Mortgage life insurance, or mortgage insurance as some people call it, is a life insurance policy that you buy on the life of another person with whom you may have a mortgage together. In the event of that person’s death, the proceeds from the mortgage life insurance policy will go towards paying off the remaining mortgage on your property.

Usually, married people buy mortgage life insurance protection on each other’s lives if they own a house together. In such cases, the spouses pay for the coverage to the insurance company and, in return, the insurance company agrees to pay off the remaining balance on their mortgage when one of the spouses dies.

Mortgage life insurance is popular today, because more and more people choose to marry and buy real estate later in life. As a result, it is more likely that one of the spouses will pass away during a 30-year mortgage period.

If this happens and the mortgage on the marital property is substantial, the surviving spouse may face financial challenges that can be easily avoided with mortgage life insurance.

Often, spouses rely on this type of insurance coverage and forgo buying alternative life insurance coverage that would pay benefits in the event of death directly to the surviving spouse.

When a mortgage life insurance claim is delayed or denied, the surviving spouse should consult with a life insurance attorney as soon as possible. A denied mortgage life insurance claim can be paid on appeal if the insurance company erroneously denied it.

An experienced life insurance lawyer will help understand why the claim was denied and whether the beneficiary is owed life insurance benefits under the mortgage life insurance policy.

Because mortgage life insurance cases have three players (the insurance company, the bank providing the mortgage and the policyowner), insurers often refuse to accept liability for a denied life insurance claim and, instead, place the blame on the bank.

The policyowner may be very confused as to what entity should pay the proceeds. At our firm, we have successfully handled similar cases. You can trust that our experienced life insurance attorneys will evaluate your case and help you understand your rights and legal ways of recovering on a denied life insurance claim.

It is certainly wise to have mortgage life insurance that will pay off the remaining balance of your mortgage in the event of death, but it is only worth to buy it if the claim is honored.

Our mortgage life insurance attorneys will help you understand your mortgage life insurance policy, provisions related to situations that are not covered under the contract and possible scenarios of life insurance claim delays and denials.

We offer free consultations on insurance issues related to denied life insurance claims, delayed life insurance claims, denied or delayed mortgage life insurance claims, denied or delayed accelerated death benefits claims and denied or delayed accidental death claims. We work on a contingent fee basis so you will not have to pay a legal fee unless we win your case!

Call (888) 510-2212 for a free consultation.