Bank of the West recently teamed with Cardif USA to develop a debt cancellation product for consumer credits.

The Debt Cancellation Product protects consumers against unforeseen circumstances such as death, disability or unemployment. This product is different from conventional credit insurance since the consumer does not sign an agreement
with an insurance company. Rather, the bank absorbs the potential risk for its customers and an insurance company provides
coverage for the bank. After reviewing proposals from potential partners, Bank of the West selected Cardif USA to work with it to develop the debt cancellation program. The Group's insurance unit helped craft a customized solution in tandem with AON, the leading provider of these products and a pioneer in debt cancellation in the United States.

AON administers the service agreements and provides technical support for the bank. This is a new type of product from U.S.
banks and is generally associated with credit card debt. Bank of the West figures among the pioneers in offering debt cancellation solutions for consumer loans and certain types of real estate loans. The advantage is that this coverage can be
sold without an insurance license. A uniform offer can also be proposed at all branches without requiring adjustments to different local state insurance regulations.

Early sales during the soft rollout have been encouraging and the products will be deployed across the entire Bank of the West footprint by the end of the year.

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