If you have ever taken out a personal loan, car loan, home loan or credit card, you may have been sold consumer credit insurance (CCI). CCI is a form of add-on insurance that is meant to protect you if something happens and you can’t afford the repayments.
The cover is designed to protect you in unexpected events such as:
The CCI premium, the amount and length of cover are tied to the loan, with each policy having different features, limits and exclusions. Any claim pay-out varies greatly between policies depending on these features, limits and exclusions. For example, a claim for involuntary unemployment under a policy will pay the minimum monthly loan repayment each month from the date of unemployment but the claim payments may be capped at a specified (monthly and overall) limit amount and payments will only be available for a limited period of time.
Key details of the policy such as the term, costs, limitations, exclusions can found in the Policy Schedule or Product Disclosure Statement which should have been provided when loan or credit card was sold.
Consumer credit insurance is often considered as “junk” insurance. Here are some of the problems we see:
How to find Consumer Credit Insurance
CCI can be difficult to find, however, these are the main places to check:
If you have purchased consumer credit insurance, you may be entitled to a full refund of all the costs. This can often be thousands of dollars in compensation.
Claimo can help you establish your claim on a completely No Win No Fee basis which means that if we are not successful, you don’t have to pay anything.