Mortgage insurance is only in effect for as long as your current mortgage contract. Should you decide to refinance your home (to finance a large renovation, for example) or move your mortgage to a new lender, you may have to reapply for the insurance coverage. If you have had a change in health, you may no longer be able to qualify for this protection. This leaves you in the position of either losing your insurance coverage or not being able to make the changes to your mortgage that you would like to make.
Since individual coverage is not tied directly to your mortgage you can feel free to make any changes to your mortgage that you want without having to worry about how those changes might affect your insurance protection and your family’s security.