When purchasing an apartment on credit, you should be prepared for the fact that mortgage insurance is issued for the apartment. Consider what risks can be included in the apartment insurance form and where it is profitable to buy protection. We will pay special attention to how to quickly and free of charge find out the price of mortgage insurance without contacting the office.
Is it necessary to insure an apartment?
Not all clients know whether it is necessary to purchase mortgage insurance for an apartment or whether they can save money. Mortgage apartment insurance is a mandatory requirement, which is approved by law. However, it is important to consider that the client must draw up only a binding contract.
Title
Title insurance is a voluntary contract that protects against loss of ownership of the acquired property.
Insurance risks:
Attention! In the first four risks, the term limitation period is three years when the last 10 years. As a result financial institutions It is recommended to take out mortgage title insurance for at least 3 years.
Personal
Under the law, personal insurance is not prerequisite. At the same time, banks are interested in this protection, since the contract may provide for the payment of debt.
Risks:
- temporary disability due to a serious illness;
- receiving one of the disability groups;
- loss of a source of income through the fault of the employer (bankruptcy);
- death.
The protection form can be issued annually or immediately for the entire loan term. In the latter case, you can return part of the money when early repayment loan.
Constructive
Apartment insurance for a constructive mortgage is a mandatory product. The sum insured under the policy is equal to the market price of the purchased apartment.
Insurance risks:
Attention! As a rule, the package of risks for an apartment, which is purchased on a mortgage, is fixed in all insurance companies.
military mortgage
The military can count on acquiring an apartment as part of special program. Main advantage military mortgage is that the payment of the loan occurs at the expense of the state.
To obtain a mortgage, the military must open an account (NIS), which will receive a subsidy from the state every month. The military cannot withdraw money from this account. The maximum available amount to receive is 3,000,000 rubles.
As part of the program, you can buy both property in a new house and on the secondary market. The only thing that the military will need to do is to take out insurance for mortgage apartment yearly. Under the contract, only structural elements should be insured.
Is comprehensive insurance profitable?
Since many borrowers are interested in whether it is profitable to buy a comprehensive insurance contract, we will consider its pros and cons.
As for the pros, this is, of course, maximum protection. Having drawn up an agreement, the borrower can be sure that the insurance company will repay the loan and pay money to the client upon the occurrence of an insured event. This is especially true for the reason that the mortgage is issued for several years.
Speaking about the cons, it is worth noting the price of the contract. Since the insurance company is liable for several risks at once, the cost will be too high. Not everyone can afford to overpay in the presence of a large debt.
It turns out that everyone must decide for himself whether it is profitable or not to acquire protection, based on their own capabilities and needs.
It should be borne in mind that when applying for a loan for the purchase of an apartment, it will not be possible to refuse insurance of structural elements. In the absence of an agreement, a bank specialist simply will not issue a loan. As for the extension, in this case, the bank may request repayment of the debt or charge penalties for non-compliance with the conditions. This right is specified in the loan agreement.
As for voluntary types, such as personal and title insurance, when applying for them, you can get a discount of 0.5-1.5%.
Where is it cheaper to apply
The price of apartment insurance for a mortgage is the main indicator in choosing a company. It's no secret that everyone wants to save money. Let's consider tariffs for mortgage insurance in large financial companies.
Where is mortgage insurance cheaper?
| Insurance company/Risk | Structural elements | Personal | Title insurance |
| Sberbank | 0,25 | 1 | No |
| VTB Insurance | 0,33 | 0,33 | 0,33 |
| SOGAZ | 0,10 | 0,17 | 0,08 |
| Alpha Insurance | 0,15 | 0,38 | 0,15 |
| VSK | 0,43 | 0,55 | No |
| Rosgosstrakh | 0,17 | 0,28 | 0,15 |
| RESO | 0,10 | 0,26 | 0,25 |
| Rosselkhozbank | 0,15 | 0,27 | 0,25 |
| Alliance | 0,16 | 0,66 | 0,18 |
| Ingosstrakh | 0,14 | 0,23 | 0,20 |
Having studied the offers, you can see that it is cheaper to insure an apartment on a mortgage in the SOGAZ insurance company. Finance company offers minimum rates also for personal and title insurance.
Important point! When applying for a policy online, the price of mortgage insurance is usually cheaper by 10-15%. Such insurance is offered by the insurance company Ingosstrakh.
How to choose a company
When making a choice, it is worth considering not only how much it costs to insure an apartment with a mortgage, but also the status of the company. Entrust protection only to a reliable participant insurance market. Consider what you need to pay attention to when choosing an insurer.
- Is the insurance company accredited by the bank or not. Usually, big banks are ready to accept protection, which is issued only by partners. If you take out insurance at Sberbank, then you can.
- How long on the market. You should use the services of a large insurance organization that has been on the market for a long time and has proven its integrity.
- Financial indicators. V this case you should look at the statistics of payments and fees. All information must be available on the official website.
- Rating. Information can be found on the website of the insurance company.
Mortgage Insurance Online Calculator
We offer to create a calculation of apartment mortgage insurance on our portal. For this, a simple calculator has been created that forms the cost.
To get an estimate, you need to provide:
- amount;
- the name of the bank in which the mortgage is issued;
- the desired risk package (except for the mandatory one);
- borrower details;
- contract time.
After entering the data into the calculator, you can issue a mortgage apartment insurance policy or comprehensive insurance with the desired set of risks. The paid policy must be printed and submitted to the bank. Usually it will be cheaper than a policy issued in a bank or insurance.
How to buy a policy
Buying an apartment insurance form is very simple. Especially for you - a small instruction on the purchase of the contract.
Step-by-step instruction:
- Calculate insurance.
- Make a payment.
- Receive a policy by mail.
- Print the form and take it to the bank.
What documents are needed
To purchase mortgage insurance at a bank or insurance company, you will need to prepare documents. As a rule, insurers request the same documents.
Prepare in advance:
Additionally, you will need to fill out an application in which you indicate personal data and the exact characteristics of the property being purchased. Each insurance company has its own application form, which can be obtained at the office or downloaded from the official website.
Important point! When applying for a policy online, such a list of documents is not required. Everything is arranged according to your words.
If an insured event occurs
To receive a payment, the insured event must be correctly recorded and documents prepared. First of all, you need:
- notify the competent authorities;
- notify the insurer within 3-5 days.
After that, you will need to prepare documents for the insurance company.
List of documents
At the office of the insurer, a complete package of documents must be presented. Request:
- policyholder's passport;
- original application;
- documents confirming the occurrence of an insured event;
- insurance policy;
- certificate of ownership.
On the example of SK Ingosstrakh:
Procedure
After the package of documents is prepared, you will need:
- visit the office with documents and write an application;
- coordinate the inspection of the object by an employee of the insurance organization;
- receive payment.
In practice, the payment period does not exceed 20 days after the submission of the last document.
When purchasing an apartment on a mortgage, each client decides for himself whether to issue a personal and or not. Structural elements will have to be insured. You can find out the cost without leaving your home online on our portal.
The portal consultant works in online mode. He will be happy to answer your question and help you draw up any document. Just write to him in the chat and wait for a response.
We will be glad if after reading the article you like it.
Mortgage insurance - this is a way to protect the financial interests of the borrower in repaying a loan in the event of unforeseen circumstances and one of the mandatory requirements of banks and other credit organizations that issue mortgage loans and loans.
Ingosstrakh offers its clients comprehensive mortgage programs developed and agreed with banks and credit organizations.
Remember that the presence of a policy is mandatory for submission to the bank, and the choice of an insurance company is always yours.
At the same time, the cost of the policy may also differ depending on the chosen company, so we advise you to find out how much it costs to insure a mortgage using our calculator.
Structural elements
Insurance against fire or explosion, illegal actions of third parties, destruction due to natural disasters, etc.
Life and health of the borrower
Temporary incapacity for work, disability of group I or II or death of the borrower/co-borrower due to an accident or illness
Loss of property
Recognition of the transaction as invalid, return of property former owner
What do you need to know to apply for a mortgage insurance policy?
Filling the policy
When making mortgage loan or a loan, an insurance policy may be required, which will include one risk or a combination of them:
- Insurance of the subject of collateral (apartments, houses). Only structural elements are insured.
- Death and disability of the borrower/co-borrower.
- Title insurance.
Further maintenance of the mortgage policy:
When concluding a multi-year mortgage insurance contract with Ingosstrakh, you will be able to pay regular installments online on our website or in your personal account.
Bank conditions:
According to the requirements of some banks sum insured can be increased by 10-15% to the loan amount/loan debt balance.Choose an insurance policyRosvoenipoteka
A special insurance product for clients purchasing housing under the Military Mortgage program.
- Apartment insurance.
- Only structural elements are insured.
- Sum insured from 200,000 to 5,000,000 .
- The military mortgage insurance policy is necessarily accepted by such banks participating in the program as Promsvyazbank, Zenit, Sberbank. The product is recommended for use by FGKU "Rosvoenipoteka".
How to apply for a mortgage insurance policy?
How it works?
When concluding an agreement with a credit institution, one of the mandatory items is the provision of an insurance policy. Usually it is needed at the time of issuing credit Money.
Check with the bank for coverage requirements, or apply for the policy online (if the bank meets the requirements) and simply submit the policy to the credit institution.
The advantage of insurance for mortgage lending in Ingosstrakh
Ingosstrakh is accredited in most credit organizations.
Decision on full cost policy at complete set documents are accepted within 1 business day.
Signature and payment of the policy - in our office, at the transaction in the bank or in the office of your representative.
What documents are needed?
- When insuring the subject of collateral - a loan agreement and documents confirming the right of ownership, a copy of the report of an independent appraiser.
- In case of life insurance - an application for insurance of the Borrower and (or) Co-borrower. It must be sent to email. If necessary, the insurance company may send you for a medical examination or request additional medical documents.
- When insuring a title, provide copies of title documents for the collateral object.
What affects the cost of mortgage insurance?
- Requirements of the creditor bank in terms of the amount of insurance coverage.
- Mortgage loan amount.
- Age and gender of the borrower/co-borrower, state of health.
- Type of collateral object and its specifications- material of walls and ceilings, deterioration of structures. The status of the object - whether the house is completed and put into operation. If the house has not yet been commissioned, only life and health insurance will be required, and if the house has already been commissioned or you are purchasing secondary housing, lenders will require insurance of the object itself - an apartment, house or other real estate.
- The number and nature of previous transactions on the property (if necessary, title insurance).
The average tariff on the market, depending on the coverage and the selected creditor bank, is 0.6–1%. For an accurate calculation, send an application for insurance.
Important! The insurance rate for comprehensive mortgage insurance is formed from the sum of rates for each type of insurance included in the program.
Mortgage insurance policy: when is it needed?
Insurance at mortgage lending- one of the conditions for obtaining a loan from a bank. The presence of a policy guarantees a financial institution a return of funds, regardless of the circumstances that have arisen. You can insure both the property itself, and the life and health of the borrower (in the event of his premature death, disability or illness of the insured, the bank will receive compensation for insurance contract in one size or another).
Mortgage home insurance does not cover the entire cost of the purchased property, but only the part that the buyer borrows from the bank. If the amount is partially paid by the accumulated money (for example, 30% of the cost of housing), the policy is issued for the balance of the debt (70%).
Why is it necessary to insure the life of the borrower when applying for a mortgage?
Mortgage life insurance is not required in all cases. Each bank sets its own conditions for granting a mortgage. Usually, a policy is required when buying a housing under construction.
Since a mortgage is issued for a period of up to 10-15 years, there is a high risk that the borrower may fall ill, get injured and lose his ability to work. Therefore, it will not be able to repay the debt in full. To protect the property interests of both the individual and the bank, mortgage life and health insurance is issued. In case of illness, the insurance company compensates for a part of the mortgage payment proportional to the period of being on sick leave, in case of complete disability or death - the entire balance of the mortgage.
Mortgage risk insurance
Ingosstrakh provides mortgage insurance in three main areas:
- Property insurance (collateral). It is designed to protect mortgage real estate, while the insured event means damage or complete destruction of the object.
- Damage includes breakage of windows, doors, walls and other structural elements.
- The list of insurance coverage includes the following events:
- fire;
- illegal behavior of third parties;
- damage caused by natural disasters;
- hidden structural damage;
- flooding;
- explosion of gas or places of its storage, transportation, used to solve domestic, industrial needs.
- The contract, among other things, may include insurance for interior decoration and engineering equipment or minimal repairs.
- Title Insurance, which implies the protection of the interests of the lender and the borrower in the event of loss of ownership of real estate in connection with intentional, illegal or dishonest actions, events during the transaction or before its conclusion. That is, in case the transaction is declared invalid for one reason or another.
- Borrower life and health insurance, which includes the execution of an agreement in case of death, illness or disability of the borrower / co-borrower. It is an additional collateral for registration loan agreement for a long period and is usually issued at the stage of unfinished real estate construction.
Mortgage risk insurance is a mandatory condition for issuing target loan and is a guarantee for the bank and the borrower in case of unforeseen circumstances. On the website of the Ingosstrakh company, you can purchase a ready-made program or, when applying for a policy, select the settings that meet the requirements of the bank.
Actions in case of an insured event
What to do in the event of an insured event?
On the onset insured event The insured must do the following:
- Immediately report the incident to the competent authorities.
- Immediately, no later than 3 working days (in case of an insured event due to personal insurance- not later than 31 working days) after the occurrence/discovery of the insured event, notify the Insurer.
- Notify the Insurer in writing of all the information and submit the documents to the competent authorities.
- Keep the damaged object intact until it is inspected by company representatives.
How many times do I have to pay the mortgage insurance policy?
For annual policies the premium (the cost of insurance) is paid at a time at the conclusion of the contract, for multi-year policies- annual contributions in the same period of time.Pay your dues on time!
If the initial insurance premium is not paid, the home mortgage insurance contract is considered not to have entered into force, and the Insurer is completely released from paying insurance compensation in the event of an insured event.
If the next (annual) insurance premium is not paid, the client is sent a notice of termination of the contract, and it is terminated. In addition, a copy of this notice is sent to the bank, which has the right to revise the terms of the loan agreement (increase interest rate) in connection with the borrower's failure to fulfill its obligations to service the loan.
Apartment insurance
Apartment insurance
When the renovation is completed and you start life in a new apartment or house, it's time to insure the finishes in it.
Home insurance
Home insurance
If you have a mortgage insurance policy, you will receive a discount on the policy for country house.
Liability insurance
If you are in need of a renovation or refurbishment new apartment, it's time to think about the responsibility to the neighbors.
What is a mortgage?
Mortgage - collateral movable property(apartment, country house, townhouse, etc.). It remains the property of the borrower of the mortgage loan, he has the right to live in it, even rent it out. But if the borrower fails to fulfill its obligation (repayment of the debt), the lender has the right to return the issued credit / loan through the sale of this residential property.
What is mortgage insurance?
This is an insurance product (one or more), which is necessary to additionally ensure the repayment of the loan issued to the bank. For the borrower, mortgage real estate insurance provides a guarantee of settling relations with the bank on a loan in case of force majeure situations. Mortgage insurance includes primarily home insurance against the risks of physical death or damage, life and disability insurance of the borrower and co-borrowers, as well as insurance against the risk of loss of ownership of real estate(title insurance). The bank may put forward a condition on insurance of two or three types within the framework of one policy or only one type: property - mandatory for a transaction in the secondary market by virtue of the Federal Law "On Mortgage"; life - mandatory when purchasing an apartment at the construction stage.
What is title insurance?
Insurance of the risk of loss by a bona fide purchaser of the insured property due to deprivation of ownership for reasons beyond the control of the insured, on the basis of a legal force court decisions.
Loss of ownership may occur if the transaction was executed with violations, the buyer encountered fraudsters. More often, the danger lies in wait for those who buy secondary housing: for example, the seller can sell an apartment without the consent of relatives who are entitled to a share in the apartment. After a while, this relative can go to court. The court, on the basis of the documents available to the applicant, has the right to decide to return to him all the housing or a certain area.
If you have a title insurance policy in the event of such judgment the insurance company will pay the bank the remaining mortgage debt.What is the duration of the mortgage insurance agreement?
In practice, a mortgage insurance contract is concluded for one year or for the entire term of the loan agreement with annual renewal. The duration of mortgage insurance is determined by the requirements of the lender. As a rule, it is equal to the term of the loan agreement.
Until what time is it necessary to have valid insurance mortgage housing?
Until the bank loan is fully repaid.
Is it possible to defer the payment of the insurance premium / regular installment?
At the conclusion of the initial policy and upon receipt of a loan - no, the presence of a paid policy is a prerequisite for issuing a loan. When purchasing an annual policy for the next (not the first) year of lending, this issue must be discussed with the bank, and a delay is allowed only upon written agreement with it.
What happens if an insured event occurs during the grace period for paying the insurance premium?
The Insurer shall have the right to send to the Insured a demand for early payment of the deferred amount of the insurance premium.
If the deferred premium is not paid within 10 calendar days from the moment the request is sent, the contract is considered not to have entered into force.What happens if, on the date of the insured event, the insurance premium under the contract is not paid in full, but there is no delay in payment of contributions?
At the written request of the Insurer, the Policyholder is obliged to pay the insurance premium within 10 calendar days up to the amount specified in the contract for the entire period of insurance.
This document may also provide that in case of partial payment of the insurance premium, the Insurer deducts the amount of overdue contributions from the amount of insurance indemnity / payment.Is it necessary to come to the office of the company to apply for a home insurance policy for a mortgage?
There are options: for primary transactions in the bank, the insurance contract can be agreed upon by you and an employee of the insurer remotely via electronic means communication either with the assistance of employees of the bank issuing the loan, or with the help of a person representing the interests of the client (realtor). At the same time, the originals of the policies signed by the Insurer will be delivered by courier for the transaction to the bank for signing by customers. Under certain parameters of the insurance object and for individual credit institutions, the policy can be issued through the official website of the company in the form of an electronic document. In other cases, the presence of the Policyholder in the office is necessary.
What should I do if I lost my mortgage insurance policy during its validity period?
You must contact the office of Ingosstrakh, where, based on your written application, a duplicate is issued. You must first call the insurance company and agree on the receipt of this document.
Is it possible to change the terms of the contract?
Yes, by agreement of the parties. The parties are obliged to notify the beneficiary - the bank - about making any changes to the insurance contract.
Is it possible to change the beneficiary during the term of the contract?
According to the terms of the loan agreement, the bank, which is the holder of the loan or mortgage, must act as the beneficiary for all types of insurance. In the event that a loan (mortgage) is redeemed by another financial institution, the beneficiary under the policy changes automatically, no additional notifications or agreements between the parties are required. If the lending bank changes (when refinancing), then you need to contact the insurance company to renew the insurance contract.
Where can I get confirmation of payment for the bank?
It is necessary to write a request to Ingosstrakh for the issuance of such documents, be sure to indicate the contract number and payment dates.
Is it possible to sign an additional agreement to the contract at any office of Ingosstrakh?
Usually this can only be done in one of the central offices. Before visiting the office, be sure to check whether mortgage insurance policies are serviced there.
How and where can I pay the invoice?
Online on our website, in any bank convenient for you, through payment systems Western Union, Cyber Money (Russian Post), at the Ingosstrakh cash desks located at the company's central offices.
If I made an early partial repayment, I can recalculate the cost within grace period Or in the middle of the year?
It is possible to take into account early repayment only on the date of prolongation or the next installment. Early repayments during the year will be taken into account and recalculated for the next insurance year. Any unpaid installments are subject to recalculation.
Reimbursement limit
Established in the insurance contract size limit payment of insurance indemnity for the entire period of validity of insurance, after which the validity of the insurance contract is terminated.
insurance premium
Insurance fee to be paid by the policyholder or his representative.
insurance risk
An anticipated event, in the event of which an insurance contract is concluded.
Insurance case
An accomplished event from stipulated by the agreement insurance and entailed the obligation of the insurer to pay insurance compensation.
Franchise
Part of the damage determined by the contract, not subject to compensation by the insurer, established as a percentage of the sum insured or in a fixed monetary expression.
Insurer
insurance organization created in accordance with the law Russian Federation for carrying out insurance activities and having received a license to carry out the relevant type of insurance activity in the manner prescribed by law.
Insurance contract
An insurance contract is an agreement between the policyholder and the insurer, according to which the insurer, for a fee stipulated by the contract ( insurance premium) upon the occurrence of an event (insurance event) provided for in the contract, undertakes to compensate the person in whose favor the insurance contract is concluded, within the limits of the insurance amount determined by the contract, the damage caused as a result of this event in the amount (limitation) and in the manner determined by the rules and/or the insurance contract. An insurance contract is a combination of an insurance policy and the text of the insurance rules on the basis of which it is concluded, as well as annexes to the insurance policy (if any).
Insurance rules
Insurance conditions that define the rights and obligations of the parties under the insurance contract, the object of insurance, the list of insured events and exceptions under which the insurer is released from liability. The text of the insurance rules is integral part insurance contracts.
Policyholder
legal or capable individual, which concludes an insurance contract in its own favor or in favor of a third party (beneficiary) and pays insurance premiums under such an agreement. The conclusion of an insurance contract in favor of the policyholder is possible only if the policyholder has an interest based on law, other legal act or contract in the preservation of the insured property. When concluding an insurance contract in favor of the beneficiary, the insured may not have a property interest.
Territory of insurance
The territory defined in the insurance contract (country, region, route, etc.), within which an insured event that occurs during the validity period of the insurance contract entails the obligations of the insurer to pay insurance compensation. For property and civil liability the territory of insurance is the address of the location of the property, in case of insurance of civil liability for the actions of animals, the territory of insurance is the territory of the Russian Federation.
Incomplete proportional insurance
The condition of incomplete proportional insurance means that the sum insured specified in the contract is lower than the insured value of the property and the insurance indemnity is paid in the same proportion to the amount of damage in which the sum insured was related to the insured value.
Incomplete insurance
Not condition full insurance means that the sum insured specified in the contract is lower than the insured value of the property. In this case, the payment of insurance compensation can be made both taking into account the ratio of the sum insured to the insurance value (incomplete proportional insurance), and without taking into account this ratio (incomplete non-proportional insurance).
Full insurance
The condition of full insurance means that the sum insured specified in the contract is equal to the insured value of the property
Incomplete disproportionate
The condition on incomplete non-proportional insurance means that the sum insured specified in the contract is lower than the insured value of the property and the insurance indemnity is paid without taking into account the proportion in which the sum insured relates to the insured value.
gradual decrease original cost property during its use.
Reimbursement system
The indemnity system is understood as the procedure for accounting for depreciation on replaced materials / parts in case of partial damage to property: the “New for old” indemnity system assumes that no depreciation is accrued for replaced materials / parts in case of partial damage (the payment is equal to the cost of new parts), the indemnity system “Old for the old" assumes that the replaced materials / parts in case of partial damage are depreciated during the operation of the damaged property (the payment is equal to the cost of new parts minus the depreciation for the period of operation)
Insurance value
Valid, actual cost property for insurance purposes. Various methods are used to determine the insurance value. economic evaluation As a rule, when insuring suburban real estate, finishing and engineering equipment, the insurance value is equated to the replacement cost (including depreciation), and when insuring movable property, structural elements of apartments / townhouses - to the market value (minus depreciation).
In today's article, we will consider such an important topic for many as mortgage insurance - a comparison of rates and conditions. Of course, almost every person who has already dealt with mortgages or is only interested in this issue has heard about mortgage insurance.
What is mortgage insurance and what does it serve?
Speaking in general terms, the conclusion of such an agreement is much more necessary for the bank that issued the loan than for the person paying it - after all, if some insurance situation occurs, then everything monetary compensation will be transferred specifically in favor of the bank (and will be used to repay part or the entire amount of the mortgage loan. It is for this reason that a number of banks completely refuse to approve mortgages in the event that if a citizen refuses to issue a mortgage insurance policy(and some of the banks work only with a limited number of insurers, or even with only one - with the one that is considered the most reliable bank).
What types of mortgage insurance are there?
At the moment, each insurance company has its own specific rules and conditions that are put forward when issuing a policy, but at the same time, all contracts concluded can be divided into three main main groups:
- property insurance (from damage to destruction);
- health or life insurance;
- the so-called "title" insurance (in the event that the loss of various rights to property is possible for reasons independent of the insured).
Of all these three types of insurance, only the first is really mandatory (and title and health insurance can only be issued at the request of the client).
However, in practice there are often exceptions, and banks refuse to issue a mortgage if their client has not issued insurance policies for two (or even all three) of the above points at once.
In addition, each of these points has its own characteristics when calculating the final amounts - for example, property insurance depends from his average market value, location, on whether it was bought on the secondary market or from the developer, total area structure, the material from which the building is made (it should immediately be noted very important point — a number of insurance companies refuse to issue policies for wooden houses
in view of the high fire hazard in comparison with stone buildings), as well as others.
As for the second of them, the final sum insured also depends on a very large number of factors - the state of health (by the way, for this purpose, the insurer may oblige his client to undergo a special medical examination), age, gender, and even such indicators as dangerous or harmful to health. health work or the presence of overweight in the insured (which is also regarded as an increased burden on health - in some cases, the insurance company may refuse even if only this factor is present).
Title insurance is less common, and not with all insurers - some simply do not have this item. As a rule, it includes clauses about the possible full or partial loss rights to property for one reason or another (not directly dependent on the desire of the owner).
What type of mortgage insurance policy is better to choose?
As mentioned above, only property insurance is mandatory. All other types are conditionally voluntary. That is why, if the bank does not insist on the execution of all possible types of insurance, and the client is satisfied only with property insurance, then in this case, the execution of this policy can be limited.
In a situation where the bank insistently demands the presence of a policy for all three indicators, it will no longer be possible to refuse their registration. True, in most cases, insurance companies offer their customers to purchase not three separate policies, but one comprehensive, which includes all three types of insurance required for obtaining a mortgage loan. As a rule, such a policy costs less than three separate ones, and its final price does not exceed 1% of the proposed loan amount.
So which insurer should you choose?
Before considering the list of the most popular insurance companies that you can contact when applying for a mortgage in 2018, it should be recalled that you should first take a list of its accredited insurers from the bank - as already mentioned, some banks cooperate exclusively with one or two companies and will not approve a mortgage even if they have a policy from any other major insurer.
So, at the moment, the list of the most popular companies from which you can insure a mortgage is as follows:
- Sberbank insurance;
- VTB insurance;
- Alliance (Rosno);
- VSK Insurance House;
- RESO;
- Ingosstrakh;
- Rosgosstrakh;
- Alpha insurance;
- SOGAZ.
Sberbank insurance– if you draw up a policy for a mortgage in this company, then the cost of property insurance will be only 0.25% of total amount loan. This amount will be automatically added to the balance of mortgage debt at the end of each year. In addition, if the loan itself is also issued at Sberbank, then property insurance will be sufficient - you will not need to issue a comprehensive policy.
VTB— provides execution of policies both for individual types of insurance, and in a complex way. The latter option will cost an average of about 1% of the loan amount. On average, because many factors are taken into account when processing documents (and a discount is also provided if the insurance is issued for a long time).
Alliance (Rosno)- also allows you to choose between comprehensive insurance and its individual types. Thus, health insurance will cost 0.87%, property - 0.16%, and title - 0.18%. It should be clarified that at the moment, far from all banks accept policies from this company (including Sberbank). The pluses include the fact that, when registering in the Alliance mortgage insurance, the client receives a significant discount on the execution of other, additional insurances.
VSK- has quite limited choice insurance - it will not be possible to issue a comprehensive policy, title insurance is also absent. Health insurance will cost about 0.55% of the mortgage amount (if its size exceeds 4 million, you will need to undergo a comprehensive medical examination), and the amount of real estate insurance is 0.43% (this is nominal, living on the first or last floor, gas, rather than steam heating, as well as many other factors - can significantly increase this amount).
RESO- provides an opportunity to issue health insurance policies in the amount of about 1% of the mortgage value, property insurance - about 0.1% and title insurance - about 0.25% (it should immediately be clarified that this amount depends on the bank where the mortgage is issued - for some it a little higher, for others - a little less).
Ingosstrakh- also has serious differences in the cost of insurance, depending on the banks that issue loans. On average, each type of policy will cost 0.2% of the total amount (complex registration is also possible).
Rosgosstrakh— has quite favorable conditions. So, property insurance will cost 0.17%, life - 0.28% and title - 0.15%. In addition, contacting this company is beneficial because it is accredited by most banks.
Alpha Insurance- will allow you to insure property and title rights at a rate of 0.15%, life - a little more expensive. It is also possible to issue a comprehensive policy (however, it is worth noting that they are not accepted by all banks, including Sberbank).
SOGAZ- one of the most profitable insurance companies - its rates are only: health - 0.17%, property - 0.1% and property rights - 0.08%. In addition, this company also allows you to purchase comprehensive insurance.
Summarizing, here is a table that briefly describes all the rates at the above banks (on average, for people with the same indicators of income and health):
| Bank | Property | Health | Title |
| Sberbank insurance | 0,25 | 1 | not available |
| VTB Insurance | 0,33 | 0,33 | 0,33 |
| Alliance (Rosno) | 0,16 | 0,66 | 0,18 |
| VSK Insurance House | 0,43 | 0,55 | not available |
| RESO | 0,1 | 0,26 | 0,25 |
| Ingosstrakh | 0,14 | 0,23 | 0,2 |
| Rosgosstrakh | 0,17 | 0,28 | 0,15 |
| Alpha | 0,15 | 0,36 | 0,15 |
| SOGAZ | from 0.1 | 0,17 |
Welcome! Mortgage insurance - where is it cheaper and more profitable to get it? An interesting question that you must definitely deal with if you decide to take a mortgage. Further in the post, we will analyze mortgage insurance where it is cheaper. Which insurance is worth taking and which is not, as well as the basic conditions of insurance companies.
In the last post, we figured out that there are three main types of mortgage insurance:
Of these, only the first type is mandatory. The rest is not necessary to issue, but this will entail certain sanctions up to the refusal of a mortgage. Read our post “Mortgage Insurance” to learn more about all the nuances.
Before you go looking for the most favorable tariff for insurance, you need to contact the bank and get a list of accredited insurance companies from a specialist or on the bank's website. You can insure yourself on a mortgage only in these insurance companies approved in advance for working with a bank.
As a rule, banks issue the so-called comprehensive insurance. This is an insurance policy for all three types of the above insurance at once. Usually its cost does not exceed 1% of the loan amount, but in most cases it is even less from 0.2% to 0.5%.
The final rate depends on many factors:
- Lender's bank - the lowest rates can be found in Otkritie Bank and Rosselkhozbank from 0.2%. This becomes possible through special agreements between the insurance company and the bank.
- Gender of the borrower - for women, the rate is lower.
- Client Weights – Borrowers who are overweight may receive a denial of mortgage life insurance or a higher rate.
- The age of the borrower - the older the age, the higher the rate.
- Fields of activity - risky professions receive an additional multiplier in the calculation.
- History of the relationship of the borrower with the insurance - personal discounts for cooperation, a bonus for switching from another insurance company, etc.
Advice! If you want to save on insurance policy, then make the spouse the main borrower, let the husband be. This will allow you to get the minimum rate.
From all of the above, it follows that the insurance rate is a rather individual thing, so there is no need to talk about exact numbers, but you can reliably determine at least their approximate order. Let's get acquainted with the conditions of the main insurance companies for mortgage lending.
Sberbank insurance
Sberbank, for example, requires without fail to insure collateralized property, and the property value limit is not more than 15 million rubles, you will be charged 0.25% of the loan amount, and every year this percentage will be charged on the balance of the total debt.
Life and health insurance will cost you 1%, but it is at your request, however, if you refuse, this percentage is added to the interest rate on the mortgage, more precisely, it will be taken away with consent.
In practice, it looks like if the amount is approved at 14.9% per annum, then with life and health insurance, the rate will drop to 13.9%. Well, and a wide range of insured events that are insured, no one has canceled here either.
Also, if you take a mortgage at Sberbank, then this is the only bank that does not require comprehensive insurance, i.e. title is optional.
If you want to change the insurance company, then “you can do this painlessly with the full repayment of the loan, then you will be refunded the insurance premium for the remaining months. In another case, no one will return the rest of the insurance premium to you, except in the case when you refuse before the start of the insurance, then the premium is paid in full.
VTB Insurance
This is a comprehensive insurance that includes insurance collateral, title and life and health, i.e. one contract is concluded with you, for third-party banks for 1 year, for VTB for the entire term of the mortgage with annual renewal, which means that it needs to be renewed every year.
On average, insurance will cost you 1% of the amount under the loan agreement, annually 1% is also charged on the balance of the loan. When changing the insurance company, the conditions are the same as in Sberbank, i.е. or full repayment or no refund.
Regarding VTB, we must make an important remark that in 2017 they did not pass accreditation, as they submitted documents late, therefore this moment insurance for third-party banks is not provided. And, if you still want to insure here, you will need to clarify this information directly with the bank.
VTB insurance has a discount for issuing a policy for a long period (1.5 or 2 years, etc.).
VSK Insurance House
In this company there is no comprehensive insurance, only constructive and life. Life and health insurance will cost you about 0.55%, depending on the components indicated in the health questionnaire, over 4 million rubles. rubles - a medical declaration is required.
Structural elements are insured - approximately 0.43%, this percentage can be increased by such factors as a gasified house, as well as the first and last floors.
Regarding the change of companies, here, in addition to the fact that in case of cancellation of the contract, if the application from the Insured was received before the date of commencement of the insurance and no more than 5 days have passed from the date of conclusion of the insurance contract to the date of cancellation, you will be refunded the premium in full, there is another condition that in case of cancellation within 5 days after the commencement of the insurance and no more than 5 days have passed from the date of conclusion of the insurance contract to the date of cancellation, you will be paid a premium in proportion to the unexpired insurance period.
RESO
In RESO conditions for Sberbank differ from other banks, for Sberbank property insurance is approximately 0.18%, life and health within 1%. For VTB, Raiffizing Bank, Absolut Bank, etc. - comprehensive insurance, where life and health are also up to 1%, property - about 0.1% and title - about 0.25%.
In RESO, not only in case of early termination of the contract within 5 days after the conclusion, but before the start of the insurance, the premium is paid in full. In the event of early termination at your request, the company shall refund the insurance premiums for the unexpired term of the contract, minus the costs incurred, unless otherwise specified in the insurance contract.
It should also be noted that at the moment RESO has a promotion " Profitable mortgage”, 40% discount for the first year for mortgages and for those who decide to change companies.
Alliance (Rosno)
In Alliance, life and health insurance will be 0.87% of the sum insured; property insurance - 0.16% and title insurance - from 0.18%. They do not insure for Sberbank, because there is no accreditation. Now the company is running a mortgage insurance campaign, which means that when you take out a mortgage insurance policy, you can insure additional risks at preferential prices:
- interior decoration of the property (wall, floor, ceiling);
- insurance of civil liability to third parties during the operation of residential premises;
- increase in the sum insured for life and health;
- increase in the sum insured on property to the market value of the property.
It should be noted that due to the closure of offices in the regions, the service is provided by the Central Moscow office.
Rosgosstrakh
Life and health insurance for Sberbank - 0.6% (male) and 0.3% (female); property - from 0.2%.
For VTB and other banks - life - 0.56 (man), 0.28% (woman), respectively; constructive - 0.17%; well, and title insurance - 0.15%. By agreement with the Central Office, discounts are possible, but the amount is determined individually in each case.
The sum insured decreases in proportion to the decrease in the loan amount. Early termination of the insurance contract on your initiative is also provided here only in case of full early repayment of the loan, in this case you are paid a part of the premium paid for the remaining term, minus 65% of the paid insurance premium. For other reasons early dissolution on your initiative, it is possible, provided that the insurance premium is non-refundable.
Ingosstrakh
Here you can insure everything individually or choose a comprehensive mortgage insurance, which, as you already know, includes property, life and title insurance. They do not provide approximate rates, you can only calculate the cost of insurance on your terms. Let's look at the example of a 38-year-old man, without bad habits, healthy, working in the prosecutor's office and a woman of the same age, but an estimate engineer, the amount of their mortgage is 8,000,000 rubles, secondary housing on the 5th floor, owned for more than 3 years . Insurance programs for Sberbank and other banks also differ here, so let's move on to the numbers:
For Sberbank:
life insurance - 35,518 rubles (man) and 25,248 (woman);
Collateral property - 11,200 rubles (for each),
In total, we see that for a man - 46,718, and for a woman - 36,448. Contracts are drawn up for 1 year.
For VTB and other banks:
life insurance - 44,418 (for a man) and 18,176 (for a woman);
Constructive - 12,000 rubles (both for one and for the other);
Title - 16,000 rubles (for each).
As a result, you see that for a man in this case, comprehensive insurance will cost 72,418 rubles, and for a woman 46,176 rubles. For VTB there is an opportunity to conclude an agreement for the entire term of the loan with an annual extension.
You can terminate the contract ahead of schedule at your request on the same terms as most previous organizations, within 5 days after signing the contract you will be refunded the insurance premium in full, more, the premium is not refundable. Exceptions are, for example, the fact that you have not been issued a mortgage.
If you decide to change the insurance company to Ingosstrakh, then you will be provided with preferential terms in the form of a discount from 5 to 15%, the exact amount of the discount is decided by the management: up to 3,000,000 rubles, the decision is made by the regional branch, above - the central Moscow office.
Now there is such a promotion: if you have a mortgage insurance contract concluded with this company, then for voluntary insurance (network engineering, decoration, property, etc.) - 20% discount.
Alpha Insurance
In Alfa-insurance, you can also choose comprehensive mortgage insurance, the term of which will be equal to the term of the loan and will decrease every year as the debt is repaid. The contract is terminated ahead of schedule identically to the conditions of VSK Insurance House. When changing the insurance company, here you get a simplified procedure for drawing up a contract and more favorable conditions. The contract is for 1 year.
As in all companies, there are different programs for Sberbank and other banks. But today the organization in question does not have accreditation for life and health insurance for Sberbank, so you can only insure property, it will cost 0.18% of the mortgage amount.
For VTB and other banks, you can insure for the entire term of the mortgage, to see the cost of insurance, we will again turn to our example (male and female 38 years old and 8,000,000 rubles):
Life - 46,900 (man) and 30,452 rubles (woman);
Constructive - 9,200 rubles;
Title - 12,000 rubles.
Now you can see that the exact cost of mortgage insurance depends on many factors, so all the amounts given to you in the example are approximate.
SOGAZ
Insurance in Sogaz is one of the most affordable:
- Structural - 0.1% if you additionally take out insurance for decoration, furniture, plumbing and civil liability for a minimum of 1150 rubles.
- Life and health - 0.17%
- Title - 0.08%.
- Credit default insurance - 1.17%
In case of early refusal of the client from insurance (early repayment of the mortgage), a part of the fee for the unexpired policy is returned, reduced by the share of the load in the structure of the tariff rate. For other reasons, there is no return.
comparison table
Analyzing the above, we can bring everything into a comparative table for all the insurance companies we are considering using the example of the same man and woman with the initial data taken by us at the beginning of the post.
| Bank | Property (constructive) | Life and health | Title |
|---|---|---|---|
| Sberbank | 0,25 | 1 | No |
| VTB | 0,33 | 0,33 | 0,33 |
| VSK | 0,43 | 0,55 | No |
| Alliance | 0,16 | 0,66 | 0,18 |
| RESO | 0,1 | 0,26 | 0,25 |
| Rosgosstrakh | 0,17 | 0,28 | 0,15 |
| Ingosstrakh | 0,14 | 0,23 | 0,2 |
| Alpha Insurance | 0,15 | 0,38 | 0,15 |
| Sogaz | 0,1 | 0,17 | 0,08 |
Online calculator
To make a calculation, you must fill in the data on the calculator. It will allow you to calculate the cost of the policy with the risks you need and issue the policy online.
Outcome
To find out where mortgage insurance is cheaper, you need to take a few steps:
- Get a list of insurance in the bank or on our website.
- Analyze the list to find insurance companies where you have preferences.
- Analyze the list according to our table.
- Find some of the best deals.
- Make a calculation on our online calculator.
- Call your insurance company and find out the final rate for you.
Summing up our post, we see that insurance significantly reduces the interest rate on a mortgage, and refusal to insure collateral is fraught with a bank refusal in a mortgage, which means it is better to insure. And if you approach this issue with all responsibility, with the understanding that a mortgage is far from short term loan and anything can happen in our life, you will, of course, exclude possible risks that may affect your obligations to the Bank. Although, it's up to you to decide and any of your decisions will be right for you!
And we are waiting for your questions in the comments, which we will be happy to answer.
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You get a loan to buy real estate. One of the conditions for issuing such a loan is the conclusion of a mortgage insurance contract.
VTB Insurance, one of the leaders in mortgage insurance in Russia, will provide you with reliable insurance protection when obtaining a mortgage loan, which will help you and your family fulfill your loan obligations to the bank in any situation.
Comprehensive mortgage insurance includes:
- Insurance of the acquired apartment / building in case of damage or loss.
Insurance risks:- Fire.
- Lightning strike.
- Domestic gas explosion.
- Explosion of steam boilers.
- Water damage.
- Natural disasters.
- Outflow of subsoil waters, subsidence and subsidence of soils.
- The fall of flying objects or their debris and other objects.
- Entry of vehicles.
- Illegal actions of third parties.
- Property loss insurance as a result of termination or restriction of ownership (title insurance).
- Life and health insurance of the loan borrower against accidents and illnesses.
- Insured events: death from illness or accident; temporary or permanent (disability) disability as a result of an accident.
In the event of an insured event, VTB Insurance pays the bank an insurance indemnity in the amount of actual damage (but not more than the sum insured). If the insurance indemnity for an accident exceeds the amount of your unfulfilled obligations to the bank, then the remaining part is paid to you.
Calculation of the cost of a mortgage insurance contract:
Annual premium for complex agreement mortgage insurance is, on average, 1% of the sum insured.
Value insurance premium depends on:
- term of insurance.
- your age and health status.
- The technical condition of your property.
- The number of previous transactions with your property.
Comprehensive insurance in case of a mortgage, it is issued for a period of 1 to 30 years, depending on the term of the loan agreement.
To conclude an agreement, you must:
- Fill out an insurance application.
- Provide information about previous real estate transactions to check (for you - free of charge) its legal purity.
Mortgage insurance in VTB Insurance is:
- Financial guarantee of the return to the bank of credit funds invested in real estate.
- Insurance appraisal of the apartment at its market value.
- Full compliance of the insurance conditions with the requirements of the bank that issued the loan.
- Operational settlement of losses.
- Free pre-contractual examination of previous transactions with acquired real estate.
Feel the benefits of working with us:
- We offer flexible insurance conditions, taking into account the individual conditions of each client.
- If the sum insured does not exceed $500,000 (for clients aged 46 to 55 - $400,000, over 55 - $300,000), a medical examination is not required before concluding a contract.
- We provide favorable conditions for early repayment of the loan.
- V insurance cover our policy includes all possible risks of termination of ownership.
- We are pleased to additionally offer you favorable conditions any other type of insurance you need.
- If the property is damaged, we will make a payment in the amount of the actual costs of its restoration (within the sum insured).
- Cooperation with an insurance company allows you to reduce the risks of mortgage insurance.
