While we plan something in our life, surprising activities might disrupt its stability. In such conditions, debt can become a burden, mainly if the loans are of huge amounts. This is in which Loan Protection Insurance steps in as a protection tool, providing whole peace of thoughts by safeguarding your budget to some point during such tough instances. Today, in this article, we'll apprehend how this facility works, its top benefits, and why you have to go with Stashfin for such a facility. What is loan protection insurance? What are its top benefits? As the term suggests, it is basically an insurance plan that covers loan repayments during emergencies. For example, if you die, become disabled, or lose your job involuntarily, it ensures that payments are made for a set time period. This protects your credit score ultimately, eases the burden for your own family, and allows you to be cognizant of restoration. Even though it's far obtrusive that there may be a value concerned, the peace of mind and monetary protection LPI gives may be invaluable. Peace of Mind Knowing that your debt obligations will be met even if you encounter financial difficulties offers a sense of relief and peace of mind. This allows you to focus on recovery or job hunting without the added stress of worrying about loan repayment. Family Protection In the unforeseen event of death or critical illness, loan protection ensures that your family is not left with the burden of your debts. This can be particularly important if you have dependents who rely on your monthly income. Credit Score Protection If, by any chance, there is a default on loan repayment, it impacts the credit score of the borrower in a very negative way. This makes it hard for them to secure credit in the future. Therefore, this type of insurance ensures that the borrowers maintain a good credit history even during difficult times. Financial Security One of the significant advantages of a loan protection plan is the financial security it provides. In tough times, when borrowers might be unable to meet their loan obligations due to health issues or job loss, insurance coverage prevents defaults and potential legal complications. Why Stashfin? As one of the leading personal loan and insurance platforms, we offer various types of insurance with a single tap on your smartphone. Visit our official website On the home page, tap on the insurance section in the header Go to loan protection Out of the four options, choose Loan protection Buy now! The premium amount here is only Rs 999/-, which is to be paid for 12 months. It offers coverage of up to Rs 2,60,000/-. What's Covered Complete protection of your outstanding Loan: Up to 1,00,000 mWallet + UPI Fraud Protection: Up to Rs. 50,000 Protection in case of offline, online, and digital fraud Emergency Cash Advance: Hotel bill settlement in India and abroad up to the limit specified (India and Broad) Emergency Services: Return transportation to the base location (India and Broad) Convenience: Hassle-free replacement of PAN 24X7 Assistance: Always there to help you What's Not Covered Charges which are not being reimbursed by Banks or Financial institutions Forgery: loss incurring directly or indirectly from an act of forgery Intoxication: loss incurred while under the influence Please refer product T&C for a complete list of exclusions Final thoughts Securing the best loan protection insurance is a proactive step towards financial stability and peace of mind. Keep in mind that the right insurance policy not only safeguards your financial health but also provides a safety net that allows you to navigate ups and downs with confidence.
In India, do you agree with the fact that taking out a loan can be a significant financial decision as it helps in achieving desirable goals for individuals? However, if you are pretty aware of your finances, such facilities also come with the burden of repayment. What happens if something or the other totally disrupts your ability to earn an income and meet your loan obligations? This is where loan protection insurance offers a safety net for you and your loved ones. In this blog, we’ll discuss everything about it, from its purpose to its advantages and in which cases you can use this facility. A loan protection plan is basically a policy that is particularly designed to safeguard your outstanding loan balance in case of unfortunate circumstances. These plans tend to offer protection against various situations, such as: Death In case the borrower of this policy dies, it pays off the remaining loan amount to the lender. This ensures the family doesn’t inherit the financial burden, leading to unnecessary stress. Disability If a critical illness renders you permanently disabled, in you’ll not even be able to work, the LPI fulfils your loan repayment obligations. Critical Illness Some plans cover critical illnesses like heart disease or cancer. Therefore, upon diagnosis, the LPI pays a lump sum benefit that can be used to manage medical expenses or continue loan repayments. Benefits of loan protection insurance Safeguarding family’s future Life is unpredictable. If the borrower passes away unexpectedly, the outstanding loan amount becomes a heavy burden for loved ones. Therefore, LPI acts as a shield in such situations as it pays off the remaining balance. Peace of mind Knowing that your loan is covered in case of unforeseen events allows you to breathe easier. You can focus on recovery or finding new employment during any kind of illness or loss of job. Improvement in Credit Score While not the primary and top benefit, but still if you repay this loan timely, it helps maintain a positive credit history. This can be quite advantageous when seeking future loans or applying for credit cards, potentially leading to better interest rates and terms. Why Stashfin? At Stashfin, you get one of the best deals on a loan protection insurance plan. We offer a coverage of up to Rs 2,60,000/- and it includes the following: Complete protection of your outstanding Loan : Up to 1,00,000 mWallet + UPI Fraud Protection: Up to Rs. 50,000 Protection in case of offline, online, and digital fraud Emergency Cash Advance: Hotel bill settlement in India and abroad up to the limit specified (India and Broad) Emergency Services: Return transportation to the base location (India and Broad) Convenience: Hassle-free replacement of PAN 24X7 Assistance: Always there to help you You can easily download our application from the Play Store (Android) or the App Store (iOS) to avail yourself of this facility of loan protection. Final thoughts All in all, this type of insurance isn’t only about safeguarding your loan but also offers tons of other benefits. It’s about protecting and safeguarding your dreams and your family’s future. Therefore, by offering a financial security net against unforeseen circumstances, LPI empowers you to take on financial goals with complete confidence. So, what are you waiting for? Avail the best loan protection insurance at Stashfin!