Credit Life

Credit Life

  • GLICO LOAN PROTECTION PLAN (GLPP)
  • GLICO MORTGAGE PROTECTION POLICY (GMPP)
  • GLICO KEYMAN PROTECTION PLAN (GKMPP)

Credit life insurance is a life insurance policy designed to pay off a borrower’s debt if that borrower dies. The face value of a credit life insurance policy decreases proportionately with an outstanding loan amount as the loan is paid off over time until both reach zero value.

GLICO LIFE underwrites three ordinary life insurance policies namely:

GLICO LOAN PROTECTION PLAN (GLPP)

What is the GLICO LOAN PROTECTION POLICY?
The GLICO Loan Protection Policy is designed for GLICO LIFE to assume the liabilities of a borrower as well as cover a banks exposure to risk as a result of the following occurrence to the borrower:

  • Death
  • Total Permanent Disability
  • Total Temporary Disability
  • Dread (Terminal) Disease

Death benefit:
The Balance of indebtedness will be paid assuming that all installments due from the commencement of the loan agreement have been paid or the full sum insured.

Total Permanent Disability Benefit:
If the life insured is disabled by bodily injury such that he can no more do own occupation or any other occupation, the sum insured or balance of indebtedness shall be payable.

Temporary Total Disability Benefit:
If illness or bodily injury disables the life insured, after a deferred period of 30 days (one month), the monthly instalment amount shall be paid by GLICO until the recovery of the life insured.

Dread Disease Benefit:
If the life insured suffers from heart attack, stroke, cancer, renal or kidney failure, paraplegia, blindness, major organ transplant, coma, major burns, loss of speech, and HIV through blood transfusion, then the sum insured or balance of indebtedness shall be paid by GLICO.

How the GLPP assumes the liabilities of a borrower?
The GLLP ensures that a borrower’s

  • Financial obligations would be paid when the unexpected happens
  • Assets are secured against repossession
  • Family is protected from added financial burdens as a result of death or disability
  • Credit worthiness is protected in the event of temporary disability until such time that he/she is on her feet.

How are banks protected with the GLLP policy?
GLICO LIFE shall pay all outstanding debts of a borrower to the bank in the event that the borrower:

  • Dies
  • Becomes Total Permanent Disabled
  • Becomes Total Temporary Disabled
  • Or suffers any Dread (Terminal) Disease such as cancer, kidney failure, heart attack, stroke, cancer, renal or kidney failure, paraplegia, blindness, major organ transplant, coma, major burns, loss of speech, and HIV through blood transfusion, among others that renders the borrower unable to work.

How Can I take a loan Protection Policy?

  1. Fill in the “get a quote” form now to start the process of enjoying a credit life policy today. We will contact you as soon we receive your submission.
  2. You can also call us on 020 2222 113 or send us an email to customerservices@glicogroup.com /creditlife@glicolife.com and we will quickly contact you to start your policy.
  3. Visit any of our bancassurance partners and our well trained financial advisors will assist you sign unto a policy.

GLICO MORTGAGE PROTECTION POLICY (GMPP)

What is the GLICO Mortgage Protection Policy?
The GLICO Mortgage Protection Policy is an insurance policy which protects financial institutions against the mortgage borrower’s inability to make repayments as a result of:

  • Death
  • Total permanent disability
  • Total temporary disability
  • Critical illness (e.g. Cancer,stroke, heart attack, among others)

Death benefit:
The Balance of indebtedness will be paid assuming that all installments due from the commencement of the loan agreement have been paid or the full sum insured.

Total Permanent Disability Benefit:
If the life insured is disabled by bodily injury such that he can no more do own occupation or any other occupation, the sum insured or balance of indebtedness shall be payable.

Temporary Total Disability Benefit:
If illness or bodily injury disables the life insured, after a deferred period of 30 days (one month), the monthly instalment amount shall be paid by GLICO until the recovery of the life insured.

Dread Disease Benefit:
If the life insured suffers from heart attack, stroke, cancer, renal or kidney failure, paraplegia, blindness, major organ transplant, coma, major burns, loss of speech, and HIV through blood transfusion, among others.

What advantages do I get for taking a GMPP?
The GMPP ensures the following advantages that the borrower’s:

  • Finance agreement will be paid if the worst happens.
  • Will have eliminated financial risk, and his/her assets will be more secure.
  • Family will be protected from an added financial burden when h/she dies or becomes temporal or permanently disabled.
  • Credit-worthiness will be protected.

What advantages do financial institutions get from GMPP?
The GMPP guarantees that the sum insured or balance of indebtedness of the borrower shall be paid to the financial institution when the borrower’s:

  • Dies
  • Becomes Total Permanent Disabled
  • Becomes Total Temporary Disabled
    Or suffers any Dread (Terminal) Disease such as cancer, kidney failure, heart attack, stroke, cancer, renal or kidney failure, paraplegia, blindness, major organ transplant, coma, major burns, loss of speech, and HIV through blood transfusion, among other

How Can I take a Mortgage Protection Policy?

  1. Fill in the “get a quote” form now to start the process of enjoying a credit life policy today. We will contact you as soon we receive your submission.
  2. You can also call us on 020 2222 113 or send us an email to customerservices@glicogroup.com /creditlife@glicolife.com and we will quickly contact you to start your policy irrespective of which financial institution you took a mortgage from.
  3. Visit any of our bancassurance partners and our well-trained financial advisors will assist you sign unto a policy.

GLICO KEYMAN PROTECTION PLAN (GKMPP)

The GLICO Key Man Protection Plan (GKMPP) is designed to protect an employer from the adverse effects of loosing “key” top executives (both males and females) from a company, as a result of premature death or accident, leading to total permanent disablement.
Many organizations make remarkable progress and profits because of the availability of the services of technical experts, as well as directors who possess in-depth working experience and unique skills. In the event of premature death or disability, the vacuum created as a result of the absence of these key persons’ unique services to the organization, is sometimes dire.
Any employer having such key persons in his/her employment should take the GLICO Key Man Protection Plan on the lives of the key executives, to reduce the negative impact when unfortunate circumstances occur.

How much compensation does the GKMPP offer?
The exact amount of insurance cover depends on the amount of loss the company is likely to sustain by the death of the key person, in addition to the cost the company may have to incur to find a suitable substitute, and the expenses to be incurred for training the new incumbent.

How would sum assured be determined under GKMPP?
In the absence of a determined sum assured by the insured, these two methods below can be used to determine the sum assured:

  • Keyman’s Compensation Package: Under this method, the key persons annual remuneration [Annual salary + Bonus + Fringe Benefits] becomes the bases for the full benefits payable in the event of a claim.
  • Gross Profit Method: Under this method, a two times the average gross profit of the company, over a three (3) year period, is taken as the maximum sum assured and benefits payable in the event of a claim. This option is available when all the key persons ( top executives) are to be covered.

What type of occurrence does GKMPP Covers?
GKMPP cover the following occurrences below:

  • Death
  • Total Permanent Disablement
  • Critical (Terminal) Disease: Critical/Terminal illnesses are serious and life threatening diseases such as heart attack, cancer, stroke, Alzheimer’s, Parkinson’s, Coronary Heart Disease requiring surgery; Cancer; Coma; Paralysis; Kidney Failure; Major Burns; Blindness among others.

Note that GKMPP does not provide insurance cover for accidents

Who is eligible for a GKMPP?
Any senior executive within a company, with unique skill sets, that is contributing immensely to the success of the company is eligible for GKMPP.

A Key Man, however, should not have beneficial interest exceeding 25% of the shares of the company and that of his/her family’s interest should not be more than 50% of the capital of the company.

What are the minimum and maximum ages for Key Man insurance?

The minimum age at which a key man (or woman) could be insured is eighteen (18) years.

  • The maximum age at which any key man (or woman) could be insured is fifty-five (55) years, and
  • The maximum age for maturity of a key man (or woman) is sixty (60) years)

How can I take a Key Man policy for my top employees?

Kindly send us an email @ customerservices@glicogroup.com and we will contact you for further discussions. Alternatively contact us on 020 2222 113 or 050 1411 660, thank you.

Share this on:

Share on facebook
Share on twitter
Share on linkedin
Share on whatsapp
Share on email