MORTGAGE PROTECTION RATES (2025)

What is Mortgage Protection?

Well it is a concept where we pair the amount of life insurance to the remaining amount of your mortgage and other household debts to ensure that if you were to pass away, your spouse and children wouldn’t have to sell the home just to make ends meet. We do this by trying to find an affordable term life insurance product that can ensure that you get the most life insurance for the best price. 

What is Term Life Insurance? 

Put simply, term life insurance is a type of temporary life insurance. It allows for cheaper premium payments for more insurance, but for a set period of time (called the term). Often these periods of time are: 10, 15, 20, 25, 30, and sometimes even 35 years. 

You get the price locked in at the age and health you are right now, the price does not increase for the length of the term, and if something were to happen while you are covered, you receive the whole death benefit that was agreed at the beginning of the term. 

Why Term Insurance if it going to expire?

Well the reasons for that are two fold. 

1. Remember this is meant to be something that helps make your mortgage payment or replace income if you pass away. So we try to time this to the length of the mortgage or the number of years you would be working. 

2. But also, term insurance is cheaper than whole life insurance because it will expire. This should not be the only life insurance policy we have in place, but remember the plan. Other policies can serve other functions and so it is best to speak with the professionals to ensure that we can create a strategy that protects you through all parts of life. 

3. Term Insurance also often offers living benefits where you can access the money within the policy, even if you’re still alive in the event of a catastrophic change to your health. Each company’s living benefits are different and so this is where speaking with an agent will really help in trying to find the best solution for you. 

Who needs Mortgage Protection?

Well anyone with a home and a family for whom that home is also where they live and would prefer to continue to live after your passing. 

The most common way that we buy homes now is to take out a mortgage from a bank and make monthly payments. But according to the Bureau of Labor and Statistics, in 2025 there are about 50% of households where both parents are working full time to ensure that all of the family’s obligations are met and bills are paid. 

This means that the loss of one of these incomes would create an additional burden, not to mention the emotional strain that comes along with the death of a loved one. While life insurance doesn’t bring anyone back, it can help keep in place things that can allow for a better adjustment to life without those we love most. 

Some Common Misconceptions

Common Misconception 1) But Patrick, isnt this what my Private Mortgage Insurance is for? I already pay that to the bank. 

• Answer: Actually, no it isn’t. That Private Mortgage Insurance is something that a lender will make you pay as an additional cost so that the lender is protected if you don’t make your mortgage payments. It is a trade-off you make if you put down a smaller amount as a downpayment for the home. Usually this insurance drops off once you’ve made payments that amount to around 20% of the purchase price of the home. 

Common Misconception 2) I’m young and healthy, I don’t need life insurance. 

• Answer: Well no one needs life insurance until they don’t have it. The whole purpose of this strategy is “What if?” as in “What if something happens to me unexpectedly?” The government requires us to have car insurance, but you drive thousands of miles a year without every needing it. Life insurance is the same way. But the thing about it is that it gets more expensive as you age. And as you age, you also become more likely to develop illnesses, making it harder to find the most affordable options. So the best time to actually get life insurance is… when you think you don’t need it because you’re young or healthy, etc. 

Common Misconception 3) I already have life insurance through work, this should be enough. 

• Answer: That’s awesome! But what if you leave? And now you’re older and private life insurance is more expensive or your new employer doesn’t offer life insurance in their package of benefits?  

See some sample rates below and fill out the form to request more information on affordable term life insurance policies.