Protect Your Credit Facilities with Confidence
Credit protection policy is an insurance policy designed to protect a borrower or lender in case the borrower is unable to repay the loan due to specific unforeseen events, such as death, disability, critical illness, or job loss.
Comprehensive Credit Protection
Its main purpose is to ensure loan repayment even if the borrower is unable to continue making payments, thereby protecting both the borrower's family and the lender from financial hardship. Suitable for corporates and individuals when taking credit facility, i.e., for mortgages, projects, businesses, or personal loans.
Key Benefits
Protect the borrower's assets and family
Prevents loan default
Ensures peace of mind for both parties
Ensures business continuity
Reduces lender risk
Preserves shareholder value
Additional Benefits
Secures key guarantors and shareholders
Safeguards creditworthiness
Who Needs Credit Protection?
This policy is ideal for:
- Individuals taking mortgages or personal loans
- Businesses securing project financing
- Corporates with significant credit facilities
- Entrepreneurs protecting business loans
What events trigger credit protection coverage?
Credit protection coverage is triggered by unforeseen events including death, disability (temporary or permanent), critical illness diagnosis, or involuntary job loss. The specific covered events depend on your policy terms.
Can businesses purchase credit protection insurance?
Yes, credit protection is available for both individuals and corporates. It's particularly valuable for businesses with significant credit facilities, project financing, or when key personnel are guarantors for business loans.
How does it protect my family?
If you're unable to repay your loan due to covered events, the insurance ensures loan repayment, protecting your family from inheriting debt and preserving your assets for your loved ones.
Does it benefit the lender as well?
Absolutely. Credit protection reduces lender risk by ensuring loan repayment even in unforeseen circumstances, which can also help borrowers negotiate better loan terms and interest rates.