Protect yourself and your family from life's uncertainties
Money is the last thing you or your family should worry about in a time of crisis. HSBC Line of Credit Creditor Insurance could reduce or pay off your HSBC Line of Credit in the event of death or disability.
For more details, read our frequently asked questions.
Two types of Line of Credit Creditor Insurance provide you with coverage:
HSBC Line of Credit Creditor Life Insurance
Line of Credit Creditor Life Insurance could reduce or pay off your HSBC Line of Credit should you or your co-insured partner pass away.
Reduces or repays your HSBC Line of Credit balance up to $750,000*
Convenient and affordable as you only pay for the coverage you need. Premiums are based on your previous month's average daily debit balance
Plan for the unexpected with HSBC Line of Credit Creditor Life Insurance
Call us toll-free
HSBC Line of Credit Creditor Disability Insurance
Line of Credit Creditor Disability Insurance** pays your HSBC Line of Credit payments if you become disabled from a covered illness or injury.
Pays the minimum monthly payment up to $4,000 for up to 24 months***
Gives you the security of having your payments made while you recover
Plan for the unexpected with HSBC Line of Credit Creditor Disability Insurance
Call us toll-free
HSBC Line of Credit Creditor Insurance FAQs
I already have life and disability insurance. Why do I need Line of Credit Creditor Insurance?
Your life has probably changed since you took out your life and disability insurance policies. A growing family, a bigger mortgage and a change in salary are among many factors you need to consider when determining the level of coverage you need.
With Line of Credit Creditor Life Insurance, your line of credit will be reduced or paid off in the event of death; freeing up benefits from any other coverage you may have to assist with your family’s other important expenses, such as household needs or your children’s education.
With Line of Credit Creditor Disability Insurance, your monthly line of credit payment**** will be paid in the event you become disabled, helping you focus on recovery.
I'm insured for disability at work. Why do I need Line of Credit Creditor Disability coverage?
There is some important information to keep in mind when deciding whether to purchase Line of Credit Creditor Disability Insurance:
- Employment plans usually only cover 50%–70% of your salary
- Your work insurance plan may be interrupted if you change jobs
- You may have additional medication or treatment costs during your disability
It's important to protect yourself against these realities and Line of Credit Creditor Disability Insurance will help you maintain your lifestyle should your take-home pay be reduced.
Who can apply for HSBC Line of Credit Creditor Insurance?
Anyone between the ages of 18 and 64 is eligible to apply.
If you are applying for Line of Credit Creditor Disability Insurance, you must have Line of Credit Creditor Life Insurance and be working at least 20 hours per week. If you are seasonally employed and not at work on the date you apply, you must be able to perform your job duties.
How long is the coverage period for HSBC Line of Credit Creditor Insurance?
You will be covered until your line of credit limit is cancelled, you cancel the insurance or you reach age 70, whichever comes first.
How much does HSBC Line of Credit Creditor Insurance cost?
Line of Credit Creditor Life Insurance premiums are calculated per $1,000 of the average daily debit balance in your account for the previous month, plus sales tax, if applicable.
Line of Credit limits $50,000 and over:
See above table. Rates change as you reach each new age band.
Line of Credit limits less than $50,000:
The single coverage rate is $.50 and joint coverage rate is $.85 per $1,000 of your Line of Credit average daily debit balance.
Joint rates are based on the age of the oldest applicant.
Line of Credit Creditor Disability Insurance premiums are calculated per $100 of your minimum Line of Credit payment**, plus sales tax, if applicable. Joint coverage will be the sum of two single rates.
Calculate Your Premium for Line of Credit Creditor Life Insurance (over $50,000)
Divide your Line of Credit limit by 1,000.
Multiply that amount by your applicable Age Band Rate (see Line of Credit Creditor Life Insurance Chart).
For example, if your Line of Credit average daily debit balance last month was $50,000 and you are 37 years old: $50,000 ÷ 1,000 = 50 × .19 = $9.50 per month, plus sales tax, if applicable.
Calculate Your Premium for Line of Credit Creditor Disability Insurance
For example, if your payment is $1,500 bi-weekly and you are 37 years old and your partner is 31 years old (add the sum of two disability rates, which are $2.20 + $1.80 = $4.00) $1,500 / 100 = 15 × 4.00 = $60.00 per bi-weekly payment, plus sales tax, if applicable.
Premiums for Line of Credit Creditor Disability Insurance are calculated per $100 of your minimum Line of Credit payment, plus sales taxes if applicable. Joint coverage premiums will be the sum of two single rates.
Do I need to complete a medical underwriting review when applying for coverage?
You won't need to complete a medical underwriting review if you answer "No" to the health questions on the application. If the total aggregate insured of all your mortgages, lines of credit and demand loans with Sun Life is more than $500,000 or if you answer "Yes" to a health question, underwriting is required and Sun Life will contact you directly to obtain further details.
Is there a review period or money-back guarantee?
Yes. Line of Credit Creditor Insurance is optional and may be cancelled at any time. You have 30 days to review your plan with a money-back guarantee.
How do I apply?
Call us toll-free at 1-888-310-4722 or visit an HSBC branch.
Complete details outlined in Certificate of Insurance issued upon application, or available for review at your HSBC Bank Canada branch. Life and Disability Insurance is underwritten by Sun Life Assurance Company. Exclusions and limitations apply. Sun Life Assurance Company of Canada is the insurer of this product and is a member of the Sun Life group of companies. To contact the insurer, call 1-877-271-8713 or visit www.sunlife.ca.