A low-cost alternative to maintenance contracts for paying for repairs to electronic equipment is called Equipment Maintenance Insurance (EMI). EMI is underwritten by CUMIS Insurance Society, Inc., a member of the CUNA Mutual Group. Instead of numerous service contracts with varied anniversary dates, EMI provides one, comprehensive insurance policy for all covered equipment. Servicecorp's role is the sale and servicing for all EMI policies issued in the state.

Servicecorp provides a cost-savings analysis to an interested credit union based on the equipment currently covered by a maintenance contract. Normally, a credit union can expect to save 15 to 20 percent the first year. Equipment can be added any time during the policy year or deleted. Premium or credit due is prorated over the remaining term of the policy.

Once a credit union's policy is effective, it continues to make the call for service to the same providers they have used in the past. The difference is that service is now being provided on a time and materials basis. The service provider leaves a bill for payment. This bill is then submitted for processing by the credit union. Service providers can be paid directly by CUNA Mutual Group or by the credit union.

Contact Faye Scott, Servicecorp Consultant, at (800) 285-5300, ext. 5311.