Credit Life provides cover for lending institutions against the death or total permanent disability of the borrower. This product ensures that the lending institution is not saddled with the challenge of pursuing the assets of deceased or disabled borrowers, but are reimbursed the outstanding loan amount by miLife.
It also provides total peace of mind to the surviving family members of the borrower by relieving them of the obligation to repay the loan when the borrower dies or suffers total and permanent disability.
Who is this policy for?
Lending financial institutions that want to ensure that their loans are recouped even when the borrower becomes deceased or disabled. Individual borrowers can also fall on us for insurance cover to secure their loans.
Cover and Benefit
The policy covers mainly death of borrowers and any of the following selected benefits:
- Total permanent disability as result of illness or accident
- Total temporary disability as result of accident
- Fire & Allied Perils
In the event of death or total permanent disability of the borrower, miLife will make a lump sum payment of the outstanding loan amount to the lending institution.
To be eligible for cover, the borrower (i.e. the Loan Beneficiary) should at the date of the application not be less than 18 and more than 65 years. However, individuals above 65 years will be subject to separate underwriting considerations.