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Insurance Choices

GAP Advantage (Guaranteed Auto Protection)

GAP Advantage offers protection against financial liability for individuals financing a new or used vehicle with SunWest. GAP Advantage protects against financial loss in the event that your vehicle is damaged beyond repair (totaled), or stolen and never recovered.

In today's vehicle market, during the first few years that you own your vehicle, your loan balance can be higher than the actual cash value of your vehicle as a result of depreciation. As your vehicle's value declines, your loan balance can be significantly higher. Should your vehicle be stolen and never recovered, or totaled in an accident, you are responsible for paying the difference between any insurance settlement and the outstanding balance on your loan.

As an example: Your one-year old vehicle has a current value of $11,000, but has been stolen and not recovered, or has been totaled. Your insurance company, after subtracting your $1,000 deductible, awards you a settlement of $10,000. Your loan balance of $15,000 has to be paid, resulting in an out-of- pocket expense to you of $5,000, if no GAP coverage had been elected. If GAP had been purchased at the time of your loan application and approval, it would cover the $5,000 difference and you would incur no additional expense.

Beginning, January 1, 2008, when you file a GAP Advantage claim on a vehicle financed at SunWest Federal Credit Union, you may receive $1,000 toward your next vehicle loan when financed at SunWest Federal Credit Union within 90 days of your original GAP Advantage claim.” The $1,000 credit will be applied to your loan principle and will not affect your monthly payment schedule.

The GAP Advantage coverage is available from SunWest for a nominal one-time fee which can be added to your loan at closing or paid for out-of-pocket. GAP insurance provides you with the security and comfort of planning for the unexpected.

*Your vehicle GAP claim must be paid out on eligible loans if your vehicle is totaled or stolen and not recovered. Prior GAP purchases, on or before December 31, 2007, do not qualify for the benefit.

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Mechanical Breakdown Protection (Extended Warranty)

SunWest now offers an extended warranty for your new or used auto. Open enrollment is available contact your branch representative for eligibility details. The following are a few of the features and benefits:

• Money Back Guarantee*
• Worry-free Protection Against Unexpected Repairs
• Zero or Minimal Deductibles
• Comprehensive Coverage
• 24-hour Roadside Assistance
• Tire Road Hazard Protection
• Rental Vehicle Assistance
• Trip Interruption Benefits
• Nationwide Coverage

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Payment Protection Plan

Minnesota Life Payment Protection is offered on all loans, except our Home Equity products and single payment loans. SunWest offers several forms of payment protection: single life, single life/single disability, and single disability/joint life.

If you elect to have single life protection, the premium amount is included in your monthly payment at the time the loan payment is calculated. If you have single life, Minnesota Life will pay the total amount of your indebtedness on your insured loan or the insurance maximum, whichever is less. If your co-borrower dies while insured, by purchasing joint life protection, they will pay on the same basis. Only one death benefit is payable under each certificate and may be subject to pre-existing conditions.

Disability protection is available only to the borrower (not co-borrower) on his/her loan. Minnesota Life will pay the monthly disability benefit if you suffer a continuous period of total disability due to sickness or injury, which extends beyond the waiting period. This period of total disability must commence before you are age 66 and while you are insured. The monthly disability benefit will be the amount of your minimum scheduled loan payment or the maximum benefit for your insured loan due in the month in which the total disability commenced.

Benefits will be payable as follows: if you are insured for life protection, Minnesota Life will pay after they receive a certified death certificate and a statement from SunWest Federal Credit Union.

If you are insured for disability protection coverage, they will pay a benefit for each complete 30 day period of total disability after the waiting period if you file written proof that you have become totally disabled while insured.

Rules for filing a disability claim: you must give Minnesota Life notice within 30 days or as soon thereafter as reasonably possible after the occurrence of any loss covered by the policy. Notice must be on a Minnesota Life claim form. Claim forms can be obtained via the mail by calling 602-866-1100 or picked up at any SunWest Branch. A portion of this form must be completed by your physician prior to submitting it to SunWest Federal.