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Discover(R) Card Launches Income Gap Protection

August 18, 2008

New Offering Helps Cardmembers Protect Themselves During Uncertain Economic Times

RIVERWOODS, Ill.--(BUSINESS WIRE)--Aug. 18, 2008--Discover Financial Services (NYSE: DFS) announced today the launch of Discover(R) Income Gap Protection, a supplemental loss-of-income offering designed to pay benefits directly to the customer to help cover monthly expenses.

The offering helps cardmembers maintain their finances during unexpected life events such as unemployment, disability, accidental death and family leave. Income Gap Protection benefits can be used to pay utilities, mortgage, credit cards or anything else the insured may need. The amount is paid directly to the cardmember and since it is not a loan, it does not need to be paid back.

"Discover Income Gap Protection helps financially compensate cardmembers when hardships occur such as unemployment and disability," said Karin Giffney, vice president of protection products at Discover Financial Services. "We understand the concern that many consumers are facing and have developed this offering to help them manage their finances during difficult life events."

Users can choose from either single or joint coverage for a monthly cost of $19.75 or $34.75, respectively. Benefits include:

  • $500 per month, per person for up to six months of total disability


  • $500 per month, per person for up to three months of involuntary unemployment


  • $500 per month, per person for up to three months in the event of unpaid family leave


  • Accidental death coverage pays the insured's beneficiary $10,000

Small business owners are also eligible for Income Gap Protection at a monthly cost of $23.75. Benefits include:

  • $500 per month for up to three months in the event of disability due to illness


  • $1,000 per month for up to three months if the business fails


  • $1,000 per month for up to three months in the event of disability due to an accident


  • $1,000 per month for up to three months in the event of unpaid family leave


  • Accidental death coverage is the same amount at $10,000

Income Gap Protection is an insurance program offered and underwritten by Central States Indemnity Co. of Omaha which assumes all liability for its benefits and is solely responsible for the program. Income Gap Protection is not a product offered or administered by Discover(R) Bank.

To learn more about Discover Income Gap Protection please visit www.Discover.com.

About Discover Financial Services

Discover Financial Services (NYSE: DFS) is a leading credit card issuer and electronic payment services company with one of the most recognized brands in U.S. financial services. The company operates the Discover Card, America's cash rewards pioneer. Since its inception in 1986, the company has become one of the largest card issuers in the United States. Its payments businesses consist of the Discover Network, with millions of merchant and cash access locations; PULSE, one of the nation's leading ATM/debit networks; and Diners Club International, a global payments network with acceptance in 185 countries and territories. For more information, visit www.discoverfinancial.com.

CONTACT: Matthew Towson
Discover Financial Services
224-405-5649
matthewtowson@discover.com

SOURCE: Discover Financial Services