Is Personal Loan Insurance Mandatory

A personal loan insurance is not mandatory for loan borrowers. There might be situations wherein the bank might sell it to you. However, it is you who has to decide whether you require the cover or not. For example, a personal loan insurance is not useful if you have a significantly higher amount of life insurance cover.. Personal loan insurance has many names: Credit Insurance, Payment Protection Insurance (PPI), Loan Shield Insurance and many others. This insurance is designed to cover the policyholder’s outstanding loan in the event of unforeseen circumstances such as loss of a job, sudden disability etc.. Although it is essential to buy an insurance cover while taking a loan you are under no obligation to do so, not from any bank nor non-banking finance company. "It is not mandatory to purchase home loan protection plans. Neither the law nor the regulatory bodies such as RBI or IRDAI have made the purchase of home loan protection plan with a .... However, the added security of personal loan insurance can be costly, and in some cases, unnecessary. Get pre-qualified Answer a few questions to see which personal loans you pre-qualify for..

NO! It is not mandatory to take insurance for a personal loan. I thought of telling you this straight away unlike the executives from different banks and financial institutions who won’t. Instead, it may be possible that the executives will tell you lies about how it is utmost mandatory to have insurance cover to get a personal loan.. No. Period. Do this, if they insist. Ask them to write in an email. If they avoid saying whether it is mandatory or not, ask them in the response email. They will likely say it is mandatory and you will be able to get a personal loan without insur....

Personal loan insurance is not mandatory for personal loan borrowers. It completely depends on your requirement of a loan insurance cover. Pros & Cons of having a Loan Protection Insurance. Having a personal loan insurance policy helps maintain your current credit score because the policy keeps you up-to-date with loan payments.. ASB Personal Loan Insurance can help provide financial assistance with your personal loan repayments in the event of your death, illness, injury, redundancy or bankruptcy. This cover does not include additional protection to cover things such as rent, school fees and other every day expenses..