Americans need 401(k) loan insurance
We insure our homes, but what about our loans? 401(k) savings are rapidly becoming our most important asset, even greater than the equity in our homes. Our retirement money is too important not to protect.
Retirement Loan Eraser™ is a group insurance program that prevents 401(k) loan defaults due to involuntary job loss. A protected loan can lead to a better future for employees, while fewer loan defaults and cash outs reduces plan leakage for employers.
An estimated 65% of participants cash out their retirement account after a loan default. For example, a $5,000 loan default could cost them more than $20,000 at retirement. Protecting a loan preserves a retirement account’s potential for years of growth, leading to a more positive retirement outcome.