What is PMI? It is an insurance policy to protect the lender in case of loan default. Is is not life insurance or credit life insurance. Do I have to buy it? Private Mortgage Insurance is usually required by the lender when the first mortgage is greater than 80% of the value of the property (or sales price). PMI is for the benefit of the lender. If the property is abandoned or goes into foreclosure, this policy protects some of the value of the home. It is not life insurance. This policy is usually required if the loan-to-value (LTV) ratio of the first mortgage is greater than 80%. However, there are exceptions. There are loans for 100% of the purchase price that do not require PMI, and some loans at 75% LTV that require PMI. Call us at (800) 859-5648 for more information. [ Click here for information on points. ] [ Click here for information on origination fees. ] http://web.archive.org/web/20031006065144/approved.com/pmi.html