Sustainability
Credit Protection Plan
CREDIT PROTECTION PLAN
Why you should have credit protection.
If you were to pass away, become disabled or suffer from a dread disease, your family must suddenly carry the financial responsibility of paying your monthly car finance instalment in order for the vehicle not to be repossessed by the finance house.
While life insurance pays out to your estate, a Credit Protection policy settles the outstanding amount you owe the finance house should you pass away, get diagnosed with a dread disease like cancer or become permanently disabled.
It can easily take more than a year for an estate to be wound up before your family will have access to your life insurance proceeds in order to settle the outstanding debt on your new vehicle.
A credit protection policy settles your vehicle debt and the proceeds of other life insurance policies is still available to look after your loved ones instead of using it to settle vehicle debt.
Please speak to your finance and insurance agent at one of our WeBuyCars branches for more information.
BENEFITS OF CREDIT PROTECTION PLAN
Death Benefit
On the death of the insured, the outstanding balance owed to the bank is paid (vehicle is paid off). Vehicle goes into the estate as an asset and not a liability.
Dread Disease Benefit
When you are diagnosed with a dread disease, like cancer, the outstanding balance owed to the bank is paid (vehicle is paid off). Dread diseases are covered only in their most critical life-threatening stages.
Permanent Disability Benefit
When you become permanently disabled, the outstanding balance owed to the bank is paid. There is a deferred period of 6 months that it can take for medical investigations to finalise the claim.
Temporary Disability Benefit
If you are temporarily disabled, the policy will pay the insured’s monthly vehicle instalment while you cannot earn an income anymore.
Temporary disability means medically certified temporary disability due to illness, injury or disease, and which prevents the insured from earning his/her normal income by following their own occupation.
Loss Of Income Benefit (Retrenchment)
The loss of income benefit will pay your monthly vehicle instalment for a maximum period of 3 months per insured event. After a claim-free period of 6 consecutive months of permanent employment, the benefit will be reinstated should you have a new claim. You must have been permanently employed for 6 months prior to taking this policy. In the first 3 months from inception of the policy there is no cover.
