Credit Shield Insurance is an optional insurance program or facility for credit cards offered by banks and financial institutions where, in unforeseen and unfortunate circumstances, cardholders’ dues are taken care of.

It is imperative for credit card users to know and understand credit card shield options offered by the respective banks.

Generally, this valuable protection covers the following:

Outstanding amount on the credit card in the event of death, permanent total disability, and/or critical ailments,

Assistance in paying outstanding dues by offering a minimum instalment program in case of involuntary employment loss and/or temporary disability

However, keep in mind that not all credit shield insurance programs offer the same benefits. So, Here is the

Credit Shield Insurance UAE

Credit Shield Insurance UAE

List of Credit Shield Insurance for credit cards offered by major UAE banks:

1. Credit Shield ADCB 

ADCB Credit Shield

ADCB Credit Shield

Insurance Provider:

Abu Dhabi National Insurance Company (ADNIC)

Premium Cost:

1.0395% Monthly nominal premium

Coverage :

  1. Involuntary Loss of employment:

    10% of credit card account outstanding balance or credit limit whichever is lower, but not exceeding AED 4,000 for each month of the primary credit card holder’s unemployment and the total period of such indemnity shall not exceed 12 months from the date of actual unemployment.

  2. Natural Death & Permanent Total Disablement due to sickness:

    100% of Sum Insured subject to the maximum indemnity limit of each type of card.

  3. Accidental Death and Permanent Total Disablement (accident):

    100% of Sum Insured subject to the maximum indemnity limit of each type of card.

  4. Critical Illness:

    Critical illness condition shall mean the Insured Member having suffered or developed one of the following critical illnesses during the period of cover of this benefit up to the maximum indemnity limit of each type of card.

  5. Top Up Life Cover:

    In addition to the above benefits in case of Death by Any Cause (either natural or accidental causes), the Company shall pay to the Policyholder or any named beneficiary maximum indemnity limits set of each type of card.

ADCB Credit Shield Eligibility

  • Death, Disability & Critical Illness Benefit: Minimum Age at Entry: 18 Years, Maximum Age at Entry: 69 Years, Maximum Age at Claim: 70 Years
  • Involuntary Loss of Employment (ILOE): Minimum Age at Entry: 18 Years, Maximum Age at Entry: 59 Years, Maximum Age at Claim: 60 Years

Read more on ADCB Site: https://www.adcb.com/en/personal/cards/credit-cards/CC-Shield-Insurance

Credit Shield HSBC

HSBC

HSBC

Insurance provider:  MetLife Alico
Premium Cost: 0.60% of monthly outstanding credit balance
Coverage:

It provides insurance cover for the situation where you are unable to pay your credit card debts in the event of:
(1) Loss of life
(2) Permanent Total Disability
(3) Critical Illness
(4) Involuntary Loss of Employment (for salaried cardholders only)
(5) Temporary Total Disability (for self-employed cardholders only)

In the event of death or permanent total disability, waiver of the outstanding balance up to a maximum of AED 200,000

In the event of death, permanent total disability or critical illness of the primary cardholder, additional payment of up to AED 55,000 directly to the cardholder or beneficiaries

In the event of involuntary loss of employment or temporary total disability, 10% of your monthly outstanding balance for up to 6 months

Read More on HSBC site : https://cdn.hsbc.ae/content/dam/hsbc/ae/docs/en/cards/credit-shield-tncs-wpgc.pdf

Credit Shield Emirates NBD Protect Plus

Emirates NBD

Emirates NBD Personal Loan

Insurance provider:

National General Insurance

Premium Cost:

0.99% of monthly outstanding credit balance

Coverage:

  1. Job loss cover (Involuntary Loss of Employment) :Protect Plus enables you to pay a monthly sum equal to 10% of your Credit Cards outstanding balance payment for 12 months. Subject to of AED 4000 per month.
  2. Flat Accidental Death benefit:  Protect Plus will payout up to AED 200,000 to the designated beneficiary of the Credit Cardholder in case of Primary Cardholder’s death due to an accident Death Protect Plus will pay out your Emirates NBD Credit Card Outstanding Balance payment up to AED 100,000 per primary credit card with an aggregate maximum limit of AED 300,000 per Credit Cardholder
  3. Permanent Total Disability: Credit Card outstanding balance payment up to AED 100,000 per primary credit card with an aggregate maximum limit of AED300,000 per Credit Cardholder
  4. Critical Illness:Credit Card outstanding balance payment up to AED 100,000 per primary credit card with an aggregate maximum limit of AED 300,000 per Credit Cardholder
  5. Hospital Cash Benefit: In In the event of Hospitalization due to an accident exceeding a continuous period of 48 hours, Credit Cardholder is eligible for Cash Benefit of AED 100 every day for a maximum of 30 day

Read more at Emirates NBD Site: http://www.emiratesnbd.com/assets/cms/docs/cards/CreditCards/ENBD_CREDIT_SHEILD2011_TermsAndConditions.pdf

Credit Shield Citibank Lifestyle Protect

Citi

Insurance provider:

MetLife Alico

Premium Cost:

0.82% of monthly outstanding credit balance

Coverage:

  1. Critical illness covers 100% of the balance outstanding up to AED 350,000 payable as of the time of loss to the policyholder and an additional benefit of 3 times of the average balance outstanding for the previous 3 months card statement before or on the loss date is payable
  2. Loss of life (sickness or accident) covers 100% of the balance outstanding up to AED 350,000 payable as of the time of loss to the policyholder and an additional benefit of 3 times of the average balance outstanding for the previous 3 months card statement before or on the loss date is payable to the legal heirs
  3. Under involuntary employment loss, the maximum benefit per month must not be more than AED 1,000 & combined benefit payable must not be more than AED 35,000 for each insured monthly up to 12 monthly payments per ILOE claim

Read more on Citi UAE site : https://www.citibank.ae/uae/consumer/insurance/lifestyle-protect.htm

Finance house

Insurance provider:

Emirates Insurance Company
Premium Cost:

AED 11 or 0.85% of monthly outstanding credit balance (whichever is higher)

Coverage:

  1. Critical illness coverage up to AED 200,000
  2. Involuntary employment loss coverage of 10% of the amount outstanding/up to AED 5,000 monthly (for a maximum of 12 months).
  3. Permanent Disability coverage up to AED 200,000
  4. Loss of life coverage up to AED 200,000

Read more on Finance house site: https://www.financehouse.ae/en/section/personal-finance/credit-cards/credit-shield

Credit Shield RAKBANK

RAK BANK personal loan

Insurance provider:

Union Insurance Co.

Premium Cost:

0.85% of monthly outstanding credit balance

Coverage:

  1. In the event of death, permanent total disability, or critical illness, waiver of the outstanding balance up to AED 100,000
  2. In the event of involuntary loss of employment, 10% of the outstanding balance, up to a maximum of AED 4,000, for every month of unemployment, up to a maximum of 12 months

Read more on RAKBank site : https://rakbank.ae/wps/portal/retail-banking/cards/info/credit-shield

A common practice among banks is to automatically enroll credit cardholders in the credit shield program. So, make sure that you watch out for this when you sign up for a new credit card.