Creditor group life insurance

{
  "id": "MLC-T-INS-001029",
  "term": "Creditor group life insurance",
  "field": "Insurance and risk management",
  "definition": "A type of group life insurance policy purchased by a lender to cover the lives of its debtors. If a covered debtor dies, the insurance pays the outstanding balance of their loan directly to the lender. This policy protects the lender from losses due to debtor mortality and is distinct from individual credit life insurance purchased by the borrower.",
  "url": "https://mlchart.com/terminology/insurance/creditor-group-life-insurance/"
}