Myths of Sberbank mortgage insurance 2021: answers to questions

Myth 1: Life insurance for a Sberbank mortgage is mandatory

There are 3 types of insurance that banks offer for mortgages:

The property, or rather its main structures, without furniture or renovation;
Life and health of the borrower;
Title - protection of the purchase itself and the borrower's rights to the property.

Insurance of collateralized property is mandatory under the mortgage law. Without this type, it is impossible to get a loan for housing.

Basic real estate insurance with SberInsurance has a large list of risks, which include: fire, flood, illegal acts of others, mechanical action, natural disasters, lightning, aircraft crashes, destruction during construction.
At the request of a person, the list can be expanded and supplemented with necessary items, but because of this the price of the policy will increase.

Based on the law, life and disability insurance cannot be mandatory. But often such insurance reduces the interest on the loan. Sberbank gives a 1% discount on mortgages.

As a rule, Sberbank employees do not insist on registration of title. Most often, this service is offered when mortgaging a secondary home, warning the client about the dishonesty of the sellers.

Was not a member, did not participate, was not involved...

To be fair, let’s also talk about the negative aspects of insurance. The most important inconvenience is the interference of strangers in your private life, “examining under a magnifying glass” your medical record and leading questions in the questionnaire: how often do you drink alcoholic beverages... Many borrowers consider the insurers’ requirement to undergo a medical examination, and even in a certain clinic, to be the height of impudence. And the bank will most likely support this demand...

But put yourself in the shoes of lenders and insurers. They are not prying into your intimate secrets out of curiosity. As they say, “nothing personal.” The bank is concerned about your health only insofar as this resource should be enough for you for the entire loan repayment period, and it can be quite long. Well, and the insurers... Believe me, they, like no one else, wish you immortality and eternal youth. After all, under such conditions, an insured event will never occur. And vice versa: if you thoughtlessly take out insurance for a chronic alcoholic who, after drinking a couple of bottles, goes bungee jumping, the insurance premium will have to be paid very soon.

Of course, this is an exaggerated example. But the fact that the “boringness” of insurers is completely justified is an indisputable fact. And it’s better to “beat the enemy with his own weapon,” that is, also show yourself to be a bore: undergo an examination, pass the necessary tests, keep all medical certificates and prescriptions, accumulate evidence that you lead a respectable and peaceful lifestyle. Then, if thunder strikes and you actually lose your ability to work, insurers will not be able to cut your insurance premium on the grounds that you hid a chronic illness or dangerous hobby.

Another piece of advice from Credits.ru: learn the list of insurance cases like the “Our Father”, and find in advance a qualified lawyer with experience in litigation in insurance cases, who, if necessary, will reasonably explain to the insurance company that you have the right to payment of the premium.

Instead of an epilogue: we must, we must insure ourselves...

From whatever angle you look at the problem of life and health insurance with a mortgage, the conclusion suggests itself: you need to get insurance. And what’s more, it’s profitable to insure yourself!

What spoils mortgagers’ nerves the most is the nagging thought: “What will happen if I can’t pay the loan? Am I really going to lose my apartment? Alas, this risk is real, especially if the mortgage loan is actually taken out against a salary, and the stability of income directly depends on the state of health. But it is with the help of insurance that it can (and should) be minimized.

Myth 3: You can only get insurance from a bank

Most clients are sure that they can only take out mortgage insurance from the company offered by the bank, but this is not the case. The borrower has the right to choose any organization independently, but in order not to pay additional interest for increasing the mortgage rate, it is better to choose organizations accredited by the bank.

Sberbank has about 20 companies. The most common are Sberbank Insurance, Absolut Insurance, AlfaStrakhovanie, VSK and others.

Any bank offers insurance companies that are beneficial to it (for Sberbank this is SberStrakhovanie), but this does not mean that the client does not have the right to choose an organization that is profitable for himself.

Myth 4: It is profitable to take out mortgage insurance from a bank

First of all, each bank will offer favorable conditions for them and will be extremely reluctant to compromise when registering with other companies.

It is best to check the list of accredited companies online in advance at Sberbank and select the necessary conditions. And after that go to the bank.

The borrower can choose organizations not accredited by Sberbank, but in order to agree on a discount on the mortgage, the bank will have to check the company for financial stability. Often employees don't want to do this and get into conflict that only senior managers can resolve. Even if they make concessions to clients and check the insurance system, they must be prepared that this will take some time.

The main advantages of Sberbank Insurance are an expanded list of insurance risks, but their policy is twice as expensive. So, they pay even if the damage occurred as a result of the actions of the insured person; in a state of intoxication; suicide, etc.

Most insurance companies refuse to pay in such cases. But if a person is sure that such risks can be eliminated, then there is no point in paying the insurance company twice as much.

In addition, by selecting different insurance companies, you will be able to take advantage of personal discounts, individual offers, etc. When registering through a bank, all this is not available.

Consequences of bankruptcy of an individual

Possible consequences of bankruptcy proceedings for the initiator:

taboo on purchasing shares, shares in LLC;
the need to notify about bankruptcy every time you apply to a bank or microfinance organization for a loan (within 5 years);
inability to temporarily travel abroad;
cancellation of documents permitting business activities

Myth 6: You can’t get your money back for Sberbank insurance

The mortgage is not for 1 year. Anything can happen over a long period of time. Insurance may simply not be needed.

Each signed agreement must be read and thoroughly familiarized with each clause. The annex to the agreement must specify the conditions and procedure for termination.

Sberbank Insurance provides the possibility of returning money for insurance:

Refund of the full cost - only if the application is submitted within 14 days after signing the contract;
Partial compensation is realized in proportion to the number of days that the policy should have been valid.

A list of documents is attached to the application. The main ones include: passport, policy, confirmation of insurance payment. Additional papers are determined based on the situation. For example: heirs claim the right to inheritance; in case of early repayment of the mortgage, a corresponding document, etc.

At Sberbank Insurance, it is possible to terminate the contract during a personal visit to the bank or by registered mail with delivery to the main office, delivery by courier is also possible. If the decision is positive, the money will be credited to your bank account within a week.

Sale of the debtor's only home in bankruptcy

If the borrower at fault was unable to peacefully resolve the debt issue with the bank, the collateral and other valuables are subject to sale. First, a financial expert evaluates the apartment, then he draws up a list of property and sets a date for the auction.

After the sale of a mortgaged apartment, no more than 80% of the proceeds go to pay off the mortgage and other debts, the remaining funds go to pay legal costs. If there is money left after satisfying creditor claims, it is returned to the client. In reality, the amount of debt often exceeds the market value of the mortgaged apartment. The uncovered loan balance is written off by the bank.

This situation makes it possible to buy your apartment at a debtors’ auction at a reduced price (a bankrupt can take advantage of the first right of redemption).

Myth 7: Life insurance for a Sberbank mortgage is too expensive

Life insurance with Sberbank Insurance can be taken out by persons over 18 years of age, whose age at the end of the policy will not be older than 65 or 60 years (men and women, respectively). They may also refuse to pay or conclude a policy if you have heart, liver, or mental diseases.

When taking out health insurance at Sberbank, a person is insured not only against death and disability (only groups 1 and 2, since when assigned to category 3, the ability to work is not lost), but also if he becomes ill with Coronavirus infection.
In many contracts, Sberbank indicates the reasons for refusal to pay: war, strike, explosions, radiation and damage caused by the insured person. The caveat is that if a suicide occurs, then Sberbank makes payments to the heirs if at least 2 years have passed since the purchase of the policy.

All these risks, together with property insurance, will cost the client about 4,000 thousand rubles. per year (if you take out insurance through Polis812), while for life insurance Sberbank gives a discount of 1% per year on the mortgage (with a debt of 1 million, the savings will be approximately 6,500 rubles).

Consequently, even by taking out a mortgage and concluding a life insurance agreement, a person remains in a small financial advantage and does not have to worry about the mortgage if an accident occurs.

A reminder of what you need to know about personal bankruptcy with a mortgage

A mortgage debtor who has initiated bankruptcy proceedings should take into account a number of nuances:

It is reasonable to initiate bankruptcy due to mortgage arrears if there are other debts on loans, utilities, and taxes;
reorganization is mandatory only when the amount of debt exceeds 500 thousand rubles; if less, an individual can independently (if desired) file a claim in court;
the process of declaring a citizen bankrupt can last 9 months (about 3 months are spent on court proceedings, the rest of the time on the sale of property);
for fraudulent actions during the procedure, the applicant will face criminal liability - imprisonment for up to 6 years (Articles 196 and 197 of the Criminal Code of the Russian Federation).

It is unacceptable to hide your financial situation and existing property in the information provided. If such a fact is revealed as a result of the inspection, the citizen will be recognized as an unscrupulous debtor and will be refused to write off debt obligations. An unemployed applicant is advised to register with the labor exchange before filing a claim.

It is advisable to resolve all problems with mortgage loan payments without the intervention of higher authorities . If you find a compromise with a credit institution, it is likely that you will be able to save your apartment (house) and avoid unnecessary expenses that will inevitably arise during the trial.

Myth 9: I took out insurance at the bank, and I’ll sort out the problems there

If problems, questions or insured events arise, contact the insurance company. Even if the agreement was concluded at a bank branch, it is only an intermediary of services.

Before applying for a policy, you must carefully read the list of insurance services and the procedure for resolving issues. This will help you avoid having to resolve problems in another city, receive payments and be confident in the legality of the policy.

There are no problems with well-known companies (VSK, Reso-insurance, AlfaStrakhovanie), because offices are located in Moscow and they have transparent conditions. With start-up and unknown companies, everything can be much more complicated.

Myth 10: It is more profitable to issue a policy on the official website

It is much more profitable to take out insurance on Polis812:

It is possible to select insurance from the required list of insurance companies accredited by the bank;
The conditions are briefly described;
There are additional discounts and extended policy terms (compared to Sberbank);
All insurance issued online through Polis812 is accepted by Sberbank;
When using the promo code, an additional 15% discount.

Take out mortgage insurance