State Farm Mortgage Protection Insurance Review: Bad In 2023
State Farm Mortgage Protection Insurance
State Farm is a household name but they have above-average rates and deny most people’s applications for mortgage protection insurance. Even if you are healthy, they will raise your rates the majority of the time.
|✅ Give quotes for free||❌ Above-average rates|
|❌ Medical exam|
|❌ Raise rates for traffic violations|
|❌ Picky with applicants|
State Farm mortgage protection insurance is one of the many products State Farm offers.
While we can’t speak for their other products, their mortgage protection product is not something we would advise for anyone.
This article covers all you need to know about State Farm mortgage protection insurance.
Compare 15+ of the top mortgage protection companies’ rates by filling out our quoter.
Table Of Contents
- Does State Farm Have Mortgage Protection Insurance?
- What Does State Farm Mortgage Protection Cover?
- State Farm Return Of Premium
- State Farm Mortgage Protection Rates
Does State Farm Have Mortgage Protection Insurance?
Yes, mortgage protection insurance is one of State Farm’s many products that they offer.
State Farm offers a 10, 20, and 30-year term mortgage protection insurance that is renewable after the term ends up to age 95 but will increase every year in monthly premium.
What Does State Farm Mortgage Protection Insurance Cover?
State Farm mortgage protection insurance pays out the full death benefit amount that you select upon your death.
Whoever you select as your beneficiary will get the cash and they will use that to pay off the mortgage and any other expenses there may be.
It’s important to note that if you pay down your mortgage and there is not much left, your beneficiary will still get the full death benefit.
The death benefit does not decrease over time like some mortgage protection policies.
Some people like State Farm mortgage protection insurance because it has a return of premium option, which significantly increases your monthly premium.
While it is true that not many mortgage protection insurance companies offer return of premium, there are plenty out there with better prices than State Farm.
Return of premium basically works by giving all of your money back at the end of the term, 100% tax-free!
If you had been paying $150 a month for 30 years, you would get a check for $54,000!
That is pretty significant.
But return of premium is not unique to State Farm.
There are many other return of premium mortgage protection insurance companies out there.
Just select “return of premium” option on our mortgage insurance calculator. 🙂
State Farm Mortgage Protection Rates
Overall, we’ve found State Farm rates for mortgage protection to be 15-25% above average.
Rates will also vary greatly depending on the results of your medical exam.
If your cholesterol or blood pressure is high or you have traffic violations they will raise your rates.
If your family has a history of serious medical issues they will raise your rates.
The rates they advertise are rarely what you get in the end, and are a big reason why we do not recommend State Farm.
State Farm will also deny many people over the age of 50 or substantially raise their rates.
You can compare 15+ different companies that DO NOT require medical exams of any kind by filling out our quoter now.
Ultimately, you will end up paying more than you need if you get State Farm mortgage protection insurance.
We at Seniors Mutual are an insurance market place, meaning we can find the best rates available in your location no matter what!
The honest truth is there is never a reason to go with State Farm. They deny most older people and are very picky with who they let in.
If you want to find the best rates for mortgage protection insurance, fill out our quoter or give us a call.
We can find the best rates for you and go over all of your options free of charge.
We look forward to speaking with you!
James douglas Sherriffs
Interested in Mortgage Protection Insurance
Hi James, we sent you an email with more information.
How much is mortgage insurance for my husband, age 81 on a $335000 loan?
Hi Joanne, we sent you an email with more info. There are a few products still available to him.