Does Bank Owned Life Insurance Work? 
The bank owned policy benefits the bank when a family crisis occurs such as the death of a income provider for a family . A personal policy that protects the family in the event of a death is a better place for income protection in the need to protect the mortgage . I agree that many times a Term Life Policy is the best choice for the family mortgage . Your need is best determined by looking at your current situation and determine how much debt , mortgage , and expenses could be covered through your policy . Term Life Insurance is very affordable and offers more coverage for the monthly cost . Many personal policies include benefits for when you are disabled , stuck by cancer or other critical illnesses , or even confined to your home with a chronic illness . Some families like to use a life insurance policy that provides the coverage and then refunds all of the premium back to them if do not have a death in the family . These options are not typically available through you bank or mortgage company . Yes , Bank Owned Life insurance works but it would be better to check with an Independent Insurance Adviser to see if your family or business would be better served with a personal policy with a Life Insurance company . 