should I buy mtg accidental death ins?

[juliedealer]

What is the name of your state? Indiana

I just purchased my first home last year. I am 51 years old and have a 30 year mtg. I have no children but would like my neice to inherit upon my death. I've just received an offer in the mail for "Mortgage accidental death insurance" from Minnesota Life for $12.88 per month.

I've never shopped this sort of thing what do I need to look for in a policy?


thanks
Julie

 

[nextwife]

THis sort of insurance is one that providses a "reducing benefit" as the mortgage ammortization occurs. If the mortage balance is half when a claim occurs, then it only pays out half the original mortgage amount. Shop your options.

I would reccomend that you also shop cheap term policies and compare benefits. Especially if you can access a plan through work. These benefits remain full through whatever the term may be, and are also often inexpensive, and some are "portable" and can be continued even afyter leaving the employer.

If you can find a plan that offers a disabilty benefit, and pays the mortgage if you are disabled, that may be of greater benefit to you.