Mortgage Unemployment Protection Insurance
The housing boom and subsequent bust has been a popular topic on just about every major news show in the country. As we move forward in this new economic environment, people are searching for new ways to protect themselves and their families from economic hardships. Not since the great depression, have people focused so much on protecting their assets and firming up their financial position to better weather the storm. While this downturn may be temporary, the financial awakening of many people will continue. All these factors have pushed insurance companies to develop new products aimed directly at the new needs of their clients. One of these new forms of protection is mortgage unemployment protection insurance.
This new product is aimed at protecting what is typically your largest financial asset, your home. This product will pay you a set monthly amount if your lose your job involuntarily. You are free to use the money how you see fit but the most important asset to most families is their home. It is important to feel confident that your family would not suffer the trauma of losing your home due to the loss of income. Being out of work can be an emotional shock. It is no surprise that insurance companies are racing to deliver products that address these issues.
Levels of Protection
Every financial situation is different. A one size fits all approach to unemployment protection does not make sense. There are 3 levels of protection available to see you through a stressful time. You can select either $1000, $2000, or $3000 a month. By offering this tiered protection, consumers are able to customize the policy to their needs.
Qualification Process and Premiums
Luckily, most everyone who has a fulltime job will qualify for this coverage. The premiums you pay, however, will be based on several factors important to the insurance company. Many of these should come as no surprise to anyone who has sought out an insurance policy in the past. Here is a short list of example factors the insurance company will consider:
- Your Age
- Your Current Health
- Your Health
- Your Employment History and current job length
In addition, this coverage will require some questions about your mortage including:
- Remaining Length of the Mortgage
- Outstanding Balance
- Loan Type (variable rate, fixed, interest only etc.)
Answering questions like these will allow the insurance company to properly assess the risk of the policy and determine your personalized rate quote.
Important Limitations
As with all insurance coverage, there are important limitations with this type of policy.
- These policies will not cover voluntary unemployment. Common examples of this include quitting your job, being fired for cause, seasonal gaps in work common to a profession, or being on leave. This protection is truly for full time employees who unexepectedly find themselves laid off or fired.
- There are limitations to who can qualify for this coverage. Common examples include people who do not receive a w2, seasonal employees, entrepeneurs, business owners, self employed, or any profession that follows a non standard or seasonal schedule.
Searching for Unemployment Mortgage Protection Insurance
As you continue to search for important financial protection for you and your family, take a few minutes to click the link at the top of the page and answer a few questions. You will receive a free, no obligation quote customized to your situation. The process takes a few minutes and will allow you to better understand if the coverage is right for you.