When we acquire an asset of great value, such as a home,
it is essential that we do everything in our power to
preserve it. For example if we were to fall seriously
ill, the last thing we would want is to sell it or to
place our family in a precarious financial situation.
Mortgage insurance can offer you protection against
such situations. If you are diagnosed with one of the
many illnesses covered in your contract, the critical
illness option will pay your full mortgage balance so that
you can concentrate all your energies on getting better
without having to worry about mortgage payments.
When considering mortgage insurance consider the
following information. Compare for yourself!
| LIFE
INSURANCE |
OUR
PLANS |
OTHER
INSTITUTIONS |
| The amount
payable in the event of death will be: |
100% |
Generally
100% |
| The policy
owner is: |
You |
The lending
institution |
| In the
event of death, the money will be paid to: |
The
beneficiary of your choice |
The lending
institution |
| If I change
lenders when I renew my loan, my insurance will remain
unchanged |
True |
False |
| My life
insurance premium will not be affected in any way by
an increase in interest rates. |
True |
True |
| My
insurance is convertible to a regular life insurance. |
True |
False |
|
DISABILITY INSURANCE |
OUR
PLANS |
OTHER
INSTITUTIONS |
|
If I
were to become disabled, the plan would pay: |
50 or
100% depending on the option selected |
Depends on the option selected |
|
When I
renew my loan, my disability premium will not be
affected by an increase in interest rates. |
True |
False |
|
Disability is defined as: |
The
inability to perform my own job for 24 months |
The
inability to perform my own job, generally for 12
months |
|
CRITICAL ILLNESS |
OUR
PLANS |
OTHER
INSTITUTIONS |
|
Is
critical illness protection offered? |
Yes |
Generally not |
|
Following the diagnosis of a critical illness, I will
receive an amount equal to the balance of my mortgage. |
True |
True |
|
My
critical illness insurance covers 20 illnesses. |
True |
Generally 4 |
|
My
contract specifies that I can use the benefit however
I wish. |
True |
False.
It must be used to pay off the mortgage |
|
PREMIUM |
OUR
PLANS |
OTHER
INSTITUTIONS |
|
My
premium is guaranteed for the entire term of my
contract. |
True |
Generally False |
|
My
premium is determined based on: |
Myself
only |
All
borrowers |
When taking out a policy, we do the underwriting before
the policy is issued. In most cases this includes a
paramedical examination and a urine sample.
Most group plans do the underwriting when your claim is
made, so if for some reason they prove that you are not
insurable you may not receive the benefit for all those
premiums that you had paid.
