Legal Question in Real Estate Law in Nevada

In order to properly answer your question, one would have to see the papers you signed. You may be referencing something called "credit life insurance," which is probably the most expensive kind of life insurance one can purchase. It is sometimes offered in conjunction with a mortgage, auto loan or other large debt, so that the insurance policy pays off the outstanding balance when one of the insured persons dies. If that is the case, you probably paid the insurance premiums as a part of your mortgage payment during the time of ownership of the house. Without seeing the actual terms of the policy, we cannot advise you on whether it provided coverage for your husband's passing.

Normally, when an investor or bank buys an existing mortgage instrument, they take it with all the terms intact and your rights and obligations as the borrower do not change. Again, one cannot assume this occurred when the mortgage was sold without first reviewing the documents.

You really need to consult an attorney who can go through your escrow documents package from when you bought that house and determine whether a claim could have been made upon your husband's death that would have paid off the balance. It may not be too late if there was a policy in effect at that time.