You need to have full comprehensive vehicle insurance over the vehicle(s) used as security. You can arrange this directly with any insurance company in New Zealand.
We also sell the following optional insurance products on behalf of our related insurance company, Beneficial Insurance Limited. If insurance policies are chosen the premium will be added to the amount you borrow:
Many of us have a loan to pay for our vehicles. And it’s prudent to have at least 3rd party insurance to cover the damage done to other vehicles or property if you were in an accident. But what if your vehicle was damaged beyond repair or written off by the insurance company – you’d be left without your car, you’d still have the balance of your loan to pay off and you’d find it difficult to finance a replacement vehicle!
For example, you owe $12,000 on your car but its current insurance value is just $9,500. If your car is written off in an accident, you will have a shortfall of $2,500 still to pay on your loan. With Autolife GFP policy, this amount would be covered by the policy – meaning you would no longer owe the finance company any money!
Guaranteed Finance Protection cover will
When you’re unable to make your payments because of sickness or redundancy or other insured events credit contract indemnity could cover repayment instalments for a specific period on a finance loan contract during medical or work-related situations. Imagine unexpectedly being made redundant – wouldn’t that put pressure on finances and your ability to meet your loan obligations – even just for 3 or 4 weeks. That’s where Consumer Credit Indemnity or CCI steps in – Your loan repayments on the applicable contract can be met for a specific time or in some cases until you are able to find new work.
CCI indemnifies or compensates you for certain situations, dependent on your policy, which could include:
While standard vehicle insurance might cover theft and damage from accidents, Mechanical Breakdown Insurance can cover mechanical faults and repairs, like steering problems, engine repairs, electric battery replacements or auto-electrical issues. The cover applies to new and used vehicles and provides peace of mind that you’re covered for unexpected mechanical repairs.
Mechanical Breakdown Insurance policies also cover costs associated with breakdowns, such as towing and rental car coverage. Also included is a 24-hour roadside assistance service.