Scotia Business Loan Protection insurance

This loan insurance protects the business you’ve worked so hard to build.

What is Scotia Business Loan Protection?

If you own a business and you or any other key employee are unable to work due to a disability, Scotia Business Loan Protection can cover the regular payments on your Scotiabank line of credit, loan or credit card. If you or another key employee passes away, your outstanding loan amounts can be paid in full.

Scotia Business Loan Protection offers you two coverage bundle types:

Basic Protection

Your coverage includes essential life insurance benefits. With Basic Protection, your business can receive a life insurance benefit of up to $2,000,000 if an insured employee passes away.

Comprehensive Protection 

Your coverage provides Life insurance, Disability, Hospitalization and Terminal Illness benefits.

With Comprehensive Protection, your business can receive the following benefits:

  • Life insurance benefits of up to $2,000,000 if an insured employee passes away;
  • Disability benefit paid monthly and equal to 1%1 of the Comprehensive coverage amount if an insured person becomes disabled;
  • Hospitalization benefit equal to 2%2 of the Comprehensive coverage amount up to $15,000; or

Terminal Illness benefit equal to the outstanding balances3 on your insured borrowings.

Who can apply for Scotia Business Loan Protection?

Who is eligible for coverage?

This coverage is available to critical members of your business operations, including:

  • A sole proprietor or partner;
  • A guarantor
  • Shareholders owning at least 10% voting shares of the business

A key employee whose contributions are essential to an eligible business entity and without whom the eligible business entity would have difficulty operating.

What businesses are eligible?

Your business qualifies under Scotia Business Loan Protection if you are:

  •  A resident and operate in Canada
  •  A Scotiabank customer with a fixed or variable rate term loan or demand loan, or a revolving credit facility
  •  A sole proprietorship, partnership, corporation, holding company or other entity operating a business
  •  A business (if not a farm, fishery or ranch), that is a small business corporation within the meaning of subsection 248(1) of the Income Tax Act

What loans are eligible?

The following business loan types qualify for coverage:

All commercial, small business or farm loans, lines of credit, mortgage loans, credit cards, personal demand loans for business purposes, or other related business loan credit agreements with Scotiabank.

Premiums and Discounts

For Comprehensive coverage under $50,000, the monthly premium rate is $1.00 per $1000 of the insurance coverage. For Comprehensive or Basic coverage, above $50,000 the monthly premium rate is based on your age and the insurance coverage amount.

Basic coverage is not available for under $50,000. Check out our frequently asked questions to see our detailed premium rate tables.

30-day ‘right to examine your coverage’ period

If you decide our business loan insurance is not right for you, cancel within 30 days to receive a full refund of any premium paid. 

Learn more about the product

Protect yourself financially with optional Scotia Creditor Insurance Protection

With or without dependents, the right coverage can help keep your financial goals on track. 

Watch Video, Protect yourself financially with optional Scotia Creditor Insurance Protection

Understanding optional Scotia Creditor Insurance Protection

Learn how your insurance premium is determined and what the right coverage can do for you.

Watch Video, Understanding optional Scotia Creditor Insurance Protection

You may not be able to see the future, but we can help you plan for it.

See how Scotia Creditor Insurance can help you and your family get financially prepared.

Watch Video, You may not be able to see the future, but we can help you plan for it.

Frequently asked questions

Ways to contact us

Scotia Business Loan Protection

Visit us at a local branch. A representative can help find the right solution for you.

Find a branch