Regardless of the reason – renovations, buying a home – new financing always entails new responsibility.
That new responsibility is undoubtedly a good fit with your current lifestyle, which is why you obtained the financing you requested. Should an unexpected misfortune occur, however, that responsibility could quickly become a heavy burden.
Why should you take out loan insurance?
Mortgage financing is possibly the largest investment you will ever make in your life. Your mortgage payments represent a significant portion of your expenses.
Loan insurance is the solution that will ensure everyone’s peace of mind.
How does loan insurance work?
In the event of your death, the insured balance of your loan is repaid. Your family’s home can then be a significant asset rather than a debt that is difficult to pay back. The loan used to finance your projects is protected and does not become a burden for your loved ones.
In the event that you are diagnosed with a critical illness (cancer, stroke or heart attack), the insured balance of your loan is repaid. You can concentrate on getting better knowing that the insured balance of your mortgage is paid.
In the event of disability, your insured payments will be covered. Whether you have a mortgage or an All-In-One, if you are disabled for more than two months, your payments will be made, giving you peace of mind.*
Did you know…
- The probability of becoming disabled is high: 1 person in 3 .
- Critical illnesses can all too often be fatal.
- Approximately 1 in 2 Canadians will be diagnosed with cancer and 1 in 4 will die from it, the risk being slightly higher in men than in women. 
- A strokes is the third greatest cause of death in Canada .
The statistics are there to prove it: since we can’t predict the future, it’s best to be protected.
Who is eligible for loan insurance?
To be eligible for loan insurance, you must be between 18 and 64, a resident of Canada or the United States, and be a borrower, co-borrower, guarantor, endorser, or the spouse of one of those persons.
Depending on your situation, if you answer “No” to any of the following questions, take the time to talk to your advisor about your protection needs.
1. Do you have insurance other than the group insurance provided by your employer?
- critical illness
2. Do you have an emergency fund that is equivalent to three months’ salary or more?
3. If you were diagnosed with a critical illness, could you stop working temporarily and continue to make your mortgage payments?
4. In the event of your death, will your spouse’s income be sufficient to maintain your family’s standard of living?
How do you sign up for loan insurance?
To sign up for life insurance, you must complete an insurance application. This form usually asks you to provide certain personal information, general information about your financing, and a health declaration. Depending on your situation, the insurer may automatically approve the application or prefer to analyze it further.
Insuring your loan ensures your peace of mind.
Life – Critical illness – Disability
The National Bank offers three complementary forms of loan insurance to give you protection you can count on.
Avoid losing the savings of a lifetime should you become ill or suffer an accident: take out insurance when you make the most important purchase of your life.
As your state of health can change without warning – which could make you ineligible for insurance coverage – sign up for loan insurance right away. Plan your budget accordingly in order to continue realizing your dreams with complete peace of mind.
To find out more about our loan insurance, talk to your National Bank advisor or visit www.nbcmore.ca/loaninsurance/home.
National Bank Life Insurance loan insurance is a product offered in conjunction with financing from National Bank of Canada.
Insurer: National Bank Life Insurance Company
National Bank Insurance is a trademark used by National Bank of Canada and some of its subsidiaries.
* In accordance with the terms and conditions of the insurance certificate.
 Statistics Canada
 Canadian Cancer Society: Canadian Cancer Statistics 2011
 Heart and Stroke Foundation
Source photo : iStockphoto®