Mortgage protection
Help protect the home your family depends on.
No obligation. See estimated rates before you talk to anyone.
Mortgage protection commonly uses life insurance to help provide money your family could use for the mortgage and other household expenses if you die. Policy Profile lets you explore estimated rates based on your mortgage and coverage needs before deciding whether you'd like help from a licensed agent.
How it works
Life insurance that can help protect more than the mortgage.
- You buy life insurance coverage from an insurance company.
- You choose your beneficiaries—the people who would receive the benefit.
- If the insured dies while the policy is in force and the death is covered under its terms, the death benefit is paid according to the policy.
- Beneficiaries can generally use the proceeds for financial needs such as the mortgage, household bills, debts, or other expenses.
Mortgage protection strategies commonly use life insurance this way. The protection is not limited to sending money directly to a mortgage lender—how the benefit is used is generally determined by the beneficiary, subject to the policy terms.
Common reasons
Why homeowners consider mortgage protection
A mortgage is often a household's largest monthly commitment. People often consider coverage that can help with:
- Helping a spouse or family remain in the home.
- Replacing income used for the monthly mortgage payment.
- Providing money that could reduce or pay off mortgage debt.
- Helping cover household bills during a difficult transition.
- Protecting other financial responsibilities at the same time.
Your mortgage balance
Start with what you still owe on your home.
Policy Profile's online mortgage protection quote asks for two numbers: your approximate remaining mortgage balance and the approximate number of years remaining on your mortgage. You don't need exact figures to get started.
- Approximate balance
- Roughly what you still owe on your home loan.
- Approximate years left
- Roughly how long until the mortgage is scheduled to be paid.
Using your approximate balance, Policy Profile chooses an online quote amount from the coverage levels below—at or above your balance where possible—so the estimates you see relate to what you owe.
Online quote coverage choices
- $100,000
- $250,000
- $300,000
- $500,000
- $750,000
- $1,000,000
Policy Profile's online mortgage-protection quote experience currently supports coverage amounts up to $1 million. These are our online quote choices, not a statement that insurers offer no other coverage amounts.
Common term lengths
Match coverage to the years your mortgage has left.
Policy Profile uses the remaining years on your mortgage to help present a relevant available term length. The online quote experience can return these terms:
- 1010-year term
- 1515-year term
- 2020-year term
- 3030-year term
Your term may not exactly match your remaining mortgage years. Available term lengths depend on factors including your age and insurer rules, and not every term is available to every applicant.
An important distinction
Mortgage protection is not the same as private mortgage insurance.
Private mortgage insurance, or PMI, generally protects the mortgage lender if a borrower defaults. Life insurance used for mortgage protection is designed to provide a death benefit to the policy's beneficiary under the policy terms.
PMIGenerally protects the lender.
Mortgage protection life insurancePays the policy's beneficiary.
Personally owned coverage
Protection that stays with you.
Personally owned life insurance is generally not tied to a specific employer, so coverage does not depend on staying at the same job.
Your family's needs may be broader than the mortgage alone. A death benefit can help with income replacement and household expenses as well as mortgage obligations.
Policy features and terms vary. Review your specific policy for details on how coverage continues. Planning mainly for end-of-life costs instead? Final expense insurance is designed around those needs.
Pricing
What affects mortgage protection life insurance rates?
Rates reflect both the protection you choose and how an insurance company evaluates your application. Factors can include:
- Age
- Gender or rating sex used by insurers
- Coverage amount
- Term length
- Tobacco and nicotine use
- Height and weight
- Health history
- Medications
- Blood pressure and cholesterol information
- Insurer underwriting
Using tobacco or having a health condition does not automatically mean coverage is unavailable. Different insurance companies evaluate applicants differently.
Compare your options
One agency. Multiple insurance companies.
Policy Profile is a licensed insurance agency, not the insurance company issuing your policy and not a mortgage lender. We work with multiple insurance companies so you can explore estimated rates first.
If you request it, a licensed Policy Profile agent can help compare available options and review how coverage may fit your mortgage and broader household needs. The issuing insurance company determines final eligibility and premiums.
Mortgage protection and term life
Often the same kind of policy, planned around a different purpose.
Mortgage protection strategy
- The coverage decision is centered around protecting a home, remaining mortgage obligations, and household finances.
- Coverage amount often starts from the remaining mortgage balance.
- Term length often relates to the years left on the mortgage.
General term-life planning
- Coverage may be selected around broader needs such as income replacement, children, debts, education, and other financial responsibilities.
- Coverage amount often reflects total household needs.
- Term length often relates to how long others depend on you.
These overlap: a mortgage protection strategy commonly uses term life insurance, and many people choose one policy that covers both purposes. Learn more about Term Life Insurance. Considering longer-term coverage? See how indexed universal life insurance works.
Common questions
Common questions about mortgage protection.
Rates you see are estimates. Review our Privacy Policy and Terms of Use to see how your information is handled.
What is mortgage protection insurance?
Mortgage protection usually refers to life insurance purchased with a mortgage in mind. If the insured dies while the policy is in force and the death is covered, the death benefit is paid to the beneficiaries, who may use it toward the mortgage and other household expenses.
Is mortgage protection the same as PMI?
No. Private mortgage insurance generally protects the lender if a borrower defaults. Life insurance used for mortgage protection is designed to pay a death benefit to the policy's beneficiary under the policy terms.
Does mortgage protection automatically pay off my mortgage?
No. The death benefit is paid according to the policy, not automatically to your lender, and it is not a promise that the mortgage will be paid off. Whether it covers the full balance depends on the coverage amount and what is owed at that time.
Does the mortgage lender have to be the beneficiary?
Not generally. With personally owned life insurance, you typically choose your beneficiaries. Beneficiary designations and policy rights are governed by the policy and applicable requirements, so review your policy and any loan documents.
How much mortgage protection coverage should I consider?
Many people start with their remaining mortgage balance, then consider other household needs such as income, debts, and dependents. Policy Profile's online quote uses your approximate balance to choose a coverage amount from its online options, up to $1 million.
How long should mortgage protection coverage last?
People often consider a term that relates to the years left on their mortgage. The online quote can return 10, 15, 20, or 30-year terms, which may not exactly match your remaining years. Availability depends on your age and insurer rules.
Can I still qualify if I have health conditions or use tobacco?
Health conditions and tobacco or nicotine use can affect pricing and available options, but they do not automatically mean coverage is unavailable. Insurance companies evaluate applicants differently; eligibility depends on the insurer's underwriting.
Are the rates Policy Profile shows final?
No. Policy Profile shows estimated rates based on the information you provide. Final eligibility and premiums are determined by the issuing insurer after its application and underwriting process.
Protect what you've built
See what mortgage protection could cost you.
Tell us a little about your mortgage and yourself to explore estimated life insurance rates based on the information you provide.
No obligation. Ask for help only when you're ready.