Car Loan Insurance NZ
Your car is more than transport—it's often essential for work and family life. Car loan insurance protects your vehicle finance if you lose your job, become ill, or pass away. Keep your car even if life gets difficult.
Whether you've financed a new car through a dealership or taken out a personal loan for a vehicle, car loan insurance ensures you won't lose your transport if your circumstances change. Monthly payments as low as $6 per week give you complete peace of mind that your vehicle is protected.
Why Choose Car Loan Insurance?
- Protects dealership and personal car loans - covers any vehicle finance arrangement
- Covers up to $80,000 - protection for new cars, used vehicles, and imported motors
- From just $6 per week - affordable protection for your vehicle investment
- Quick claims process - payment made directly to your lender in 5-10 business days
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What's Covered Under Car Loan Insurance
Redundancy & Job Loss
If you're made redundant or lose employment, your car payments are covered for up to 12 months. Keep your vehicle while finding new work.
Accident & Illness
Unable to work due to injury or illness? Your vehicle finance is protected while you recover and get back on your feet.
Death Cover
If you pass away, your outstanding car loan is paid in full. Your family won't inherit vehicle debt and can keep or sell the car.
Terminal Illness
If diagnosed with terminal illness (less than 12 months to live), your car loan is paid out immediately. Full protection.
Key Benefits of Car Loan Insurance
Keeps You Mobile
Your car is essential for work, family, and independence. Car insurance keeps you mobile even if redundancy or illness strikes unexpectedly.
Works with Dealership & Bank Loans
Whether you financed through a dealership, bank, or took a personal loan for your vehicle, we provide comprehensive protection for all arrangements.
Covers New & Used Vehicles
Brand new car, second-hand vehicle, imported motor—all eligible. Protection applies to any car you've financed up to $80,000.
Direct Payment to Lender
We pay your loan provider directly. Your car payments are made automatically, preventing missed payments and protecting your credit rating.
Fast Claims Processing
Submit claim with proof of redundancy or medical records. We assess and approve within 5-10 business days with no lengthy delays.
Affordable from $6 per Week
Premiums start as low as $6 weekly and scale with your vehicle's loan amount. No hidden fees or broker commissions. Cancel anytime.
How Car Loan Insurance Works
Tell Us About Your Car Loan
Provide details of your vehicle, loan amount, and monthly payment. Get an instant quote based on your specific car finance arrangement.
Apply Online in Minutes
Simple online application requires no medical exam for cars under $80,000. Approval usually within 24 hours with minimal documentation.
Start Your Coverage Immediately
Once approved, your car loan insurance becomes active with a 14-day waiting period. Premium payments begin. You're now protected.
If You Need to Claim, We've Got You
Lost your job or become ill? Submit a claim with supporting documents. We verify and pay your lender directly, keeping your car payments on track.
What's Not Covered
Car loan insurance has specific exclusions to keep premiums affordable and ensure claims are legitimate. Here's what typically isn't covered:
- •Vehicles in someone else's name or fraudulent loans
- •Voluntary job resignation (redundancy cover only)
- •Pre-existing medical conditions with waiting periods
- •Claims within 14-30 days of policy start (waiting period)
- •Job loss due to gross misconduct or poor performance
- •Self-employed or contract workers without special underwriting
Full policy terms and exclusions are available upon request. We recommend reviewing these carefully to understand what's covered and maximum monthly benefits under your specific policy.
Frequently Asked Questions
What car values can I insure?▶
Car loan insurance covers vehicles financed up to $80,000. This includes new cars, used vehicles, and imported motors. If your car's loan exceeds this amount, contact us for special underwriting.
Can I add car loan insurance to an existing loan?▶
Yes. Whether your car is brand new or you've had it for years, you can apply for car loan insurance anytime during the loan term. As long as you're the registered owner, we can cover it.
What if I refinance or swap vehicles?▶
If you refinance to a different lender, contact us to update your policy. If you buy a new car, you can transfer coverage to the new vehicle's loan. Full flexibility for changing circumstances.
Does it cover rental cars or commercial vehicles?▶
Standard policies cover private passenger vehicles only. Commercial vehicles, rental cars, or vehicles used for business purposes need special underwriting. Contact us to discuss your specific vehicle use.
Can I claim multiple times if I lose my job twice?▶
Yes. Each redundancy event is treated separately. If you return to work and are made redundant again, you can claim again for another 12-month period, provided your policy remains active.
How much does car loan insurance cost?▶
Premiums start from $6 per week depending on your vehicle's loan amount and your age. Personalised quotes are available online in 2 minutes. Monthly costs are completely transparent with no hidden fees.
Can I cancel anytime without penalty?▶
Absolutely. Car loan insurance is month-to-month with no long-term contracts. Cancel anytime with no exit fees or penalties. Just give notice and your policy ends cleanly.
Who Should Get Car Loan Insurance?
Car-Dependent Workers
If your job depends on having a car (delivery, trades, transport), losing your vehicle means losing income. Insurance protects both your transport and your job security.
Rural & Regional Families
In areas with limited public transport, losing your car is a genuine hardship. Insurance ensures your family stays mobile even during financial stress.
Multi-Child Families
Families with multiple children relying on a single vehicle for school runs and daily needs benefit from the security of car loan insurance coverage.
High-Debt Households
If you already manage multiple loans and debt, losing your car creates a spiral of problems. Insurance breaks that cycle by keeping transport secure.
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Protect Your Car & Stay Mobile
Get a free quote in just 2 minutes. From $6 per week you can protect your vehicle finance. No medical exam, approval in 24 hours.
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