Consumer Credit Insurance (CCI) protects you when things take place that might make it difficult for you to repay your debt.
CCI coverage may be offered by your lender in some circumstances. It usually occurs when a credit application is granted, such as for a credit card, personal loan, or mortgage. Instead of relying on a single lender's product, shop around and see what other options are available through another insurer. What if the latter options are better suited to your requirements?
In most cases, CCI will reimburse your payments if you die, become permanently disabled, or lose your income due to injury, sickness, or involuntary unemployment. Your CCI coverage may provide a lump-sum payment or cover your repayments for a set length of time.
If a claim is allowed, the money is sent to the lender rather than the customer.
CCI may also provide merchandise protection cover, it comes in with the loan product. It covers damage, loss, or theft of merchandise purchased. At times the inclusion comes with a stolen credit card; as you may be provided with some impressionable benefits.
CCI may be charged in advance and included in the cost of the credit, or it may be paid separately by the consumer.
Although a medical check is not required for CCI, it is best to check with your lender or insurance.
It is wise if you can contact your lender or insurer as quickly as possible after the nature of the event that may entitle you to a payout and file a claim.