Consumers and Debt Protection Products: Results of a New Consumer Survey

Debt protection products help consumers pay off a debt or continue or suspend payments upon the occurrence of unfortunate and unpredictable events like death, disability, and involuntary unemployment. The credit insurance version is almost as old as familiar consumer credit itself, but there also are newer forms of debt protection called debt cancellation and debt suspension agreements that will be referred to here simply as credit protection products. Evidence shows that many consumers purchase debt protection when they enter into various kinds of credit arrangements.