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// MORTGAGE PROTECTION
Mortgage Protection Insurance in Baton Rouge
If something happens to you, your family shouldn't have to choose between grieving and making the mortgage payment. Mortgage protection insurance pays off your home loan so they can stay in their home. We compare rates from multiple carriers to beat the offers your lender sends in the mail.
What Is Mortgage Protection Insurance?
Mortgage protection insurance is a term life policy matched to your home loan. If you pass away during the term, the death benefit goes to your beneficiary, and they can use it to pay off the remaining mortgage balance. Your family keeps their home without worrying about the monthly payment.
You've probably gotten those letters in the mail after closing on your house. Your mortgage company wants to sell you their version of this coverage. The concept is smart, but the policy they're offering is usually overpriced and comes with a decreasing benefit. That means as you pay down your mortgage, the payout shrinks too. You pay the same premium for less coverage every year.
Through an independent agent, you can get a level benefit policy instead. The payout stays the same whether the claim happens in year 1 or year 25. And because the policy belongs to you (not your lender), it stays in force even if you refinance or switch mortgage companies.
// WHAT'S INCLUDED
What Mortgage Protection Insurance Covers
Mortgage Payoff
The primary purpose: if you pass away, the death benefit pays off your remaining mortgage balance so your family can stay in their home without worrying about the monthly payment.
Level Death Benefit
Unlike lender policies that decrease as you pay down your mortgage, we can place policies with a level death benefit. The payout stays the same no matter when the claim happens.
Portable Coverage
Your policy stays with you, not the lender. If you refinance, move, or switch to a different mortgage company, your coverage continues without interruption or new underwriting.
Disability Rider Option
Some policies offer a disability rider that covers your mortgage payment if you become disabled and can't work. This protects you while you're alive, not just your family after you're gone.
Critical Illness Rider
A critical illness rider pays a lump sum if you're diagnosed with a covered condition like cancer, heart attack, or stroke. That money can go toward mortgage payments, medical bills, or anything else.
Accelerated Death Benefit
If you're diagnosed with a terminal illness, most mortgage protection policies let you access a portion of the death benefit early to cover medical expenses or spend time with family.
Why Get Mortgage Protection Through Chabert
The mortgage protection mailers you get from your lender come from one company with one price. That's it. No comparison, no negotiation. And that price is almost always higher than what you'd pay through an independent agent. We've seen lender quotes come in 30-50% above what we can find for the same coverage amount.
We're an independent agency in Baton Rouge, and we work with multiple life insurance carriers. When you call us, we compare mortgage protection rates from several companies and show you the options. A healthy 35-year-old with a $250,000 mortgage might pay $30-$50 a month for a level benefit policy. That's often less than what the lender's mailer is quoting for a decreasing benefit.
We also help you decide if a standalone mortgage protection policy is the right call, or if a broader term life policy makes more sense. If your mortgage is your family's biggest financial risk, mortgage protection covers it directly. But if you also want to replace income, cover college costs, and pay off other debts, a term policy with a higher death benefit gives your family more flexibility with the payout.
Everything is handled over the phone. Call us at (225) 395-4000 and we can usually get you a quote the same day.
Get Your Mortgage Protection Quote
Or call (225) 395-4000 to talk to a local agent.
// COMPARISON
Lender Policy vs. Independent Agent Policy
Not all mortgage protection policies are the same. Here's how the mailer offer from your lender typically compares to what you can get through an independent agent:
Death benefit
Lender policies usually have a decreasing benefit that drops as you pay down your mortgage. You pay the same premium but get less coverage over time. Through us, you can get a level benefit policy where the payout stays the same for the entire term.
Beneficiary
Some lender policies pay the mortgage company directly. An independent policy pays your beneficiary, who decides how to use the money. They might pay off the mortgage, or they might decide they'd rather invest the money and keep making payments. It's their choice.
Portability
Lender policies are often tied to your specific loan. If you refinance or move, you might lose your coverage and have to reapply. An independent policy stays with you no matter what happens with your mortgage.
Price
Lender mailers are usually priced above market because they know most people won't comparison shop. An independent agent compares rates from multiple carriers and can almost always find a better price for the same or better coverage.
Mortgage Protection Insurance FAQ
Mortgage protection insurance is a term life policy designed to pay off your mortgage if you die. The death benefit goes to your beneficiary, who can use it to pay off the remaining mortgage balance and keep your family in their home. It's not the same as PMI (private mortgage insurance), which protects your lender, not your family.
No. Your lender may require PMI (private mortgage insurance) if your down payment was less than 20%, but that's a different product that protects the bank. Mortgage protection life insurance is optional and protects your family. You've probably gotten letters from your mortgage company offering it, but you're not obligated to buy their policy.
PMI (private mortgage insurance) is a lender requirement that protects the bank if you default. It doesn't pay your family anything. Mortgage protection insurance is a life insurance policy that pays your family the death benefit so they can pay off the mortgage. PMI benefits your lender. Mortgage protection benefits your family. They're completely different products.
Rates depend on your age, health, and coverage amount (typically matched to your mortgage balance). A healthy 35-year-old with a $250,000 mortgage might pay $30-$50 a month. That's often less than what you'd pay through the mailers your mortgage company sends, because we can shop multiple carriers to find the best rate. For more on life insurance pricing, see our guide on how much life insurance costs in Louisiana.
If your only goal is making sure the mortgage gets paid off, mortgage protection works. But if you also want to cover other financial obligations like income replacement, college tuition, and debts, a standard term life policy with a higher death benefit might be the better move. We can walk you through both options over the phone and help you figure out which one fits your situation.
Yes. When you buy mortgage protection through an independent agent like Chabert, the policy belongs to you, not your lender. If you refinance, move, or switch mortgage companies, your coverage continues without interruption. Lender-offered policies are often tied to that specific loan and may not transfer.
Still have questions? Call (225) 395-4000 or get your free quote.
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Related Coverage
Mortgage protection is a specialized form of term life insurance. If you want broader coverage that protects more than just the mortgage, a standard term life policy gives your family more flexibility with how they use the payout. For a side-by-side look at term vs. permanent coverage options, read our article on term vs. whole life insurance.
