Life Savings/Protection Insurance (LS/LP)
Protection on the lives of credit union members (at no cost to the member)
Loan Protection Insurance
This insurance is taken out by the credit union on the lives of the borrowers (at no cost to the member). When a borrower dies, or becomes totally and permanently disabled, the insurance pays off the loan the borrower owes to the credit union, if it is less than the maximum coverage amount. The loan protection insurance gives complete protection against death up to age 69 and total and permanent disability up to age 59. Under our policy, the maximum coverage on any borrower is EC$50,000 or US$18,518.
Life Savings Insurance
This insurance policy is on the lives of credit union members (at no cost to the member). The amount of insurance on each member is in proportion to the amount of his/her savings. For example, if an insured credit union member dies and his/her total savings are $5,000, his/her beneficiary receives the $5,000 plus another $5,000 from the credit union. Under our policy, the maximum coverage for any one member is EC$8,100 or US$3,000.