The Ministerial Law Committee this past week discussed s a bill sponsored by MK (Likud) Chaim Katz. The bill states that when one takes out a mortgage to buy a home or an apartment, one will also be compelled to take out an insurance policy. This policy will cover the person if s/he becomes unemployed in the future. The insurance company will continue covering mortgage payments to avoid one losing one’s home. The insurance payment would be for a maximum of nine months, permitting one to look for a new job in that period of time.

Katz feels that today the mortgage includes life insurance and insurance on the structure so why not add the unemployment aspect. He is referring to Israeli mortgages that are directly linked to the insurance policies that if one dies chas v’sholom, a spouse is not left fighting to pay but rather the balance is paid out by the life insurance to clear the bank’s debt. The same holds true if the structure is destroyed for one reason or another.

Katz admits that to the best of his knowledge such an insurance policy does not exist today because it would be quite a complex policy but he remains confident it is doable. Katz accuses Finance Minister Yair Lapid of trying to sabotage the bill for his own personal reasons, pointing out this plan would not cost the state a anything while it would assist many and prevent many homes from going under during difficult times.

(YWN – Israel Desk, Jerusalem)