Car Finance Insurance
What is Car Finance Insurance?
Car finance insurance is a special type of cover designed for people who have purchased a vehicle using a loan or finance agreement. It protects you financially if your car is written off or stolen, ensuring you’re not left with debt for a car you can no longer use. This insurance goes beyond standard car insurance by covering the shortfall between what your insurer pays and what you still owe on your finance.
Who Should Consider Car Finance Insurance?
This type of insurance is ideal for anyone financing a new or nearly new vehicle, especially in the early years of the loan when depreciation is steep. It’s also useful for people with long-term finance deals or lease agreements that may include balloon payments. Having this extra protection gives you peace of mind and prevents unexpected financial strain if your car is declared a total loss.
The Benefits of Adding It to Your Plan
Adding car finance insurance to your plan ensures you’re covered for one of the biggest financial risks of owning a financed car. It works alongside your existing car insurance and provides extra protection where it’s most needed. With this coverage, you can avoid large out-of-pocket expenses and keep your credit record in good standing, even in the event of a serious accident or theft.
Aligned Renewal Dates
Simplify your renewals with just one renewal date for all your policies.
Save Money
Bundle your policies and enjoy a discount — it’s that simple.
Easy Policy Management
Each policyholder gets their own MyAccount login for convenient management
FAQs
Car finance insurance covers the difference between your car’s insurance payout (market value) and the remaining amount you owe on your finance agreement if your car is stolen or written off.
In most cases, yes. However, many providers require you to purchase the policy within a certain timeframe after taking out the finance—often within 90 days—so it’s best to act quickly.
Most policies last for the same duration as your finance agreement, usually between 1 to 5 years. You can choose the term when purchasing the policy based on your loan length.