Credit Life Insurance
Credit life insurance may be a great policy for protecting your family from the unexpected. If you have a loan taken out in your name and you pass away, your family would endure the responsibility of paying it back.
With credit life insurance, you are covering the costs of your loan, so your family won’t have to stress about it. The way the credit life insurance works is that once you die, the policy pays for the remaining balance of the loan or the maximum the policy is willing to pay; whichever is less. Some of the benefits of the credit life insurance policy include:
- It protects your family from the financial burden of your loan (or reduces it).
- Your income, collateral and credit rating are protected.
- Coverage is provided at home and at work.
- Peace of mind for all involved.
Credit Life Insurance Rates
Most of the premium rates for credit life insurance are as low as a few pennies a day. There is a maximum eligible age to be qualified for a credit life insurance policy; make sure to check around because it varies. To qualify for this policy you must:
- Not exceed the maximum age limit.
- Be regularly working and performing the usual duties of a full-time, gainful occupation.
- Be the only person on the loan; only one person can be insured on a given loan.
If you have a loan taken out for education, mortgage, a car or something else, it may be a great idea to get credit life insurance to protect your loved ones from developing your debts. It is especially necessary if you take out the loan late in life.
Below are sample rates for
$25,000 face amount, Non-Smokers on a monthly bank draft Whole
Life:
|
Purchase Age |
Male |
Female |
| 40 | $39.94 | $35.56 |
|
50 |
$64.83 |
$61.25 |
|
55 |
$78.18 |
$73.81 |
|
60 |
$93.00 |
$80.93 |
|
65 |
$119.43 |
$99.29 |
|
70 |
$159.33 |
$130.00 |
|
75 |
$219.26 |
$177.01 |
|
80 |
$292.84 |
$239.01 |