You’ve secured your personal loan or business loan and have been paying it back diligently without any hassles. Then, suddenly, for some reason, you’re no longer capable of fulfilling your financial obligations to your lender. Whether you’ve gone through involuntary unemployment or you’ve been struck with a terminal illness rendering you unable to work, having secured loan protection insurance beforehand will save you from a sticky financial situation.
What is Loan Insurance?
Loan Protection Insurance is a financial product designed to assist its holders with financial support during times of financial distress. The policy helps cover monthly loan repayments, helping the insured from defaulting on their loans.
What is the Use of a Loan Insurance?
Like any other insurance plan, Loan Protection Insurance is a safeguard against life’s surprises. By investing in Loan Protection products, you’ll be able to continue meeting your monthly debts despite the loss of income. These policies are in relatively shorter terms and can provide coverage for 12 to 24 months up to a predetermined amount. You’ll be able to use your policy to cover personal loans, car loans and credit cards.
Securing a Loan Insurance policy can also work on protecting your credit score. Minor setbacks that keep you from missing a month or two of payments can already hurt your credit score, and Loan Protection can be extremely useful for those situations. By being able to pay off monthly dues, regardless of your current financial standing, your credit score is protected along with your other investments and obligations.
Who Should Consider Getting Loan Protection?
If you have existing loans, taking out a Loan Protection policy could be a worthwhile investment. This safeguard will ensure that your family will not shoulder the burden of paying off your debts in the event that you suffer from illness, lose your job or pass away.
Insurance with Buddii
Buddii knows that you are highly committed to fulfilling your loan obligations, and you’d take measures to ensure that you don’t fall behind on your payments. This is why we offer Loan Protection Insurance, including coverage for Business Loans. Loan Protection can provide coverage for any combination of involuntary unemployment, death, disability and trauma.
Get in touch with our lending and insurance specialists and let them know what you need protecting. We will help you find the personal or business loan protection insurance most suited to your needs. Let us assist you in choosing the right policy and inclusions to make sure you’re prepared for future risks and unknowns.