If the borrower of a personal loan or home loan loses their job, dies, or for some reason finds it difficult to repay the monthly loan payments, loan protection insurance is useful in these difficult times. Condition.. It is also called loan insurance in common parlance. If you take out insurance together while taking out the loan, in the event of adverse circumstances related to work or health, you will be reimbursed on the amount of the loan insurance. You can also pay the loan insurance premium monthly with the loan disbursement.
Loan insurance benefits
- Relieve the tension of paying the bank loan even in adverse situations.
- By insuring the loan, the burden of repaying the loan does not fall on the family.
- Some loan insurance companies also offer tax saving facilities.
Loan insurance premium
The amount of the premium on the loan insurance is determined according to age, state of health, duration of the loan. Like other insurance premiums, the loan insurance premium can be paid monthly.
Keep these things in mind when insuring a loan-
- In loan insurance, choose not only the risk but also insurance protection in the event of the death of the borrower.
- The insurance policy must cover all types of disability
- Are there premium payment options to suit you?
- Does the company offer joint loan insurance on insurance?
Obtain detailed information on all these points from the agent or the bank. Only then will your loan be secured. Otherwise, these loan insurance conditions..conditions that you continue to pay the premium..when it is time to use the insurance amount, it is not only applicable to you.
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