What is Loan Protection Insurance?
Loan Protection is an insurance plan designed to cover you in meeting the obligations of your finance contract, in the event that specific changes to your circumstances take place. The circumstances which would warrant the activation of the plan are:
Involuntary Unemployment
In the case that you should be made redundant or otherwise involuntarily unemployed, and thusly unable to create an income which would allow for you to pay off your outstanding loan, your insurance company would step in and pay it off for you.
Disablement / Sickness
In the case that you fall ill and are unable to work and produce an income which would allow for you to pay off your outstanding loan, your insurance company would step in and pay it off for you.
Trauma
In the case that you would suffer a trauma from which you would have to take off work to recover, such as a heart attack, you would be unable to work and produce an income. Without this income, you would be unable to pay out your outstanding loan, and if this is the case, your insurance provider will then step in and pay the remainder of the outstanding loan for you.
Considering Loan Protection Insurance?
As you can see, if unforeseen disaster strikes, Loan Protection Insurance can save you thousands, and in fact, can do so for as little as $5 a week. It’s wise to remember however, that all insurance policies have exclusions and all insurance companies have different levels of cover, so for more information which plan is best for you, and, how to attain it, call a Natloans insurance professional today.