Mortgage Unemployment Insurance
Mortgage Unemployment Insurance
For a lot of people, mortgage unemployment insurance is becoming a more and more popular option. In case you haven’t noticed, and I’m sure you have by now, the economy is in the gutter and everyone is saving wherever they can and scrambling to make ends meet. If you have even the slightest concern about your current source of income, mortgage unemployment insurance makes a lot of sense and is an option that should be explored.
Should you be dismissed from your job through no fault of your own, via firing or layoff, mortgage unemployment insurance will make monthly payments in the amount of your mortgage payment, mortgage insurance, as well as some other expenses depending on the policy.
Ultimately, by having this insurance you can be sure that your mortgage payment status will not be placed in to jeopardy, or potentially have your home repossessed by the mortgage issuer for nonpayment.
One thing to remember is that typical mortgage unemployment insurance can take a month or two to start payments after a loss of income. The insurance will reimburse you in full, but any mortgage payments due in between the loss of income and payment of benefits will be your responsibility in the eyes of the bank so try to ensure that you have at least one month’s mortgage payment in your savings account.
Some policies will also let you add on additional coverage should you become sick or disabled and lose income for a temporary period. Talk to your mortgage unemployment insurance agent for more specifics on what policies are available and how much it costs. If you have the slightest concern that the economy will cause a disruption in your income, mortgage unemployment insurance may be right for you.