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Mortgage insurance is an insurance policy that protects a mortgage lender or title holder in the event that the borrower defaults on payments, dies or is otherwise unable to meet the contractual obligations of the mortgage. Mortgage insurance can refer to private mortgage insurance (PMI), qualified mortgage insurance premium (MIP) insurance or mortgage title insurance. What these have in common is an obligation to make the lender or property holder whole in the event of specific cases of loss. Mortgage life insurance, on the other hand, which sounds similar, is designed to protect heirs if the borrower dies while owing mortgage payments. It may pay off either the lender or the heirs, depending on the terms of the policy.
Private mortgage insurance (PMI) is a type of mortgage insurance a borrower might be required to buy as a condition of a conventional mortgage loan. Like other kinds of mortgage insurance, PMI protects the lender, not the borrower. PMI is arranged by the lender and provided by private insurance companies. PMI is usually required if a borrower gets a conventional loan with a down payment of less than 20%. A lender might also require PMI if a borrower is refinancing with a conventional loan and equity is less than 20% of home value.
Purchasing a policy online allows convenience of buying a policy 'anytime' and 'anywhere' via a host of secure payment options. The premiums of online plans are cheaper than their offline version, transferring the benefit to the policyholder. You can also pay all renewal premiums online.
Life insurance is an important instrument for millions of families overseas. This instrument helps them in protecting their families and loved ones. Life insurance policies like the term plan provided by companies such as Max Life are reasonably priced. For a small amount of premium, you will be able to seek an extensive amount of life cover, thus helping your family to meet their basic needs in your absence.
While Health Insurance covers the expenses incurred towards treatment, Life Insurance can help your family reduce their financial burden in case of your untimely demise. A Life Insurance plan financially safeguards your family in case of your untimely death. It can help them maintain their lifestyle and achieve their life goals even when you are not around. While a health insurance plan covers costs of hospitalization & related treatment.
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