Is mortgage protection required?

What lenders actually require

• Homeowners insurance — required and enforced, protecting the property
• Flood insurance, where the property is in a designated flood zone
• Private mortgage insurance, on conventional loans below a certain down payment — protecting the lender, not you
• Title insurance at closing
• Property taxes, often collected through escrow

Why the mail looks so official

Mortgage recordings are public records. After you close, your name, address, lender name and loan amount become available — and are used for direct mail targeting.

That's why the letter knows your lender and your loan amount, and why it can feel like correspondence from the lender itself. It generally isn't. Look for who actually sent it, which is often in small print at the bottom.

What to look for on a solicitation

• Language implying a requirement, a deadline, or a response obligation
• Your lender's name used prominently while the actual sender is in small print
• "Important notice" or "final notice" styling on what is an advertisement
• A response deadline that has no contractual basis
• No named insurer, or no license information for the sender

This doesn't mean the product is bad

Mortgage protection is a legitimate product and suits some households well. The marketing around it is the problem, not the insurance.

The right response to an aggressive solicitation isn't to dismiss the idea — it's to evaluate the need calmly and shop it properly, including against ordinary term life insurance.

If you want to check

Call your servicer using the number on your statement — not a number in the letter — and ask directly whether anything is required. It takes a few minutes and settles it.

You can also verify whether the sender is licensed in your state through your state insurance department, at no cost.