Reasons to Purchase Mortgage Protection Insurance

If you’ve only recently bought a new property in New Zealand, you may have received a number of offers from agents selling mortgage protection insurance. When you get inundated with several offers, it can be difficult to know which ones to take seriously. But having mortgage protection insurance is vital for many reasons and this article will highlight some of the main reasons to consider taking out a policy.

Family Protection

Having mortgage protection insurance in New Zealand guarantees you a safety net in the event of a death in the family or a serious illness which requires someone to take a considerable amount of time off work. If someone passes away unexpectedly, it can cause serious issues in relation to paying your mortgage. You may think you are covered because you work in a good job and receive a respectable wage that is set to increase over time, but if something happens to you or one of the main breadwinners in your family, it could cause serious problems.

It is impossible to predict what may happen in the future, and you never know when an unexpected illness or death may occur. Even if you think you don’t need to a policy, you should take some time to consult with a mortgage insurance expert. They’ll be able to provide you with some valuable reasons as to why you should consider taking out a policy, it won’t cost you anything to speak to an insurance broker and in the process compare mortgage insurance just to see what is on offer.

Primary Asset

Let’s face it, our home is one of our most treasured possessions and considering you take out all kinds of other insurance policies, why not look for the best mortgage insurance to cover your home. We take out insurance on our cars, and some people even insure their body parts, so why should we neglect such an important asset. Your mortgage is an immense investment for most people and having nothing to safeguard it doesn’t make much sense.

High Rate of Acceptance

Purchasing trusted mortgage insurancein New Zealand from a reputable organisation is a lot easier than you think, it isn’t like going to a bank to apply for a loan. The majority of companies will provide a policy without issues, there aren’t many reasons why a broker would turn your business away.

There are some people who rely solely on their life insurance to cover costs, when in fact they could apply for a mortgage protection policy instead. The problem with life insurance is that not everyone meets the prerequisite due to age or pre-existing medical conditions.

If you are of a certain age or you’ve a health issue which makes it difficult for you to get life insurance, it is advisable to contact a broker and discuss your options. It is far easier to get covered for a mortgage protection policy than it is for something like disability or life insurance. Remember to shop around to find the best possible deals.