Insurance
Need a loan. But when high street banking or less reputable providers aren't the options you need, what do you do? Thankfully, there is a better way to borrow. When you take out a loan from your credit union, it's safe, secure guarantees great rates and includes the added protection of Life Savings and Loan Protection Insurance. all at no extra cost! When you save with a credit union, your savings and loans are insured through CUNA Mutual, giving you more security than any other lending institution. You and your beneficiary are guaranteed double protection in case of death or total or permanent disability.
Loan Protection Insurance
Our loan protection package is designed to be a safety net for Credit Union members. It pays the outstanding balance on your loan if you die or become totally or permanently disabled. The benefit is available to all our members under 80.
Special features
- Pays insurable loan balances of totally or permanently disabled or deceased members
- Service is offered at no additional cost
Life Saving Insurance
Added securities. No worries
As an added benefit to you, and at no extra cost, we also top up the legacy that you leave your loved ones upon your death. Life Savings Insurance, as we call it, provides you with insurance that increases with your savings in the credit union. We automatically insure your nest eggs so you and your family can feel safe in the event of death or dismemberment. This package offers reassurance and security in what can often seem as an uncertain future. It's just another benefit of being a credit union member.Special features
- The more you save, the more insurance you have
- You are insured in the event of death (natural or accidental) or dismemberment
- Service is offered at no additional cost
To many, a lump sum on bereavement can be most welcome, especially when the amount you've managed to save is doubled and passed on to your family. We know it won't take away the pain, but it will certainly help with the financial strain. Just for once, peace of mind doesn't come at a price.
Group Term Life Insurance
- Maximum benefit: $4,000.00
- Minimum savings: $100.00
Premium rate coverage:
- 54 years or less 100% ($4,000)
- 55 years and over 50% ($2,000)
- $2.00 monthly per member Premium will be charged quarterly.
- New members will need to wait twelve (12) months.
- Also, if members do not maintain their minimum savings of $100.00, they too will have to wait twelve (12) months to be included in the plan again.
- Members should save at least the insurance premiums of $2.00 monthly or $24.00 annually to avoid the premiums being deducted from their savings/shares.
Cost for premium:
Note: Members can only be insured once.
Insurance available at no direct cost:
Your savings work harder with your Credit Union. Start saving now and you will spend less time worrying about the future. especially when you know that you are likely to receive an attractive yearly dividend. What's more, we make sure you get the most out of your money!
At LICU all loans are covered up to $40,000, and insurance coverage is from birth to 69 years.
| Age | Percent |
|---|---|
| 0- 6 months | 25 |
| 7 months -54 years | 100 |
| 55 -59 years | 75 |
| 60-64 years | 50 |
| 65-69 years | 25 |
The chart to the left demonstrates insurance coverage on age basis.
Benefits under loan protection cease on the shareholder’s 70th birthday. If a loan was made before the shareholder’s 70th birthday, then all balances owing cease on that day to enjoy benefits.
Incase of death, the family must present the death certificate, and the pass book at LICU as soon as possible.
If the shareholder owed at the time of death then the loan will be paid off by CUNNA, the Caribbean Insurance Society Ltd.
Savings are also insured for a maximum of $8,000. The table below illustrates who much a beneficiary would receive if the shareholder had a total of $8,000 at the age of 64.
| Age | % | Saved | Insurance Benefit | Total Paid |
|---|---|---|---|---|
| 1-12 | 100 | 1,000 | 1,000 | 2,000 |
| 13-54 | 100 | 2,000 | 2,000 | 4,000 |
| 55-59 | 75 | 3,000 | 2,250 | 5,250 |
| 60-64 | 50 | 2,000 | 1,000 | 3,000 |
| Total | 8,000 | 6,250 | 14,250 |
Who is a beneficiary?
Each shareholder is advised to name a person who will receive all funds if something was to happen to the shareholder. This person is considered the beneficiary. All adults are required to fill out a beneficiary form and signed by a justice of the peace. By doing this the beneficiary Is then legalized.
The shareholder can change the name of their original beneficiary, but they are required to fill out another beneficiary form and get it signed by a justice of the peace.
Minors are not required to fill out a beneficiary form, but are required to name a beneficiary for their savings. At the age of 18 then they can re-modify their beneficiary list.
Note that only the names listed on the beneficiary form will be honored.