Mortgage Life vs. Personal Life
October 26, 2007 by First Foundation
Life, Critical Illness, and Disability Insurance
At First Foundation we believe that the type and quality of insurance you carry is just as important as the amount of coverage. Owning a home and managing a mortgage involves large amounts of capital, and can therefore include a fairly significant amount of risk. We simply wouldn't be offering a complete service if we didn't offer a free, no obligation review of your situation to make sure that you and your family are properly protected.
The HUGE difference between Mortgage Life and Personal Term:
|
Insurance Coverage |
Benefit | Cost |
|
Mortgage Insurance |
$200,000 | $50 /month |
|
Credit Card Insurance |
$10,000 | $10 / month |
|
Car Loan Insurance |
$20,000 | $22 / month |
|
Line of Credit Insurance |
$7,000 | $15 / month |
|
Total: |
$237,000 | $97 / month or $4.91 per $1,000 |
Vs. Personal Term Life
|
Insurance Coverage |
Benefit | Cost |
| Personal Term Life Insurance | $700,000 | $93 / month or $1.60 /$1000 |
Clearly not all insurance is created equal!
As you can see above, mortgage life insurance (and other debt coverage insurance) is better than nothing, but clearly not competitive with personal term life insurance on a cost per thousand worth of coverage basis. At First Foundation we believe you can do better than what the banks are offering.
Contact us today for a free, no obligation quote by our in-house Certified Financial Planner to see if you are properly insured. Learn more about life insurance.
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