Mortgage insurance

The importance of protecting your biggest investment!

Are you about to receive funding to carry out your projects? Have you thought about protecting yourself to be able to deal with financial problems following a death, critical illness or prolonged disability?

Mortgage insurance in Quebec

Mortgage default insurance, also known as creditor insurance, is still not well known, but for all of us, buying a home or financing a business is considered the biggest investment of our lives. It is therefore important to protect this purchase or financing. Most people opt for insurance offered by their financial institution, while it is more advantageous to opt for individual insurance.

Loan insurance is easy to obtain and can be adapted to:

• A personal mortgage loan or line of credit
• A personal loan for a car, boat, recreational vehicle, studies and even renovations
• A commercial mortgage loan
• An agricultural loan
• A Personal Line of Credit

Loan insurance is:

• An insured sum that can even be higher than the sum of your loans
• A premium that will never increase
• Coverage of all your loans and lines of credit with a simple and unique insurance
• The choice of the period of your insurance, from 10 to 40 years
• Converting your insurance to permanent life insurance
• Coverage for critical illness or long periods of disability

Get more information by contacting one of our partner advisors.

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MORTGAGE LIFE INSURANCE

The usefulness of mortgage life insurance

Such insurance serves as protection for the mortgage taken out in the event of the borrower’s death. It prevents financial worries that may arise following a death, and relieves the family of the deceased who will not have to worry about paying off the mortgage.

Subscribing with a broker, only profits

Buying a house is one of the most important investments, and it is quite normal to think about effectively protecting your property, through the subscription of a mortgage loan life insurance. Obviously, it is important to be well informed before choosing the most relevant life insurance. This is a crucial choice that can affect not only the person but their entire family. Purchasing individual life insurance is a much better choice than group insurance for many reasons.

There are many benefits associated with a life insurance policy, including becoming the owner of the policy and not just a tenant. Such a policy prevents any increase in the interest rate since the premiums are constant and not variable throughout the term of the loan. In addition, such an option offers the choice of taking out individual or group life insurance according to the needs and situation of each person, which allows you to take advantage of a significant discount on the premium to be paid.

On the other hand, opting for a partner broker allows you to preserve your coverage even in the event of refinancing or a change of creditor. The protection is still valid in this case, unlike the other options offered by credit institutions. In addition, it is an opportunity not to be missed that allows you to transform a mortgage loan life insurance into a regular life insurance without having to undergo the health check again. Taking out individual insurance gives the borrower the opportunity to choose a beneficiary freely and without any constraint and who will benefit from the insurance in the event of death and not the lending bank. Thanks to this option, the beneficiary can repay the loan and dispose of the balance at his or her convenience or meet more urgent needs. Private life insurance is an ideal choice as it provides a benefit to cover mortgage payments, such as critical illness or disability, which provides additional security for the insured and their family.

A broker or your bank?

It is important to know that it is not mandatory to take out mortgage loan life insurance with the lender and that it is possible to take out insurance with any other insurance company or broker. It should be noted that purchasing an insurance policy does not automatically own the coverage. In the event that the insurance is taken out with the banking institution, the latter designates itself as the beneficiary and in the event of death it is the latter who pockets the insurance money and not the family of the deceased. As for the health survey, it is carried out after the death of the insured person and not at the time of taking out the insurance, which is often disadvantageous.

Talk to a certified mortgage insurance expert

By contacting a professional in Quebec, the insured can take out the best mortgage insurance offer at the most advantageous rate possible. With the support of a broker who is not linked to any financial institution, it is a job carried out in complete impartiality to defend the interests of the insured first and at the same time rule out any possibility of conflict of interest.

Such a professional advises his client in a relevant and effective way by answering his questions about the choice of validity insurance, or life insurance or both at the same time, as well as the necessary coverage depending on the amount of the mortgage loan. It presents the advantages of taking out mortgage default insurance while allowing them to apply online through the quote form, which saves time and effort because the process takes no more than a minute. The speed of the response is important and generally the delay does not exceed 30 minutes.

By dealing with an expert, it is possible to take out mortgage insurance at the most advantageous rate in Quebec. Such a choice comes with complete freedom to designate beneficiaries, unlike the option where the insurance is taken out with the financial institution that designates itself as the beneficiary, because it is the sole owner of the mortgage protection policy.

By entrusting your file to an experienced mortgage insurance broker, you are guaranteed optimal protection at very favourable conditions. It is also a way to become the owner of your insurance policy instead of being a simple tenant for the benefit of the mortgage lender. By owning the policy, the policyholder has all the ability to designate his beneficiaries freely and without any constraint. It should also not be overlooked that such a choice allows you to make significant savings of up to thousands of dollars throughout the amortization period of the loan.

It is essential to use an advisor who is registered and approved by the Autorité des marchés financiers du Québec, it goes without saying that it is more reassuring to work with confirmed and reliable experts. In addition, it is an opportunity to take out a mortgage insurance policy at the best price on the market with the help of an independent broker.

Simply request a quote online to get a prompt response within 30 minutes during business hours. Generally, such a broker is available throughout the week until 8 p.m. and on weekends until 3 p.m. A godsend to be able to count on an ally with such availability.

Making the right choice of coverage

Before making your choice about mortgage insurance, it would be wiser to find out about the various points well in advance so that you can make your final decision in full knowledge of the facts.

Indeed, the first thing to be assimilated is the fact that the lending institution cannot be the owner or beneficiary of a private insurance, because only the insured is the owner in this case and he can designate his beneficiaries freely. The best part is that if they want to change lenders, they can do so without having to worry about their insurability, as long as the insurance policy is not linked to the mortgage they have taken out. It should be noted that non-decreasing fixed life insurance with the mortgage balance is more affordable.
A distinction must be made between life insurance and disability insurance, as the latter covers the mortgage payment, the loan line, the credit card and the car loan, in short, it is applicable to all loans taken out.

It is hardly necessary to take out life insurance and disability insurance at the same time, you just have to choose between the two according to your needs and expectations. The flexibility of disability insurance allows you to enjoy more peace of mind. Thus, in the event that the insured has salary insurance, he or she can take out insurance with a modest amount to cover the debts. As far as the health check-up is concerned, it is carried out at the time of taking out the insurance, which means that you no longer have to worry about it when making any claim.

Taking out insurance with your creditor has an impact on the health investigation that is required at the time of the claim, which can possibly have an undeniable impact on the amount of the claim.

Choosing your insurance

To make the best possible choices, all you have to do is contact a mortgage insurance advisor to take out the coverage that meets your exact needs. An independent broker is undeniably the right choice because he is not attached to financial institutions and he uses premium comparators to help his client obtain the best possible coverage.