Mortgage disability insurance — sometimes referred to
as mortgage payment protection insurance — is a type of long - term disability insurance meant to specifically cover some or all of your mortgage payments if you can't work due to illness or injury.
The six percent limitation also includes seller payment for permanent and temporary interest rate buydowns and other payment supplements, payments of mortgage interest for fixed rate mortgages and GPMs only (but not principal),
mortgage payment protection insurance, and payment of UFMIP.
Mortgage payment protection insurance will make those mortgage payments in the case of redundancy.
Mortgage Payment Protection Insurance.
Mortgage payment protection insurance can provide policy holders with a payout that will be equal to their monthly home loan repayments throughout the period that they are not able to work because of accident, sickness or unemployment.
Mortgage life insurance, also known as mortgage protection insurance (MPI),
mortgage payment protection insurance (MPPI) or even mortgage disability insurance, pays off your mortgage if you die or are disabled.