Loan Protection

Loan Protection insurance is the cover your credit union takes out on the lives of eligible members with credit union loans.

Should a member with an outstanding loan balance die, the balance is repaid in full, subject to terms and conditions and certain cover limits which apply. Loan Protection insurance is paid by your credit union. There is no additional direct cost to you, the member. The insurance is underwritten by the credit unions’ own insurance company, ECCU Assurance DAC and is paid for by credit unions.

You should enquire when making your loan application to see if you are eligible. If you are an eligible member, this means that you can borrow from your credit union in the full confidence that your dependents will not be obliged to repay the outstanding loan balance in the event of your death. The insurance benefit payable is the amount of the member’s outstanding loan balance.

When borrowing from your credit union, a loan is eligible for cover if:

  • the borrower has not reached their 70th birthday (check with your credit union as this can be extended up to the 80th or 85th birthday).
  • the borrower can confirm they can actively and regularly perform all the usual duties of their occupation and
  • further terms and conditions can apply. Please ask your credit union for details.

Please check with your credit union for full details of cover under their loan protection policy.