Loan Insurance offers you 2 types of coverage
- Disability Insurance. In the event of total disability, the Insurer pays the insured portion of payments, up to $7,500* a month per insured.
- Life Insurance. In the event of death, the Insurer pays off the insured portion of the net debt, up to $10 million* per participant.
An entrepreneur takes out an $80,000 loan. She must repay $1,000 a month. She decides to insure the full amount of her loan and her payments in the event of death or disability.
If she dies, Desjardins Financial Security (DFS) will repay the balance of her loan. If she becomes disabled, DFS will make her $1,000 monthly payment for the duration of her disability.
Benefits are generally not taxable or reduced by any amounts received from other private or public plans.
* For overall Loan Insurance and Line of Credit Insurance contracts issued by the Insurer.