loan protection insurance
Loan Protection Insurance is the insurance cover the Credit Union provides on the lives of its borrowing members.
Should an insured borrower die, the insurance cover provides that the loan is repaid in full.
If a member who is eligible for insurance cover, and has signed the credit agreement, dies with a loan outstanding, the loan balance is paid in full by the insurer.
You will be informed at the time of the loan application if your loan exceeds the amount covered by the credit union’s policy.
Under the policy, cover ceases on the members 80th birthday.