Prabhu Bank offers “Credit Life Insurance” service to its valued customers especially in consumer sector like Home Loan or Auto Loan from the Bank. Bank has made an arrangement of term life insurance in collaboration with Prime Life Insurance Company, to the individual customers who are willing to participate to this scheme
i) Auto Loan Customers (existing and new) - Individual with age group of 21 yrs to 45 yrs, having cash flow/income to whom bank’s installment mostly relied on.
ii) Home Loan Customer (existing and new) - Individual with age group of 18 yrs to 45 yrs, having cash flow/income to whom bank’s installment mostly relied on.
Major Features of the Scheme
i) This benefit will cover risk of death whatsoever the reason including natural death of the insured person.
ii) Sum Insured shall be equal to the loan amount.
iii) Customers, who are willing to participate to this scheme, shall be charged an additional interest rate of 0.5% p.a.
iv) Bank will pay the annual insurance premium in favor of customer until final settlement of loan.
v) In case of death of the insured person, Insurance Company shall pay the sum insured to bank to settle loan liability of the client. After settlement of bank’s obligation, bank will provide the remaining amount (if any) to the borrower’s family. No return will be provided to the customer after the maturity of the insurance policy if death incident does not occur during the insurance period.