|
# |
Question |
ClearDay
Mortgage
Solution |
Your
Mortgage
Leander |
|
1 |
Can I choose my own beneficiary for the insurance proceeds?
Because the mortgage lender is the policy owner, they
automatically become the beneficiary of all proceeds. |
YES |
NO |
|
2 |
Can I apply for more coverage for other needs?
You can apply only for an amount equal to the initial
mortgage through a mortgage lender. |
YES |
NO |
|
3 |
Will my coverage remain level throughout the mortgage period?
The amount of coverage available through a mortgage lender is
limited to the outstanding mortgage balance. This coverage amount
decreases with each mortgage payment made, but your cost will remain the
same. |
YES |
NO |
|
4 |
Are my premiums fully guaranteed in the contract?
Premiums paid through a mortgage lender are on a group basis
and therefore can be increased on a group basis if the experience of that
group becomes unfavourable. |
YES |
NO |
|
5 |
Could I pay less if I am in good health and don't smoke?
Most mortgage insurance available through banks consider only
the age of the borrower to determine your cost of insurance. There is no
preferred pricing for better health risks. |
YES |
NO |
|
6 |
Does my coverage stay in force if I move or change mortgage
lenders?
Mortgage insurance at most banks is not portable. If you move
or change mortgage lenders, you must re-apply and qualify for new coverage
with the cost based on your new age. |
YES |
NO |
|
7 |
Can my coverage extend past my mortgage period?
Since mortgage lenders only offer coverage to protect the
outstanding mortgage balance, once your mortgage is paid off, regardless
of time, your insurance coverage will cease. |
YES |
NO |
|
8 |
Can I convert my coverage to a permanent plan, even if my
health has changed?
There are no conversion privileges with your bank's mortgage
insurance. |
YES |
NO |
|
9 |
Am I guaranteed to received advice from a licensed insurance
advisor?
Service representatives with mortgage lenders are not
licensed insurance advisors, and therefore cannot offer expert advice
regarding your insurance needs. |
YES |
NO |
|
10 |
Is the policy guaranteed to pay out when my family makes a
claim?
Since the process of underwriting has not yet been completed,
there is no policy or contract issue. You will received a 'Certificate of
Insurance'. Underwriting will be done a time of claim (death) to determine
if the Certificate of Insurance should be honour (paid out). |
YES |
NO |
