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Home » Life Insurance » Short Term Single Premium Credit Life Insurance

SHORT TERM SINGLE PREMIUM CREDIT LIFE INSURANCE

To cover the condition when people who get loan can’t pay back their loan because of unexpected accident. This insurance can be bought with Decreasing Sum Insured or Fixed Sum Insured.

Insurable Persons

  • Must be between 18 and 64 years old.
  • People who get loan from Banks, the organization of financial and small lending business

Insured Period

  • You can buy as with the warranty of lending that you left to pay from 1 year to 2 years.

Medical Check-Up

  • If a person is insure within from 1 lkhs to 30 lkhs, he must agree that he is in good health.
  • If you want to insure up to 30 lkhs, you need to take medical check-up
  • The doctors and nurses who joint with Insurance company will check for you

Filling Nomination Letter

  • The one who want insure have to sent one by one nomination letter or if it’s a group, they have to sent their nomination letter to Insurance company.

Sum Insured

  • You can insure the loan amount from at least 100,000 kyats or the amount specified by the bank , financial institution or microfinance institution.
  • Depending on the sum insured and the age of the insured, a medical examination may be needed.

Premium rate

Premium rate in the form of gradual reduction of insurance premium (for insurance deposit of 10 lakhs)
(MMK) Policy Term
Entry Age 1 2
18 3,900 6,900
25 4,900 8,700
30 5,900 10,700
40 8,400 15,400
50 11,600 21,600
60 22,200 42,300
65 31,800  

Premium rate for fixed deposit form (for insurance deposit of 10 lakhs)
(MMK) Policy Term
Entry Age 1 2
18 5,000 9,000
25 6,600 12,300
30 8,600 16,100
40 13,000 24,500
50 18,600 35,800
60 37,600 73,800
65 54,700

Depending on the sum insured and the age of the insured, a medical examination may be needed.

Benefits

  • If the borrower dies due to an unforeseen event / permanent disability, the loan can be repaid by the lending bank / financial institution / microfinance institution.
  • If the borrower dies due to an unforeseen event / permanent disability, the surviving family does not have to worry about continuing to pay for the property in installments.
  • Income tax deduction on paid premium

Transferring The Benefits

  • As with the insured person who insure for Short Term Single Premium Credit Life Insurance, he can transfer with percentage ratio to the banks that pay for loan, the organization of financial or small lending business or he can transfer to anyone as he wish.

Facts that can't get Benefits

If the insured dies due to the following reasons: You are not eligible for insurance benefits even if you are permanently disabled. Only paid premium will be refunded.
  1. Self-inflicted injury with intent.
  2. Caused by suicide.
  3. Caused by drug use.
  4. Caused by the use of dangerous drugs.
  5. Caused by committing a crime.
  6. Due to a pre-existing condition that was mentioned at the time of purchase.

Permanence Of Policy

Start from the day of premium starting, the policy start to fix and before the day that present in below, the policy will be fixed.
  • The day of stopping benefit in policy application
  • The day of insured person die
  • The day when insured person stop policy
  • The day of abolishing policy or cancelling
  • The day of insured person being disable forever