OREANDA-NEWS. June 26, 2012. SEB’s loan survey indicates that the clients who have taken out loans are aware of and fear loan-related risks. While in 2005, just 18% of the home loan clients also signed an insurance contract when they took out a loan, since 2010, the percentage of loan clients who do that has risen to 85%, reported the press-centre of SEB.  

Triin Messimas, Development Manager of Private Loans at SEB: “Today 90% of the borrowers consider it important that they have insurance coverage against loss of health or employment; 40% would insure themselves against several loan-related risks at a time.

This survey also showed that the realisation of loan-related risks affects directly and substantially the ability of the borrowers to cope economically. The economic situation of 60% of borrowers worsened during the past five years when two or more loan-related risks realised (e.g., such risks as deterioration of health, increased costs, drop in incomes, etc.). Where none of the loan-related risks actually realised, the ability to cope economically decreased in just 10% of cases. Thus, the coping of a family can certainly be kept stable if insurance coverage against risks is procured, especially in times of economic decline.”