Best Mortgage Protection Insurance Companies of 2023

USAA mortgage protection insurance is one of the best options for eligible military veterans and their families. It is one of the best-known insurance providers in the country, which offers a wide range of coverage options that can be conveniently bought online or through its mobile app.

USAA has been providing various financial products and services for military personnel for almost a century now, including loans and credit cards as well as both short and long-term insurance coverages.

To buy mortgage protection insurance from USAA, you will need to become a member. Veterans and current service members are automatically eligible, and so are their spouses and children.

USAA offers term, permanent, and universal life insurance policies, all of which provide a number of benefits. Moreover, the term policies include various flexible options, including terms of 10 to 30 years, which can also be turned into whole life insurance later on.

In addition, the insurer offers different add-ons like an accelerated death benefit and severe injury rider. Plus, it also provides the option of adding more coverage for specific life events like purchasing property, getting married, and having a baby. If you are searching for mortgage protection insurance, USAA can upgrade your life insurance plan to provide coverage for a bigger mortgage.

Cost: A 30-year policy for a healthy 33-year-old woman with $500,000 coverage costs $30 per month.

Financial Strength: USAA has an A++ (Superior) rating from AM Best, which proves its exceptional financial strength. 

If you are looking for 20- to 30-year term life insurance with a money-back guarantee for your premiums, the State Farm is one of the best alternatives. With a return of premium feature, you get back all the money you put in the policy at the end of the term if you have made payments on time and have not used any of your benefits. However, it does require a medical exam.

State Farm was founded in 1922 to provide auto insurance to the farmer community. Today, it still offers that as well as a range of other types of insurance like home insurance, rental property insurance, and pet insurance.

It covers all the states except for Massachusetts. You can buy term policies online and find an agent to work with who can give you information on different types of policies and accurate quotes.

Cost: Premium costs are similar to USAA. A 33-year-old healthy woman has to pay $35 per month for $500,000 coverage for 30 years. This life insurance policy can be used to pay off the mortgage as well as other expenses of the family. The quote does not take into account rider packages like child or spouse protection and disability waiver of premium.

Financial Strength: State Farm has good customer reviews as well as high financial ratings. Like USAA, it holds an A++ (Superior) rating of financial strength from AM Best. JD Power ranked State Farm as the No. 1 life insurance provider of 2020, which shows its excellent customer service and satisfaction.

Nationwide offers a range of insurance policies in all states and is one of the most reputable insurance companies in the US. It was founded in 1926 to sell auto insurance to farmers in Ohio. Later, it branched out into other insurance policies, including life insurance, homeowners, renters, business insurance, and other financial services.

Nationwide offers term insurance for 10, 15, 20, and 30 years as well as whole life insurance. If you are looking for Nationwide mortgage protection insurance, you can purchase a term life policy for the amount of your mortgage. Moreover, you can also convert this into a whole life policy before the term expires or before you turn 65. In most cases, you will not need to undergo another medical exam.

Even though you can get the quotes online, you will need to work with a representative on the phone to buy a policy. 

Nationwide also offers optional rider packages, such as waiver of premium and an accelerated death benefit.

Cost: The price of the policy varies, and the cost is based on the age, gender, health conditions, occupation, and smoking and drinking habits of the policyholder. A sample quote for a 33-year-old healthy woman who bought term life insurance for 15 years with $500,000 coverage is $16 per month. 

Financial Strength: The company holds an A+ financial strength rating for AM Best. In JD Power’s 2020 US Life Insurance Study, Nationwide ranked third for its Individual Life products.

Banner Life insurance company is a preferred option for term coverage for young parents with financial concerns like home loans. Banner Life insurance can provide up to 40 years of mortgage protection with its term policies, which is more than any other insurance company highlighted in this guide.

The insurance company offers as much as $10 million in life insurance coverage for a maximum of 40 years, with an option to supplement it with a 20-year term that can provide another level of protection to your family until your children grow up or the mortgage on your house is paid off. This can take care of your shorter as well as longer term financial issues.

Banner Life insurance offers both term and universal term policies but does not provide whole life policies. It is possible to convert term policies to permanent policies. Moreover, the company provides rider packages like coverage for children, an accelerated death benefit, and a waiver of premium. People can also qualify even if they have pre-existing conditions, a family history of cancer, and use tobacco.

Quotes for term policies are available online, but you will need to work with an agent to buy a policy.

Cost: A healthy 33-year-old woman who takes out a 30-year-term policy with $500,000 coverage will have to pay a premium of $27 per month. In addition, Banner Life insurance company will also charge a $60 annual policy fee.

With Protective Life insurance, mortgage protection is easy, particularly for senior citizens. The insurance provider makes it simple for older applicants to buy term protection with beneficial features at an affordable cost, which can be used for a reverse mortgage.

With Protective Life insurance, you need to be at least 62 years of age to take out a reverse mortgage. Typically, if you are an older citizen looking for a life insurance policy as a mortgage protection tool, it can be very cost-prohibitive. However, it’s not like that with Protective.

Coverage amount starts from $100,000 and goes up to $50 million. Term policies are offered in various ranges, from 10 to 40 years. Hence, no matter how big your reverse mortgage is, Protective can help you cover it.

Applicants younger than 66 years can also apply for a 20-year term life insurance policy. You can look for quotes and apply for the policy online; however, you will need to talk to an agent on the phone to confirm coverage. You will also need to go through a medical exam to be deemed eligible for a policy.

Protective term policies can be converted to permanent policies without another medical exam. In addition, a major benefit of Protective is that it offers an accelerated death benefit and coverage for terminal illness at no extra cost. A child rider package with a coverage amount of up to $20,000 is also available.

Cost: Protective provides some of the most affordable life insurance and mortgage protection for senior citizens. A 62-year-old woman can buy a 15-year term policy with a coverage amount of $300,000 for $91 per month, which is cheaper than other similar policies from other insurers.

Financial Strength: Protective has an A+ (Excellent) rating from AM Best, signifying it can easily meet its obligations.

Mutual of Omaha mortgage protection insurance allows seniors as old as 85 years to choose from various term and permanent life insurance policies for mortgage coverage. The company also offers a guaranteed whole life insurance policy for people between the ages of 45 and 85 in most states, with the exception of New York, where the age range is between 50 and 75. 

It’s also possible to apply for a term life insurance policy up to 80 years with no increase in premiums, which is why it is one of the most preferred choices for seniors.

If you’re in good health, a term life insurance policy is the most affordable insurance plan for Mutual of Omaha mortgage protection. You can get coverage of up to $25,000 without a medical exam and a health questionnaire. You can find quotes for monthly premiums online, but an agent will need to call you to verify the purchase of the policy.

In case you want a higher coverage amount, you can also apply for a whole life policy with simplified underwriting, which has limited questions about health and a shorter application process. With this insurance policy, you can get a level benefit plan with coverage amount up to $40,000 for people aged between 45 and 85 or a graded benefit plan with coverage amount up to $20,000 for people aged between 45 and 85 in most states.

Cost: A 35-year-old healthy woman who wants coverage amount of $250,000 will have to pay $13.12 per month.

Financial Strength: An A+ financial rating from AM Best.