Loan Protection Insurance
Insurance on the life of a CLIENT-BORROWER in connection with a specific loan or other credit transaction to provide payment equivalent to the outstanding principal loan balance of the loan to creditors and a return of total principal payments to the beneficiaries, in the event of death of a CLIENT-BORROWER.
- Should be a CLIENT-BORROWER means a borrower of money or a purchaser or lessee of goods, services and property for which payment is arranged through a credit transaction.
- The CLIENT-BORROWER must be an active client of partner institution.
- At least eighteen (18) to 60 years old at the time of 1st loan release but can be renewed the policy on the succeeding loan cycle before his/her 65th birthday prior to the maturity of the loan.
Upon the death of the insured CLIENT-BORROWER, MEADA will pay the following benefits to the corresponding beneficiaries:
- BENEFICIARY – the sum of principal payments made on the loan at the time of death of the CLIENT-BORROWER.
- CREDITOR – the outstanding balance of the loan at the time of death including the unpaid interest for the current month only.