Mortgage insurance has two compulsory components and a third optional:

• The first is life insurance , which aims to cover the amount of the loan you have taken out with the bank in the event of death, whether yours or that of your spouse (and that it becomes impossible to continue to paying mortgage payments), each covered separately for 100% of the amount borrowed.

In addition to this, you will need to know more about it.

• The second is the insurance of the walls of the apartment , which is intended to cover the loan that you have taken out from the bank in the event that the apartment suffers heavy damage, which will lead to a significant reduction in the value of the property. apartment and would actually make it worthless for the bank (earthquakes, storms, fire, water damage ..).

In addition to this, you will need to know more about it.

• The insurance you choose can also include insurance for the contents of your apartment , i.e. items and furniture in your apartment, but the bank itself does not require this in the contract, since the value of the contents of your apartment is unrelated to the mortgage.

In addition to this, you will need to know more about it.

These policies are primarily intended to serve the lending bank and ensure that you can pay the mortgage repayments, but also to serve you, as they also assure you that in case of hardship, the insurance company will assist you.