Landbank Introduces Free Life Insurance for Upgraded Savings Accounts
The Land Bank of the Philippines has started offering free accident and life insurance coverage to clients who upgrade their existing OptiSaver savings accounts to the new OptiSaver Plus. The upgraded savings account provides depositors with free insurance coverage based on their average daily balance (ADB).
Account holders with a minimum ADB of P50,000 can now enjoy either free life insurance or personal accident insurance, depending on their balance tier. Those in the top bracket — maintaining at least P20 million — can receive both life and personal accident insurance coverage.
How the Insurance Coverage Works
The insurance coverage is provided by Landbank’s insurance partner, Cocolife, and scales with the account holder’s average daily balance. Here’s a breakdown of the coverage:
- P50,000 – P99,999.99 ADB: P50,000 personal accident insurance
- P100,000 – P199,999.99 ADB: P100,000 personal accident insurance
- P200,000 – P299,999.99 ADB: P200,000 personal accident insurance
- P300,000 – P499,999.99 ADB: P300,000 personal accident insurance
- P500,000 – P999,999.99 ADB: P500,000 life insurance
- P1,000,000 – P2,999,999.99 ADB: P750,000 life insurance
- P3,000,000 – P4,999,999.99 ADB: P1,000,000 life insurance
- P5,000,000 – P6,999,999.99 ADB: P1,250,000 life insurance
- P7,000,000 – P8,999,999.99 ADB: P1,500,000 life insurance
- P9,000,000 – P9,999,999.99 ADB: P1,750,000 life insurance
- P10,000,000 – P19,999,999.99 ADB: P5,000,000 life insurance
- P20,000,000 and above ADB: P5,000,000 life insurance and P1,000,000 personal accident insurance
To claim benefits, users must file within 30 days of the insured event and provide valid ID and supporting documentation. The insurance is only valid while the account maintains the required minimum ADB.
Additional Benefits of OptiSaver Plus
The OptiSaver Plus account also comes with tiered interest rates of up to 4% per annum, accrued daily and credited at the end of every month. However, note that the interest rates are subject to quarterly repricing.
New OptiSaver Plus accounts can be opened at any Landbank branch with a minimum initial deposit of P50,000. Existing OptiSaver account holders can upgrade to OptiSaver Plus by visiting their branch and filling out the required forms.
Landbank president and CEO Lynette Ortiz said, “With the Landbank OptiSaver Plus, we are empowering our clients to achieve financial growth while securing their future.”
While the insurance coverage is a welcome perk for savers, it’s essential to note that the maximum free life coverage under the OptiSaver savings account is P5 million, which may not be sufficient for everyone, especially those with higher financial obligations. Individuals seeking larger or more comprehensive coverage may need to explore additional insurance options.
