Life Savings Insurance (LSI)
Because Downpatrick Credit Union Ltd. was formed solely to help its members, it aims to offer fair and reasonable rates on savings and loans. But this isn’t the only advantage to saving and borrowing with your credit union.
Your credit union also offers all eligible members Life Savings Insurance and Loan Protection Insurance at no direct cost.
The insurance is underwritten by the credit union movement’s insurance company, ECCU Assurance Company Limited and is paid for by credit unions from their surplus income. Members pay no individual charge.
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What is Life Savings Insurance?
Life Savings Insurance is the life insurance cover Downpatrick Credit Union Ltd. takes out for all eligible members as an additional incentive to save regularly and maintain savings with the credit union.
What are the benefits?
The amount paid out in the event of a member’s death will depend on your age and how much you have saved with Downpatrick Credit Union Ltd over the years.
Life Savings Insurance is paid for by Downpatrick Credit Union Ltd. There is no additional direct cost to you, the member.
How does it work?
The amount of insurance benefit which an eligible member is entitled to is in direct proportion to the savings and the age of the member.
Subject to a maximum benefit set by Downpatrick Credit Union Ltd, every £1 you save before the age of 55 provides £1 of insurance. So, if you are 54 years of age with £3,000 saved with Downpatrick Credit Union Ltd, an insurance benefit of £3,000 in addition to your savings will be paid out on your death.
Once you are over 55 years of age, each £1 you save with us provides the following insurance benefit:
- £1 saved during 55-59 years of age provides 75p of insurance benefit.
- £1 saved during 60-64 years of age provides 50p of insurance benefit.
- £1 saved during 65-69 years of age provides 25p of insurance benefit.
- No insurance is payable on amounts saved after your 70th birthday.
Once earned, your insurance remains in force as long as you leave your savings in your credit union. Withdrawals may affect the amount payable.
Am I eligible?
You are entitled to Life Savings Insurance cover when you save with Downpatrick Credit Union Ltd, if you:
- join Downpatrick Credit Union before the age of 70 years and
- are actively at work, or if not working, are in good health.
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