to re-evaluate your life insurance policy. We know you take great pride in your home, but it goes way beyond that. It’s not just a house. This is your home. The place where you will raise your children, a spot of safety and love… something that you would want to remain constant even in the event of your death.
Death is difficult to discuss and plan for, but it is even more difficult for your loved ones to deal with. The last thing you want to add to the grieving process is a move, so it is imperative that you ensure that your family is able to maintain their current lifestyle even after your passing. This means planning for enough life insurance to cover house payments, insurance and taxes as well as other, everyday living expenses.
After the purchase of a new home, you are often presented with mortgage life insurance. This type of insurance is sold by your bank or mortgage company and sounds like a great deal – they will pay off your home in the event of your death. Unfortunately, the biggest benefactor of these types of policies is the mortgage company. You are constantly paying down your mortgage, so the policy actually covers a lesser monetary amount as time goes on.
Term life insurance is often sold for the same price as mortgage life insurance, yet your benefactors are allowed to make financial decisions as to where the money goes. There might be more pressing issues than the home mortgage. And with mortgage insurance, since the insurance stays with the house, the policy is not transferable in the way a traditional life insurance policy is.
At Pivot, we work your mortgage costs into our assessments for your life insurance needs. We want your family to be covered in the best way possible, and we want them to have the power to make decisions that will best serve the health and livelihood of the family. We’re personal, and that is what makes us a great life insurance company to work with. We listen, we learn, and we offer sound advice based on your family’s unique needs. Give us a call today to see how your family can benefit from a term life insurance policy that is written specifically for you.