Insurance from the Bank versus Insurance from an Adviser

If you’re buying insurance from a bank to cover your mortgage, you might be surprised to learn that your coverage isn’t everything you expect.

For instance, insurance you buy from a bank will cover your mortgage – and that’s about it. But if you buy insurance from an insurance adviser, you’ll get your mortgage covered and a lot more. This includes any debts that you have, as well as your line of credit.

With a bank, when your mortgage balance decreases, so does your coverage. This is fine – until it isn’t. But with an insurance adviser, your coverage remains the same for as long as you own our policy. Think of it in terms of keeping yourself covered for those ‘just in case’ moments! You might ask yourself “What if I switch banks?” Well, this usually means that you lose your coverage and have to reapply. And with an insurance adviser? You guessed it: your coverage doesn’t change and you don’t have to reapply for anything! When you buy a policy from an adviser, the policy is independent from the banks. And in the case of eventual death, the payout goes to whomever you list on your policy. Not the bank.

This short video from Financial Tech Tools explains the differences regarding what is covered by each, how coverage amounts may fluctuate, and more!

 

Angelina HungAngelina Hung

Featured as “50 Women of Influence” in The Insurance and Investment Journal who contribute their energy, talents and determination toward the financial security of Canadians.

Innovative and top performing Insurance Tech Nerd of Financial Tech Tools with over 10 years experience in the financial services industry. Having worked with advisors and clients, my passion lies in helping people understand their finances using technology, essentially the 21st century napkin drawing.

We’re behind in adapting to changes in technology and understanding how it can help financial advisors, their businesses and their clients and for that reason, I went back to school during my maternity leave to bridge the gap between technology and financial services.There is so much talent in the financial services industry, we are here to help you get your talent out in the digital world.

Our Website: http://financialtechtools.ca/

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