Major Advantages
 

• This coverage guarantees the insured person and his or her loved ones that a loan will not become a burden in the event of death or disability
  
  
• The cost decreases with the balance of the loan.
   

Main Features

• Personal loan insurance is very similar to mortgage insurance. It covers the payments of a personal loan in the event of death or disability of the insured person.
  
  
• The amount of coverage therefore varies with the balance of the loan.
  
  
• The insurer and the lender institution are linked. In other words, benefits are applied directly to the insured person's account at the financial institution.
  
  
• This type of insurance policy is sold with the personal loan.