Which type of creditor insurance covers loss of employment?

Creditor job loss insurance is specifically designed to provide coverage in the event of loss of employment. This type of insurance typically pays a portion of the borrower's loan payments during a period of unemployment. It supports individuals who may find themselves suddenly unemployed, helping to mitigate financial strain by ensuring that they can continue to meet their debt obligations.

Creditor life insurance, on the other hand, pays off the debt in the case of the borrower's death, while creditor disability insurance covers loss of income due to illness or injury that prevents the insured from working. Creditor critical illness insurance provides a payout if the insured is diagnosed with a specified serious illness, but it does not cover job loss specifically. Thus, creditor job loss insurance is the correct choice as it directly addresses the situation of unemployment.