To answer your questions,

The best thing to do in that situation is to buy low cost term life insurance. The reason for this is because Term life Insurance gives the insured all the control and they have the ability to choose how to use the benefit to pay for bills and such.

With Credit card coverage and mortgage insurance the only thing it covers is the mortgage or the loan but with Term the beneficiary will have the choice on how to use the benefit. If they can afford to keep paying the mortgage or credit card loan, then they can use the benefit for another reason, with mortgage/loan insurance they will just pay off the mortgage/loan.

The premium for most mortgage insurance never decreases but the amount of coverage does over time because the mortgage is being paid off. With Term coverage the premium stays level for the length of the term and the coverage never decreases. With low cost term insurance the insured is the one in control which gives the insured more benefits over other types of coverage.

Hope this helps

Sheldon

Articles from November 2006
More articles from Year 2006

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