Should You Cancel Your Homeowner's Insurance After Paying Off Your House?
When you purchase a home with a mortgage, the lender you have will require that you carry a homeowner's insurance policy on the house for an amount that covers the balance of your loan. When you make the last payment on your house, your lender will no longer have control to tell you that you must keep this insurance, which means you have the right to cancel your plan. Is canceling your homeowner's insurance a good idea, though, after paying off your house?