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, or become totally and permanently disabled for any occupation, 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 unions policy. Under the basic policy death cover ceases on the members 70th birthday. However, we have extended this cover, by means of the Over 70 Rider, to the member’s 80th Birthday and we can cover loans up to a member’s 85th Birthday, provided the member signs a form confirming that the loan is for their own personal use only. Disability cover however ceases on the eligible members 60th birthday.

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