Loans Insurance

LOAN PROTECTION INSURANCE

Loan Protection Insurance is the insurance cover the Credit Union provides at no extra cost on the lives of its borrowing members.

If a member who is eligible for insurance cover, and has signed the credit agreement, dies or become totally disabled with a loan outstanding, the loan balance is paid in full by the insurer.

This means that member’s do not have to be worried about leaving debts to their loved ones in the event of untimely death, or serious accident.

Under the policy, cover ceases on the members 80th birthday.

PAYMENT PROTECTION INSURANCE

Repayment Protection Insurance is an optional extra that a member may take out should they decide it suits their requirements. This insurance is designed to cover your loan repayments for a specified period of time if you are out of work for any of the following reasons Accident, Sickness, Redundancy in the case of PAYE workers, and critical illness in the case of self employed workers.

You are Eligible for this scheme if

  • You are between 18 – 65 years of age
  • You (or your spouse) are in full time employment and work a minimum of 18 hours per week, and have done so for the last 6 months (not including seasonal and temporary work).

Benefits of P.P.I.

  • Repayment worries are removed- Loan repayments are made for you if you are out of work for any of the above reasons
  • Cost is the same for all borrowers
  • No “medical” is required for this insurance

Bread Winner Clause

This unique feature allows unsalaried members attach the insurance cover to their earning partner. If you are unable to work due to any of the insured events, the insurance cover will meet your loan repayments.

How much does it cost?

PPI is charged at 7.99% of your loan repayment amount and is paid at the same time as you make your loan repayment. For example, if you have a loan repayment of €60 per week, if you take out PPI your repayment will be €64.79 per week. You can choose to cancel PPI whenever you wish.

To find out more detail on PPI and whether you are eligible to take it out click here