Don't fear the pink slip

'Payment protection plans' target job-loss worries

Payment protection plans that promise to cover homebuyers’ mortgage payments for a time if they lose their jobs are becoming an increasingly popular marketing tool for mortgage lenders, homebuilders and Realtors.

But consumer advocates question the value of such "single event" insurance policies, and warn that a payment protection plan shouldn’t be the deciding factor in whether or not to move forward with a home purchase.