Just like your car or home, the loan you have to finance your purchase is a big investment and it's important to protect it. We offer several solutions that may help cover your loan payment should something unexpected happen. To add protection to your loan, just give us a call at 800.588.6928 or stop by any LSCU location.
Protect yourself from the unexpected with these coverage options:
DPW covers the depreciation of the vehicle. It is a debt cancellation product that in the event of a total loss provides a benefit equal to the difference between NADA Retail value of the vehicle at the time of coverage enrollment and the loan balance at the time of the total loss. The waiver benefit will not exceed the maximum benefit selected or the outstanding loan balance, whichever is less.
Depreciation Protection is ideal for those who:
- Finance 90% or less and desire protection and peace of mind
- Established equity in their vehicles with a down payment, rebate and/or trade in value
- Coverage can be purchased at anytime
- 60 day free look period
- No mileage or year restrictions
- Cancels up to $1,000 of loan balance in the event of Accidental Death
View the depreciation protection brochure.
Member Credit Protection (MCP)*
Member Credit Protection is a product that allows you to pay a one-time fee, and have the comfort of knowing that your assets are protected in a time of loss.
MCP forgives your outstanding Lone Star CU auto loan if one of two events occur:
- you total your vehicle, resulting in a shortfall
- you die during the term of the loan.
Some of the benefits include:
- MCP is a Lone Star CU-administered product, so all interactions are with people you know and trust.
- MCP helps protect your credit rating.
- It reduces or pays off your covered loan balance, up to the policy maximum.
- MCP requires no complicated enrollment forms or physical exam.
- You may conveniently include the cost in your loan payment.
- You can take advantage of cost savings over purchasing GAP and Credit Life Insurance coverage separately.
- You will have one less thing to worry about should a covered event occur.
Credit Life Insurance**
Credit life insurance is designed to pay off your eligible loan balance, up to the policy maximum, should an unexpected life event occur. You decide which payments you want to protect and the monthly premium may be added to your loan. Coverage can include co-borrowers, it is totally voluntary, it won’t affect your loan approval, and it’s simple to apply.
Credit Disability Insurance**
Credit disability insurance may make your loan payment, up to the policy maximum, if you become totally disabled due to a covered sickness or accident. Coverage is totally voluntary, it won’t affect your loan approval, it’s simple to apply and is only available for the primary borrower.
Mechanical Breakdown Protection
Automotive Protection insurance covers nationwide mechanical breakdown of your new or pre-owned vehicle.
- Nationwide Protection
- 24-hour roadside assistance for the term of your coverage
- Rental Vehicle Assistance
- Transferable coverage if you sell your vehicle before your agreement expires
View our Mechanical Breakdown Protection information.
Guaranteed Asset Protection (GAP)
GAP is a non insurance product that covers the ‘gap’ between the vehicle’s value and the amount you still owe if your vehicle is ‘totaled’ or lost to theft. Buy yourself some peace of mind for a low flat rate of only $695.
View our Guaranteed Asset Protection information. (Spanish version)
*For a complete explanation of the benefits and rules, see the Member Credit Protection Addendum and Disclosure provided by your Credit Union Financial Officer. The purchase of Member Credit Protection is voluntary and cannot be required as a condition of loan approval. Member Credit Protection is a payoff shortfall and debt cancellation waiver.
**Your purchase of MEMBER’S CHOICE® Credit Life and Credit Disability Insurance, underwritten by CMFG Life Insurance Company is optional and will not affect your application for credit or the terms of any credit agreement required to obtain a loan. Certain eligibility requirements, conditions, and exclusions may apply. Please contact your loan representative, or refer to the Group Policy for a full explanation of the terms. CDCL-1473089.1-0416-0518