May 23 2017 – Special to The Globe and Mail
When Jody Ahern and her partner bought their first home, a one-bedroom condo in Vancouver, they were equally excited and nervous. They also found themselves somewhat overwhelmed when it came time to decide on purchasing mortgage life insurance.
Not to be confused with Canada Mortgage and Housing Corp.’s mortgage loan insurance, which is required by lenders for buyers who put down less than 20 per cent of the purchase price, mortgage life insurance (often simply called mortgage insurance) is presented by some banks and credit unions as coverage that would kick in if you were to die or become seriously ill. It is often described as “just in case” coverage that would allow you to stay in your home if you ended up in the dreadful position of not only grieving but also being unable to make mortgage payments on your own. On the surface, it sounds comforting and logical.
Read the rest of this article in the Globe & Mail here>>