Debt protection is an optional add-on you can include with your Firefighters First loan. If you pass away or become unable to work due to a qualifying illness or injury, debt protection is designed to cancel or suspend your scheduled loan payments up to the limits outlined in your contract. It is available on vehicle loans and personal loans and comes with a 60-day free look period so you can review your coverage before committing. This article explains how it works, what it covers and how to add it to your loan.
Firefighters face uncertainty every shift. But financial uncertainty at home is a different kind of pressure. If you were suddenly unable to work due to a serious illness or injury, or if the worst happened, would your loan payments be covered?
Debt protection is an optional product you can add to your Firefighters First loan. It is designed to cover your scheduled loan payments in the event of a qualifying life event, giving you and your family one less thing to worry about during an already difficult time.
What Does Debt Protection Cover?
Debt protection at Firefighters First Credit Union offers two types of coverage:
Life coverage
If you pass away, life coverage is designed to reduce or pay off the remaining insured balance of your loan up to the maximum amount outlined in your contract. This helps protect your family from inheriting the financial burden of an outstanding loan balance during an already painful time.
Illness and injury coverage
If you become disabled due to a qualifying illness or injury and are unable to work, this coverage is designed to pay your scheduled monthly loan payment up to the limit outlined in your contract. It is not a replacement for disability insurance but it does help keep your loan current while you focus on recovery.
Coverage is subject to eligibility. Specific terms, limits and exclusions are outlined in your signed agreement.
What Loans Is Debt Protection Available On?1
Debt protection is available on the following Firefighters First loans:
- Vehicle loans, including auto, motorcycle, ATV, boat and RV loans
- Personal loans
If you are unsure whether debt protection is available on your specific loan, contact us and we will walk you through your options.
The 60-Day Free Look
When you add debt protection to your loan, you have 60 days to review your coverage at no cost. If you decide during that period that it is not the right fit, you can cancel without penalty.
This gives you time to review your signed agreement, understand exactly what is and is not covered and make a confident decision without feeling rushed.
Is Debt Protection Right for You?
Debt protection is worth considering if any of the following apply to you:
- You are the primary income earner in your household
- You have dependents who rely on your financial stability
- You do not have sufficient emergency savings to cover loan payments during an extended period off work
- You want peace of mind knowing your loan is covered if something unexpected happens
It is an optional product. Adding debt protection will increase your monthly loan payment.2 The best way to find out if it makes sense for your situation is to talk to one of our lending team members when you apply.
How Do I Add Debt Protection to My Loan?
Debt protection can be added to your loan during the application process. If you already have a loan with Firefighters First and want to explore adding coverage, contact us directly and we will let you know what options are available.
Disclosures
1. Certain qualifications and restrictions by loan type and benefit apply.
Investments/Insurance/Warranties: Not NCUA Insured • Not Credit Union Issued, Guaranteed or Underwritten • May Lose Value
2. Debt Protection is optional and will not affect your application for credit or the terms of any credit agreement required to obtain a loan. Please contact your loan representative or refer to the contract for a full explanation of the terms.
