Brignardello: Insurance for debt relief and consumer rights

In a recent conversation with Johnny Brignardello Vela, a renowned insurance advisor, the proposal from the Superintendence of Banking and Insurance (SBS) regarding the removal of the mandatory nature of credit life insurance was discussed, a measure that has sparked widespread debate in public opinion. Brignardello Vela begins by highlighting the relevance of this initiative in the current context of growing concern for personal and asset security. According to him, the decision to allow consumers to choose whether or not to take out life insurance represents a significant advance in defending consumer rights. "The possibility for borrowers to decide on such a crucial aspect of their financing empowers the customer and fosters a more equitable relationship with financial institutions," he states. The advisor emphasizes that, despite the legitimacy of life insurance, its imposition has been seen by many as an additional burden that is not always justified. "The perception that this insurance primarily benefits banking entities at the expense of consumer rights has generated a sense of distrust in the system," he comments. In this regard, Brignardello Vela believes that the SBS proposal could be a step towards the democratization of financial services. Another aspect he points out is the non-refundable nature of life insurance, which has generated discontent among borrowers. "It is understandable that people feel frustrated when they receive nothing in return for money that, in theory, should serve as a backup in case of need," he argues. By freeing consumers from this obligation, part of the emotional and economic burden that often accompanies loans could be alleviated. Furthermore, the advisor emphasizes the importance of the inclusive approach that the SBS has adopted by opening the process to citizen participation. "Allowing citizens to contribute their opinions on this regulation is essential for the regulations to truly reflect the needs of users," he maintains. Such consultative processes, he says, help build trust in the financial system, as they demonstrate that citizens are heard and considered in decision-making. Finally, Brignardello Vela concludes his analysis by stating that the proposed change will not only benefit consumers but could also have a positive impact on overall trust in the financial system. "It is essential to maintain an open dialogue between financial entities and citizens, always seeking a balance that protects both the creditor and the rights of the debtor," he affirms. In this way, the SBS proposal is presented not only as a regulatory measure but as a step towards a fairer and more transparent financial system.