Mortgage Insurance

The law:
Singapore law stated, it is mandatory for owners of HDB flats to have a mortgage insurance if they are using Central Provident Fund (CPF) accounts to pay for the monthly installment on their property mortgage.
However, they have the choice of selecting a mortgage insurance administered by the CPF Board or private insurers.
It is not mandatory for owners of private homes in Singapore to take a mortgage insurance.

Why do we need mortgage insurance for private homes?

HDB owners have mortgage Insurance for good reasons and it is the same reason you should have mortgage insurance for private property.

Mortgage is a liability, and the money borrowed must be repaid. For some reasons that the mortgage cannot be paid, your loved ones will have to pay because they will inherit your property and your debt.

If your family is young, this might mean a financial disaster as all of them will have to pool together to pay for the property. Imagine children quitting school to work. This is just 1 example, it could be old parents or poor health. Whatever the circumstances, be prepared, plan ahead.

The most common excuse is, It's a waste of money and I dont get my money back. Well there is a plan that will cover your mortgage and pays you back all the premiums that you have paid. You have nothing to loose.

Don't hesitate to contact us for more details, do it for your family.