Credit card liability insurance

Credit card liability insurance

No financial surprises – you can ensure the used limit of your credit card

  • Having insured the credit card limit, you will be entitled to the insurance indemnity in case of incapacity for work due to your illness or your minor child’s illness, accident or loss of employment.
  • You will have to pay insurance premiums only if you use the credit card limit, and only 0.6% from the used credit limit.
  • You can terminate the credit card limit insurance at any moment and free of charge.
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How does it work?

Credit card liability insurance allows you to ensure the used credit limit of your credit card. This insurance will help in case it becomes complicated or impossible for you to repay the credit.

  • The insurance protection will become effective for you in case of incapacity for work due to illness.
  • You will receive insurance indemnities, which will help you to cover the used credit card limit within the period you cannot receive your ordinary revenues.
  • You will pay insurance premiums only if you use the credit card limit.
  • In case of an insured event, our damage experts will provide you with professional assistance.

Example: Vardenis’ story

Vardenis worked as a sales manager. His work results were appreciated and he was promised a pay rise soon. Vardenis decided to not to wait for the rise and purchased new furniture for his apartment, for which he paid with his credit card. Unfortunately, one day the boss informed him that their company will merge with another company and Vardenis will be out of work. The only good news in the situation was that the bank employees advised Vardenis to get credit card liabilities insurance.

The outstanding balance on the credit card at the time when Vardenis was given the notice of the employment termination amounted to EUR 1000. Until he finds new job, each month the insurance will cover 5% of the outstanding balance, i.e. EUR 50. If Vardenis does not find a job within 12 months, the insurance will cover the remaining amount of the used credit, i.e. EUR 450, in the 12th month.

Insurance services are provided by “Swedbank P&C Insurance AS” Lithuanian branch through representative “Swedbank”, AB.