Credit union defends decision to reduce death benefit insurance

Management of Cara Credit Union has defended its decision to reduce the Death Benefit Insurance for members.

On Monday, the financial co-operative circulated a note to members to inform them that the insurance was to be reduced from €1950 to €1000.

Cara is the largest credit union in Kerry covering Tralee, Castleisland, Killorglin, Ballyduff and Causeway.

Pa Laide, CEO of Cara Credit Union, said the service was costing €600,000 in claims a year, the second highest expense after wages.

Mr Laide said it was a tough, but fair, decision.