Key benefits applicable to Loan Termination Insurance when you HANDBACK your vehicle to a dealer upon:
Involuntary Unemployment or Accident or Illness (disability):
If you encounter or suffer from one of these events during the period of cover and as a result you wish to Handback your vehicle to the dealer, providing there is a Shortfall, then the insurer will pay the Shortfall amount to the financier up to the benefit limit of the level of cover you selected.
A Shortfall is the difference between the amount owed to the financier and the greater of;
- the value of the vehicle as reasonably determined by Eric as the trade value of the current edition of the Glass’s AutoEdge (for a Vehicle which is the equivalent age, make, condition and model as your vehicle), and
- the price paid by the dealer following the Handback.
Otherwise should you wish to Retain your vehicle -
Monthly Payment Option Benefit:
As an alternative to the Handback of your vehicle to the dealer, you can choose to use the Monthly Payment Option Benefit
to contribute towards your monthly repayments under your loan.
This benefit can be used for up to 6 monthly repayments,
limited by the cover level benefit for the level of cover you have selected.
Following use of this benefit, you may still choose to Handback your vehicle, should you still be unable to perform your