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Credit Insurance Phoenix AZ

This page provides relevant content and local businesses that can help with your search for information on Credit Insurance. You will find informative articles about Credit Insurance, including "Credit Card Protection Insurance- Should You Get It? by Rebecca Lindsey". Below you will also find local businesses that may provide the products or services you are looking for. Please scroll down to find the local resources in Phoenix, AZ that can help answer your questions about Credit Insurance.

Jl Equine Insurance Inc
(877) 264-2658
PO Box 30787
Phoenix, AZ
 
Equisport Agency Inc
(602) 903-0373
1332 E Redfield Rd
Tempe , AZ
 
State Farm Insurance/Yvonne Knaack
(623) 937-3311
5525 W. Glendale Avenue
Glendale, AZ
 
AMICA Mutual Insurance Co.
(888) 892-6422
10835 N. 25th Ave
Phoenix, AZ
 
BOMAR INSURANCE STATE FARM
(623) 523-7509
5820 W. PEORIA AVE #105
GLENDLE, AZ
 
The Equestrian Group
(602) 992-1570
PO Box 9957
Pheonix , AZ
 
Moores Taxes and Insurance
(602) 468-1040
3176 E. Indian School Rd, Phoenix, AZ
Phoenix, AZ
Alternate Phone Number
(602) 468-1040
Services
Insurance Services

Car Insurance Phoenix
(480) 588-1981
2303 N 44th St
Phoenix, AZ
Alternate Phone Number
480-588-1981

Affordable Health Insurance
(623) 225-7930
6438 W. Golden Ln.
Glendale, AZ
 
American Family Ins. - Sonya
(623) 251-1510
350 E. Bell Rd. Ste
Phoenix, AZ
 

Credit Card Protection Insurance- Should You Get It?

Rebecca Lindsey

When sorting through various files regarding credit cards, many people may happen upon information regarding credit insurance. In fact, many people may be paying for this insurance and not even realize that they have it. Not a good idea—fees can sometimes be as high as $25 to $30 a month.

What is credit insurance?

In a time when credit card debt is at an all-time high—up to $500 billion last year—many people turn to credit card insurance for a little security. Consumer Reports reveals that yearly sales of credit insurance total $6 billion.

Credit insurance is a type of coverage designed to pay off the minimum monthly payment in the event that a credit user cannot make their payments. Credit insurance is offered more and more, so if you haven’t heard of it yet, chances are that you will. It is offered by credit card companies, banks, stores, car dealers…the list goes on.

The average rate of credit insurance is around 75 cents for each $100 of loan coverage per month. This means that if you carry a monthly balance of $3000, the insurance premium would cost you around $22 each month. That may not seem like a lot, but small sums add up: $22 dollars a month costs you $264 a year.

There are several types of credit insurance:

  • Credit disability insurance pays on your credit card bills if you become disabled.
  • Credit involuntary unemployment insurance pays on your credit card bills if you are fired.
  • Credit property insurance pays to fix or replace items bought on credit or used as collateral.
  • Credit life insurance pays off a debt if the borrower dies.

A typical credit insurance policy offers:

  1. Voluntary enrollment
  2. Cancellation at any time
  3. Rates regulated by the state insurance commissioner, regardless of age, gender or health
  4. Premium fee calculated on current monthly balance
  5. Benefit of minimum monthly payment if borrower is disabled or unemployed
  6. Full payment benefit in the event of death or dismemberment, with a cap set typically at $10,000
  7. Personal credit rating maintained in good order in the event of disability or unemployment
  8. The key thing to remember is what most insurance offers don’t eagerly highlight: most coverage pays only the minimum monthly payment each month.

    So is credit insurance worth the fee?

    A strong debate exists regarding credit insurance. Supporters of credit insurance (usually those who offer it) say that it offers great protection for some credit users. For instance, a consumer who carries a large debt and who is in poor health may definitely benefit from the advantages of credit insurance should they become too ill to work.

    Critics argue that it’s a grand money maker for companies that offer the insurance, but a bad deal for consumers. They make a case that a life insurance policy would cost the consumer less and pay out more benefits. Indeed, the Consumer Credit Insurance Association notes that...

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