Home purchase represents an important step in the lives of many people, which is often possible by the condition of A Mortgage loan. To protect yourself from any unexpected events that can compromise with a debt payments, there are specifications Mortgage insurance.
What is insurance on home mortgage and how it works
l ‘Mortgage insurance It is a policy that aims to protect both the borrower and the credit company from unexpected events that can affect the debt payments.
Mortune insurance operation involves a payment of a Insurance PremiumWhich can be paid in the same solution at the time of a mortgage sign or debt installments can be extended. In case of a policy claim, the insurance company interferes with the contract conditions, which guarantees the total or partial payment of the outstanding loan.
Is mortgage insurance mandatory?
In Italy, just one Mandatory insurance Has a mortgage -linked policy Fire and burstWhich protects the property from the damage caused by fire, explosions or bursting. This coverage is essential for the protection of the property pricing placed to guarantee the loan.
Other policies, such as The insurance of life That Policies against the waste of employmentI am Optional. However, many banks offer more as a guarantee of mortgages. It is important to indicate whether the borrower has the right to sign these additional policies, and in this case, can choose the product offered by insurance companies outside the credit company, provided they Respect bank needs.
Mortune insurance is covering insurance
l ‘Mortgage insurance It is a policy that protects both lenders and credit institutes, which covers many risks that can compromise with loan payment. The main core includes:
- Fire and burst: Implooted by law protects the property, the property from fire, blasts or damage.
- The loss of job: Guarantees mortgage installments in case of unnecessary loss of work by the borrower.
- Total or permanent disability: In case of disability ensures outstanding loan payments that prevent the borrower from performing work activities.
- Death: In the event of a baker death, the policy extinguishes outstanding debt, and removes the heritage from the burden of payment.
These extra cores, although not mandatory, are strictly recommended to ensure maximum financial safety for both borrowers and their family.
How much does it cost to ensure mortgage
the l Mortune insurance cost This varies based on a number of factors, including the loan amount, mortgage period, lender age and health as well as selected core. Average, the insurance cost is around 5 % of the total amount of mortgageWith the variations that can rotate between it 2 % and 7 %.
For example, 100,000 euros mortgages, the cost of insurance can vary between 2,000 to 7,000 euros. This amount can be paid in the same solution when the mortgage signature (initial prize) is distributed in the time of mortgage installments.
It is important to note that some banks may suggest their insurance policies, but the borrower has the right to choose the policy offered by another insurance company, provided they respect the required requirements by the credit company. –
Mutual and life insurance
l ‘Mortune -linked life insurance This is a policy that guarantees the payment of the residual loan in the event of a borrower’s death during the distinction. This coverage is especially important for the safety of the borrower’s family, avoiding that they should take charge of the mortgaged installments if they disappear.
Who can make insurance on a mortgage
l ‘Mortgage insurance This is accessible to different types of individuals, mainly:
- mutuators: People who are about to enter a mortgage agreement to purchase a property can sign the insurance policy at the same time as financing.
- Mortgage guaranteed: Even those who play the role of guaranteed for the mortgage of other people have the right to sign insurance so that they can protect themselves from any default of the central debt.
- Owner of the current mortgage: People who are already mortgaged and want maximum protection can increase insurance coverage after loan terms.
To be able to subscribe to mortgage insurance, it is usually requested that the contractor:
- Is Residents in Italy;
- There is an age between 18 and 70 years.
These requirements may vary slightly in terms of insurance company and specific contract terms.
How to work for a mortgage policy works
the l Mortune policy compensation In certain situations, the mainly may be:
- Mortune to be early: When the borrower decides to repay the outstanding loan before the natural term expires.
- Mortune surrogate: When you move the mortgage to another credit company to achieve more favorable conditions.
In these situations, if the insurance premium is paid in the same solution at the time of the mortgage sign, the borrower is entitled The compensation of the reward section was not enjoyedThat is, related to the residual duration that is not used by insurance coverage.
Lt iT of refund, it is necessary:
- Submit a formal application: Send a written communication to the insurance company or to the credit company where the policy was signed, and showing the intention of paying the non -happy prize.
- Attach the required documents: Provide a copy of the initial extinction certificate or sabrigation, and an insurance policy mortgage agreement.
It is important to emphasize that some companies can maintain a part of the award so that the management costs can be met. However, these costs should be clearly indicated in the contract and should not represent excessive burden for consumers.
In case of compensation or difficulty in non -retaliation, the borrower may contact himVat (Institute for Supervisory Supervisory) or to doFinancial Bank referee Help and protect their rights.
