This week Insurance 101 will cover Mortgage and/or Debt Liquidation Fund when it comes to finding the proper amount of life insurance to carry.
This fund provides the surviving spouse with the dollars to help pay off an existing mortgage if there is one, or the funds to cover rent payments for an extended period of time. Coming up with this figure is easy since it’s the current balance on the family’s home mortgage. For renters, it is simply the monthly rent payment times the number of months the family intends to stay in the rental unit.
As usual, if you have any questions about this or any other insurance issues please feel free to e-mail me anytime at email@example.com