||Personal Life Insurance
|Ownership of the contract
|Amount of insurance
||Declines with your outstanding mortgage balance
||Remains the same unless you change it
|Cost of insurance
||Remains the same even though your coverage decreasesIf you move houses or change mortgage companies, your new cost of insurance will be based on your new age and will be higher.
||Remains the same for the length of time you choose.You can move houses, mortgage companies, or change your lifestyle with no change in premiums.
|Change in contract
||Can change without your permission
||Only you can make changes, as long as you maintain the premium payment
|Who is paid on death(Amount of payout)
||Bank.(Outstanding mortgage balance is paid)
||Your chosen beneficiary.(The full amount of the policy you chose)
|When is underwriting done
||In most cases, at time of claim. This means the insurance company may determine you are not eligible for a payout even though you have been paying premiums. For instance, a claim may be denied because an investigation of your medical records indicates you once had high blood pressure or high cholesterol.
||When you apply for individual insurance through, a licensed insurance broker, your medical history will be examined before a policy is issued. The insurance broker will ask detailed questions and may arrange for a nurse to conduct a physical. Once a policy is issued, it is guaranteed.