👉 The term 'mortgage insurance' is a phrase that's often used to describe certain forms of insurance policies. It's like having a bond with your house - you're paying for its maintenance and repairs, just in case something goes wrong.
One time, I was talking to some friends about what kind of insurance they had on their car. We were talking about auto loans, but my friend started asking how much mortgage insurance he should get. "What is the mortgage insurance?" I asked. He replied that it's like getting a bond with your house - you're paying for its maintenance and repairs just in case something goes wrong. I chuckled at his incredulous response. "Well, we've got some really expensive cars out there, so we need to make sure they can withstand all those damages," I said, making a face.
