BASSETERRE, St. Kitts – RECOGNISING that life sometimes throws the unexpected curve ball, lending institution Fast Cash has launched a “protection policy” service which is being automatically pegged to its loan facilities.
The insurance service, dubbed the Group Protection Plan, was launched yesterday (May 3) on all islands in which the company operates, including St. Kitts.
The launch/press conference was held at the Ocean Terrace Inn, where Country Manager Anesta Martin gave a synopsis of the new service and explained how it works.
She said the company is partnering with the PAN American Life Insurance (PALIC) to protect customers from uncertainties that could throw them into a tailspin. She said these include illness – including cancer, stroke, kidney failure, organ transplant, multiple-sclerosis, major burns, loss of hearing, loss of speech and coma - death or disability and loss of employment.
The insurance covers all customers of Fast Cash who are between the ages of 18-70 once their loan is approved on or after the launch date, May 3, 2016. Customers automatically receive coverage by taking a new loan or refinancing an existing one. And unlike other lending institutions, with Fast Cash no medical assessment is needed and the service is no additional cost to the customer as premiums are included in the loan.
However, as Martin explained, because of the application of insurance to the loan facilities, the interest rate for repayment would be reduced.
She noted that benefits are conditional and explained that in the case of death, for example, 100 percent of the customer’s debt is paid by Fast Cash up to $65,700 and the named beneficiary would receive 50 percent of the loan amount ranging from $2,700 to $13,500.
A customer’s insurance may be terminated if they would have attained the age of 75 years, if they failed to pay three consecutive months on the principle amount, if the insured customer dies or if the policy is terminated by Fast Cash or the policy holder.
If an unforeseen circumstance takes place, the beneficiary must file a written notice of claim within 120 days of the incident.
The insurance package, Martin indicated, does not apply to customers whose loans would have been approved prior to May 3, 2016.
And any customer who receives benefits from the insurance, cannot refinance or apply for a new loan until all benefits would have been applied.
Asked to explain why Fast Cash opted to provide such a service to its customers, Martin explained that “…recently we had a slowdown in the economy and we found that there were many persons who lost their jobs…not of any fault of their own, or even persons that have passed away and they still have a balance with us. So it’s a benefit to the customer to ensure that they don’t burden their loved ones left behind with these situations. Because some persons were good customers but because of the situation they have lost their job…and they can’t afford to pay the loan…”
