Your dream should never become your family’s nightmare. Taking out a loan means one of your dreams is about to come true – for example, a new car or boat. But what happens to your dream when the unexpected hits? How can you make sure your family doesn’t shoulder the financial burden of making loan payments when you can’t?
Now you don’t have to lay awake at night worrying about what will happen if the unexpected strikes because MEMBER’S CHOICE™ Borrower Security (known as “Payment Protection”) is a voluntary debt cancellation product that, depending on the package you select, cancels your eligible loan balance, up to the agreement maximum, should you die before paying off your loan. In addition, if you become disabled due to a protected illness or injury, or become involuntarily unemployed, Payment Protection can cancel your monthly loan payment, up to the agreement maximum.
Life Protection will cancel your eligible loan balance, up to the agreement maximum, should you die from a protected illness or injury before paying off your loan.
Disability Protection will cancel your monthly loan payments, up to the agreement maximum, if you become disabled due to a protected illness or injury. It will also cancel one monthly payment for hospitalization if the hospitalization is 72 hours or more.
Involuntary Unemployment Protection will cancel your monthly loan payment, up to the agreement maximum, if you become involuntarily unemployed.
With Payment Protection, fees are based on a group rate and you buy only enough protection to cover your loan balance. That saves you money.
Other benefits include:
- Protection for your family, collateral, and credit rating
- Simple eligibility requirements
- Fast, easy enrollment
- Immediate enrollment for eligible borrowers
- Convenience – fee is included in your monthly payment
You can count on Payment Protection to step in when you and your family need help the most. And that means your dreams can go on and on – even when your income doesn’t.**
3 packages available:
Single or Joint Protection |
Life Only |
Life and Disability & Hospitalization |
Life, Disability & Hospitalization and Unemployment |
Cost/$1,000 of outstanding loan balance |
Single - $0.96
Joint - $1.67 |
Single - $2.41
Joint - $4.23 |
Single - $3.57
Joint - $6.19 |
Features |
Disability Payment Protection |
Maximum Disability Benefit per Loan |
12 monthly payments up to $12,000 (total) for each occurrence. |
Eligibility |
Up to 70 years of age. |
Exclusions |
The first six months of coverage is for accidental injury only.
No coverage for:
- Intentional self-inflicted injury
- Normal pregnancy
|
Plan Fee |
Included in the loan payment. |
Borrower #2 Coverage |
Single Borrower Coverage is available for either borrower. |
30 Day Non-retro Coverage |
Benefits do not cover the first 30 days of a disability. |
First 30 Days of Hospitalization Covered |
YES, 30 daily payments paid if hospitalization is for 72 hours or more. |
Working Requirements |
At least 25 hours per week. |
Balloon Payment |
Not covered. |
Features |
Hospitalization Protection |
|
INCLUDED IN DISABILITY PROTECTION |
Features |
Involuntary Unemployment Protection |
Maximum Benefit per Period of Unemployment |
Up to 6 months - not to exceed $3,000. |
Eligibility |
Up to 70 years of age. |
Exclusions |
No coverage for:
- First 6 months
- Intentional self-inflicted injury
- Self-Employment or employment by a joint borrower
- Strikes/unionized labor disputes
- Family Leave
- Criminal Misconduct
- Resignation/Voluntary unemployment
|
Plan Fee |
Included in the loan payment. |
Borrower #2 Coverage |
Single Borrower Coverage is available for either borrower. |
30 Day Non-retro Coverage |
Benefits do not cover the first 30 days unemployment. |
Military Discharge |
Includes Honorable Discharge from US Military active duty service. |
Features |
Life Payment Protection |
Maximum Life Coverage per Loan |
$100,000 |
Eligibility |
Up to 70 years of age. |
Exclusions |
Suicide or an intentional, self-inflicted injury not covered for 12 months.
The first 6 months of coverage is for accidental death only. |
Plan Fee |
Included in the loan payment. |
Borrower #2 Coverage |
Single Borrower Coverage is available for either borrower. |
**This is a summary of our Payment Protection program. Enrollment in the program is voluntary and not required to obtain a loan. Payment Protection is a debt cancellation product available through LGE. Please contact an LGE representative, or refer to the Member Agreement, for additional information on benefit maximums, eligibility, and limitations.
B2ML-0806-4713 |
