Last Updated: December 8, 2021
Credit Insurance
Credit insurance is insurance sold with a credit transaction which promises to pay all or a portion of the outstanding credit balance if a claim is filed. For example, you will make payments for a period of time or pay off your loan if you are injured or lose your life. If it is credit property insurance, it usually pays the lesser of the value of the item or the balance of the loan. If you decide to purchase credit insurance, the cost is usually added to the balance of your credit transaction.
See the
Fact Sheet on Credit Insurance for further information.