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Loan protection insurance

To help you pay your loan instalments

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  • Concrete help in repaying loans

    In these situations, loan protection insurance helps you pay the monthly instalments on your loan. You can receive cover for unemployment, incapacity for work, and permanent disability or death caused by an accident.

  • Stability and help in maintaining your standard of living

    Loan protection insurance helps you to take care of your loan repayments, making it easier for you to maintain the standard of living and home you are used to. Helps protect property purchased with a loan.

  • You will have balanced finances and peace of mind

    Loan repayment may feel insurmountable during a long sick leave or if you suddenly lose your job. With loan protection insurance, you will be able to concentrate on what matters: recovering from illness or finding a new job, for example.

  • You can choose the content of the insurance policy

    The insurance consists of two cover policies, of which you can choose one or both. This insurance is suitable for both wage earners and self-employed persons.

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Insurance to secure your loan repayments

Insurance that covers you and your family in case of unexpected setbacks in loan repayment.

Many borrowers scale their loan repayments based on their regular earnings on the assumption that their level of income will not change. Nowadays, the terms for home loans are rather long. As a long loan term progresses, you and your family’s financial situation may change.

You can choose the content of the insurance policy

Loan protection insurance is available for both wage earners and self-employed persons. The insurance consists of two cover policies, of which you can choose one or both.

Wage earners can choose from the following:

  1. Cover for disability and unemployment
  2. Cover against accidental permanent disability or death

Self-employed persons can choose from the following:

  1. Protection against disability and serious illness
  2. Cover against accidental permanent disability or death

Why loan protection insurance?

Insurance policies that cover loan repayment have various names such as loan protection insurance or insurance for loan repayment. The compensation paid by OP’s Loan protection insurance can be used to make repayments on an existing loan, if your income decreases due to illness or incapacity for work, for example. The insurance will cover the monthly instalment (monthly repayment) amount of your loan up to a maximum of €2,500 per month.

In the case of accidental permanent disability or death, the remaining loan can be completely paid off, though only up to a maximum of €300,000.

Loan protection cover alone or together

The insurance can be taken out as either single or joint cover for a loan you have taken out with another person. In that case, each borrower chooses the cover they want, regardless of the other borrower’s choices. Loan protection insurance is also suitable for a loan taken out by a self-employed person for themselves.

You can take out Loan protection insurance for both home loans and bank loans. The insurance is available for both existing and new loans. The insurance is loan-specific, and it can be taken out for one or more loans.

How much does Loan protection insurance cost?

The premium for Loan protection insurance depends on such factors as the loan amount and the insured person’s age. Request an offer from your bank.

How to buy loan protection insurance

  1. Book an appointment for a phone/online meeting or at a branch.
  2. Sign the insurance application in the Electronic Signature Service or at a branch.
  3. The insurance is valid.

You can take out Loan protection insurance if you are aged between 18 and 59, healthy and have resided in Finland for the last 12 months. To qualify for cover in the event of disability, unemployment or serious illness, you must have been employed or engaged in business for at least six months before taking out the insurance policy.

This is how loan protection insurance helps if you become unemployed

The monthly benefits under the insurance help you manage your monthly loan repayments when you are incapable of work (sick leave) or out of work.

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This is how loan protection insurance helps if the insured person dies

A family with three children raised a home loan worth 82,000 euros, with its monthly repayment amounting to 564 euros. Four years later, the 36-year old father died in a road accident.

The home loan could then be paid off using the compensation equalling the insured person’s remaining loan amount, which was 69,100 euros.

Assess risks associated with your loan repayment capacity

Have you ever thought of how you could make things run smoothly even if you were faced with a major change in your life?

Fill in the form to assess your financial risks so that you can prepare for expected and unexpected changes as suits you best. You can prepare for financial risks through our Payment Protection Insurance, Critical Illness Insurance, Life Insurance, interest rate hedges and savings.

Protection for existing or new loans

The loan protection insurance is available for both new and existing loans. The maximum insurable amount is
300,000 euros, the maximum monthly compensation is 2,500 euros, and the maximum insurance period is 30 years.

You should take out the cover at the same time as the loan. If you want to cover your existing loan, book an appointment at an OP cooperative bank. In the event of changes to the insurance, you can contact your own member cooperative bank.

How to file a claim

The Pohjola Claim Help service will help you with filing an insurance claim. The service provides you with help for all loss events under Pohjola Insurance and OP Life Assurance.

Beneficiary clause

Claims under the insurance will be paid out to the insured person, with the exception of death benefit that is to be paid to the beneficiaries chosen by the policyholder.

A beneficiary clause is a special clause in the insurance policy that prevails over a last will and testament and marital agreement, for example. This means that the benefit will be paid after the insurance event according to the valid beneficiary clause, irrespective of the policyholder’s/insured person's existing or subsequent last will and testament or marital agreement.

The insurance application shows the beneficiaries. They may be one or more persons.

Form of the beneficiary clause

A beneficiary clause and its cancellation or change must always be filed in writing with AXA. You can cancel or change it by filling in the form.

Indicate a new beneficiary clause in the form in its entirety. This new beneficiary clause invalidates the previous one. Send the changed beneficiary clause by post or fax to AXA. Contact information can be found at the bottom of the form.

Loan protection insurance’s product description and terms and conditions
Nainen halaa miestä joka istuu pöydän ääressä.
Protect your personal finances against changes
Your life and the world around you can always change. We provide an easy way of protecting your personal finances and ability to repay loans.
Nainen lukee kirjaa sohvalla vinokaton alla.
With an interest rate cap, you can limit your loan’s interest expenses for years ahead
Interest rate cap sets a maximum for your loan’s reference interest rate but you will also benefit from falling interest rates. Read more!
Extra benefit -25%
Life insurance

Cover against incapacity for work and unemployment or critical illness is issued by Pohjola Insurance Ltd. Cover for permanent disability or death caused by an accident is issued by OP Life Assurance Company Ltd. AXA handles all customer service related to insurance and claims settlement for loan protection insurance on behalf of and by authorisation of Pohjola Insurance Ltd and OP Life Assurance Company Ltd. OP cooperative banks act as the insurance companies’ representatives.