Home Life Insurance
This information document only specifies the main aspects of the insurance, such as what is included and what is not. It is not an exhaustive list or a personal overview of the insurance that customers choose. The information document has no legal significance and is intended solely to inform customers about the main aspects of the insurance. The insurance summary and detailed information on the applicable contract terms are available on the insurance policy, which can be accessed on Vörður’s My Pages. The terms and conditions of the insurance contain comprehensive information about the insurance coverage and are a part of the agreement between the parties together with the insurance certificate.
What Kind of Insurance is Home Life Insurance?
Home Loan Life Insurance is a collaboration between Vörður and Arion Bank hf. It is available to individuals aged 18–55 who are taking out a new home loan with Arion Bank hf. The purpose of the insurance benefits is, among other things, to cover the loan's installments and interest for a specified period in the event of death. The compensation is paid to the beneficiary for free disposal. This provides valuable flexibility to adjust to changed circumstances and to organize household finances so that stability is maintained.
What Is Covered?
Death benefit to the beneficiary chosen by the customer at the beginning.
What Is Not Covered?
Suicide within a year from the effective date of the policy.
Death during the first five years of the agreement period if the death can be attributed to a disease that the insured was diagnosed with or received treatment for before the insurance came into effect.
Are There Any Restrictions or Precautionary Rules?
If it is revealed that incorrect information was provided at the start of the insurance, this may affect the right to compensation.
The insurance terminates upon the death of the insured.
The insurance terminates if there is a change in the borrower of the loan.
The insurance terminates if the group insurance agreement between Vörður and Arion Bank is cancelled.
The insurance terminates when the insured reaches the age of 60.
The insured is required to follow Vörður's safety and precautionary rules.
The insured must familiarize themselves with the terms and conditions of the insurance.
Where Is The Insurance Valid?
The insurance is valid worldwide. More detailed information on the scope of coverage can be found in the terms and conditions.
What Are The Insured's Obligations?
Answer all questions from Vörður related to risk assessment truthfully and honestly.
Provide all necessary information, whether for renewal, changes to the insurance, or in the event of a claim.
Notify the company of a claim at the earliest opportunity and no later than within one year of the incident.
When and how is the insurance paid for?
The insurance premium must be paid on the due date. Upon renewal, the annual premium is adjusted in accordance with changes in the index from the base index of the agreement. Vörður sends payment claims monthly to online banking services, or annually if the policyholder prefers to pay the premium in a single installment. It is possible to change the payment method via Vörður's online service, “My Pages.” There, policyholders can also choose to pay premiums using a credit card.
When does insurance coverage begin and how does it end?
Insurance contracts are generally valid for 12 months from the date of acceptance of the offer and issuance of the insurance, and premiums are based on the annual premium. If the insurance is not terminated within that period, it is automatically extended.
How Is The Insurance Terminated?
The insurance can be terminated at any time during the insurance period. Premiums must be paid for the period during which the company has provided coverage.