Many hard working residents of New Jersey experienced the hardship of the recession when they were laid off from work or terminated. The difficulty of making ends meet when there is an interruption of household income brings the value of mortgage protection insurance into the spotlight. With Mortgage Protection Insurance, mortgage payments will still be made for you for a period of time if you lose your job.
The exact terms and conditions of your policy determine when the policy begins to pay your mortgage and for how long. Less expensive policies begin payments after you have been unemployed for 180 days. More expensive policies begin paying after 30 days. Most policies will pay the mortgage for a maximum of 12 months or until you work again. All policies have an upper limit on how much they will pay each month. Some only pay the interest element, not the full amount. Generally, the more you pay for your mortgage protection cover the better your level of protection will be. As with any type of insurance policy, it is important that you read and understand all the terms and conditions of your policy to ensure that you are properly covered.
If your mortgage provider did not require a life insurance policy and a mortgage protection insurance plan as a condition for approving a mortgage, it is worth considering now that we have seen the tragedy of homeowners falling behind on payments as a result of job loss. Even worse, the possibility of foreclosure has increased for many who have been unemployed for an extended period. There is a way to guard against these difficulties.
Want to find out more about the mortgage protection insurance? Visit us at acmarmo.com to get the answers that will help you make the best decision.