credit life insurance

  • Life insurance issued on the lives of borrowers to cover payment of loan balances in case of death. It is usually handled through a lending office and may be written as either group insurance or individual ordinary life insurance.

    Internal Revenue Service 1

1Internal Revenue Service, Internal Revenue Manual 4.42.6 Glossary, http://­www.irs.gov/­irm/­part4/­irm_04-042-006.html (last accessed Dec. 22, 2009).