Summary – "Insurance providers are coming up with various insurance plans to help new homebuyers make mortgage payments easily. This article talks about how homebuyers can be benefitted from these insurance plans."

Mortgage protection insurance has provided the new homebuyers the courage to see the dream to have a home of their own. Insurance providers are offering insurance plans to help them make mortgage payments easily. Let’s get to know how these insurance plans can help you.

Employment in private organization isn’t something you can rely forever. You can never be sure about the security in the job and other benefits provided by your employer. In case you leave your job or get fired from your organization, all the benefits provided by the employer becomes void. This means if your employer had provided a health insurance plan, it will go invalid after you switch or change the job and if you fall ill, you will have to take care of yourself. Things can go worse when you have mortgage to make a payment and you lose your job, all sudden. Paying your medical expenses, mortgage payments as well as other essential expense can be really tough if you have no consistent source of income. Hence, insurance companies are offering a specially tailored insurance plan for such buyers to pay keep their mortgage going even in their unemployment.

How Does Unemployment Protection Plan Help?

These plans are specifically designed to help you make your premiums timely when you are unemployed and don’t have a consistent source of income. Under these plans, you pay a fixed premium every month while you are working, and the insurance provider will take care of your mortgage payment in case you go unemployed due to some reasons. Whenever you go off work, these insurance providers help you a monthly income to take care of your mortgage payments. To motivate their buyers to resume work as soon as possible, they don’t provide an amount as big as their full monthly salary however, if you choose a comprehensive plan you can receive up to 70 percent of your monthly income for the same. This amount can greatly help to take care of your mortgage payments, medical and other essential expenses.

FAQs About Mortgage Insurance Plans

Here are the answers of some most commonly asked questions about a life insurance mortgage plan:

 What All Does Mortgage Protection Cover?

These insurance plans cover three major scenario that are injuries, illness and jobless. This mean whenever you fall ill, meet an accident to go off work due to some reasons, you become eligible to receive a monthly income from your insurance provider.

 How Much Income Can You Claim with An Insurance Plan?

This income varies by the insurance provider as well as the plan. You are supposed to get in touch with multiple insurance providers and try to get more and more mortgage life insurance quotes. They will also let you know the benefits and limitations associated with each insurance plan and you can choose a plan that offers the maximum income which may go up to 70 percent of your current monthly salary.

 How to Decide on A Plan?

Firstly, you are supposed to make a request on the website of insurance providers to receive multiple insurance quotes from them. Once, you have made the request, insurance agents from different providers will reach you with multiple insurance plans for you. They will ask your specific requirements, budget constraints and clearly explain all the suitable plans for the same. Depending on the benefits and coverage they provide, you can go for a cheap mortgage insurance.

 How to Make A Claim?

You are supposed to inform your insurance provider in advance that you’ve recently lost your job and can’t pay the mortgage for the upcoming months. They might ask you to submit some relevant documents to process your claim. Once you have submitted all the required documents and evidences, they will process your claim and you will receive a cheque at your address after a few days.

Important Facts to Know

 There are insurance plans that offer a cover in the event of accident, sickness as well as job loss.

 You may lose your coverage even if miss your mortgage payment without informing the lender in advance.

 Also, your claim might be rejected if they don’t feel that you are actively looking for a new job.

Author's Bio: 

Anil Kumar is the owner of Optinsure and has been providing insurance-related support and services to help customers make their most crucial financial decisions. Owing to his vast knowledge and expertise in the industry, Anil has been successfully solving people’s queries about insurance options in different niches. His premium services for providing cheapest mortgage payment protection and life insurance quotes has enabled him to cater a huge clientele group and get appreciated among the same.