Loan Protection Insurance

Protect your loan against unforeseen events.

Having your loan repaid in the event of your death means your family won't have to worry about the repayments themselves. They'll have enough to deal with as it is.

We can also help cover your loan repayments if you are unfit to work or if you've been made bankrupt.

Claims are processed quickly and premiums reduce each month as your loan balance reduces.

Cover can be applied for at the time of your loan so talk to your lending consultant about which covers may be right for you. Cover is optional and subject to underwriting. If you have any questions, please contact us.

Cover Summary

● Death benefit: life insurance to the value of the loan outstanding

● Disability benefit: payment of loan instalments if unfit for work for 7 days or more

● Critical Illness benefit: lump sum payment of $10,000 for a trauma event

● Bankruptcy benefit: payment of 6 months loan instalments if made bankrupt

● Hospital Cash benefit: daily payment if hospitalised for 7 nights or more

Loan Protection Certificate
Check out the important stuff
  • Important information

    We wish to advise members that as of the 1st of June 2018 members with Loan Protection Insurance are insured with First Insurance Ltd, a fully owned subsidiary of First Credit Union.  There are some beneficial changes to the covers offered and members already insured have their covers upgraded at no extra cost. 


    FIRST CREDIT UNION LOAN PROTECTION INSURANCE is underwritten by First Insurance Limited. First Insurance Limited has a BB+ (negative) insurer financial strength rating issued by Fitch Ratings in March 2022.

    Fitch Ratings Insurer Financial Strength Ratings Scale: AAA:  Exceptionally Strong |  AA:  Very  strong  |  A:  Strong    |  BBB: Good| BB: Moderately weak B: Weak |  CCC:  Very weak  |  CC:  Extremely weak  |   C: Distressed.


    As at 31 December 2021, the Minimum Solvency Capital required to be held by First Insurance Limited under the Reserve Bank of New Zealand’s Solvency Standard was $5,000,000. The Actual Solvency Capital held by First Insurance Limited was $6,151,856, representing a Solvency Margin of $1,151,856 and a Solvency Ratio of 123%.

    Actual Solvency Capital


    Minimum Solvency Requirement


    Solvency Margin


    Solvency Ratio