Ballinascreen Credit Union Limited also offers all eligible members insurance services. Some of these insurance services are paid for directly by the Credit Union. The insurance cover currently provided for by Ballinascreen Credit Union Limited in respect of eligible members is:
- Loan Protection
- Life Savings Insurance
- Death Benefit Insurance
Loan Protection Insurance
In Ballinascreen Credit Union, the outstanding loan balances of eligible members are automatically insured at no direct cost to the member. This means the loan debt will be wiped clean in the event of the member’s death. Members can take out a credit union loan in the full confidence that their dependents will not have to pay the loan off on death and total and permanent disability for any occupation. Banks and other financial institutions charge a separate insurance premium on top of loan repayments for this service.
Loan Protection Insurance is payable subject to policy terms and conditions.
- The insurance benefit payable is the amount of the member’s outstanding loan balance
- Cover ceases on the member’s 85th birthday
Disability Benefit
The maximum loan cover for disability is £40k. This protection ceases on the eligible members 60th birthday.
Life Savings Protection
Life Savings Insurance is the life insurance cover provided to Ballinascreen Credit Union members as member benefit i.e. at no direct cost to you and as an incentive to save regularly. Life Savings Insurance is payable on the death of the eligible member, subject to policy terms and conditions.
The amount of insurance benefit to which a member is entitled is in proportion to the amount of savings the member has made during the term of membership, and depends on the member’s age at date of lodgement.
Subject to a maximum benefit of £15,000 set by the Credit Union, every £1 you save before the age of 55 provides £1 of insurance. Once you are over the age of 55 each £1 you save with your credit union provides the following benefit:
- £1 saved between ages 55-59 provides £0.75 insurance
- £1 saved between ages 60-64 provides £0.50 insurance
- £1 saved between ages 65-69 provides £0.25 insurance
No insurance is payable on amounts saved after your 70th Birthday.
However, cover built up before the 70th birthday remains in force after the 70th birthday as long as the savings are left in the credit union. Withdrawals may affect the amount of insurance payable in the event of a claim.
Death Benefit Insurance
Death Benefit Insurance is provided to all members of Ballinascreen Credit Union at no extra cost, subject to policy terms and conditions. The sum of £2,000 is paid out to dependants of eligible members, towards funeral expenses.
Nobody enjoys talking or even thinking about their own mortality. However the simple fact is funerals are now extremely expensive and very few people realize the impact funeral bills will have on their lives. In recent years the average cost of a funeral has increased from £200 to over £3000. Death Benefit Insurance won’t ease bereavement but it will go a long way towards easing the financial burden your death may place upon your family.
To be eligible, a person must be:
- A Credit Union Member
- Have joined the Credit Union before age 70yrs
- They had at least £100 in their credit union account at the time of death
Avoid your Account becoming dormant
Under Credit Union Rule 22 (now amended to Rule 19) if your account becomes inactive for 3 years and we are unable to contact you within that period it may become a dormant account. It is in your own interest to keep it active by conducting regular transaction.
The account maybe reactivated by conducting transactions and supporting it with photographic I.D. e.g. passport/drivers licence/birth certificate for children and confirmation of address (not more than 3 months old) e.g. utility bill/revenue documentation.
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