Unfortunately, this can happen to you as mortgage insurance companies have the right to consider the application and choose to accept or deny it. We realize it is confusing to know that you are eligible to get a mortgage but not a mortgage insurance policy. In this situation, your lender might have to contact a different mortgage insurer, and you may even have to pay a higher down payment. The worst-case scenario is that the lender can decide not to provide you with a mortgage loan whatsoever.