A personal mortgage insurance plan is better than creditor mortgage insurance offered by lenders for several reasons: 1) A personal plan allows the policyholder to choose the beneficiary and control the policy, rather than the lender being the sole beneficiary. 2) The death benefit of a personal plan stays at the same level, whereas it decreases over time with creditor insurance. 3) Personal plans offer more flexibility to change coverage amounts and beneficiaries over time compared to creditor insurance.