Manulife puts digital twist on mortgage creditor insurance

Leading Canadian insurer moves to help mortgage brokers offer some peace of mind to their clients' families

Manulife puts digital twist on mortgage creditor insurance

As Canadians show increased comfort with digitally offered financial products, Manulife has announced that it is helping create more convenient ways for consumers to get mortgage creditor insurance.

To support mortgage brokers in Canada who want to help protect their clients’ families and homes, Manulife is offering a new digital application tool for mortgage creditor insurance aside from the existing paper-based method. Embedded directly into partnering mortgage origination systems (MOSs), the online process lets mortgage brokers access the resources and easily send online application links for clients to apply for Manulife’s Mortgage Protection Plan.

“A family dealing with a sudden change – such as death or disability – needs options when it comes to mortgage payments,” said Clinton Wong, vice president, Mortgage Creditor Insurance at Manulife. “Mortgage brokers are crucial to help clients not only buy their dream home but also protect it.”

According to a recent Mortgage Creditor Report commissioned by Manulife, nearly half of Canadians (45%) own a home with a mortgage. However, less than half of them feel their family would be financially prepared to face unforeseen events such as death (41%) or disability (31%). The study also revealed that among Canadian homeowners with a mortgage, 54% would find it valuable if their mortgage broker shared some available options to help them protect their home and family.

The Canadian insurance giant’s Mortgage Protection Plan includes a life insurance option, which would help ease the strain on loved ones by paying the remaining mortgage balance in the event that the mortgage holder passes away. It also comes with a disability insurance option, which helps provide protection for the mortgage holder by covering up to 24 consecutive months of monthly mortgage payments should they be left unable to work by a serious accident or illness.

“With the introduction of our online application process, we want to offer convenience and flexibility so they can choose what is best for their business and their clients,” Wong said.