BNP Paribas Cardif Life Insurance launches ‘(NP) Credit Care The Safe Creditor Insurance’

February 10, 2023

BNP Paribas Cardif Life Insurance announced the launch of ‘(NP) Credit Care The Safe Creditor Insurance’ to support customers’ safe loan repayment and healthy credit management. This product will be provided from today through Shinhan Bank’s smartphone banking application named ‘Shinhan Sol’.

BNP Paribas Cardif Life Insurance is the life insurance subsidiary of BNP Paribas Cardif in Korea, the insurance arm of BNP Paribas, and the world leader in creditor insurance.

The newly launched ‘(NP) Credit Care The Safe Creditor Insurance’ is a creditor insurance product offered via bancassurance channel, applying the ‘Insurance Risk Score (IRS) Discount Rider’ which BNP Paribas Cardif Life Insurance acquired the exclusive sales right from the Korea Life Insurance Association last year.

‘Insurance Risk Score’ indexes the level of occurrence of insurance accidents based on the personal credit data, such as loan and card usage, registered in credit information company. Depending on the Insurance Risk Score calculated for each section (total 10 sections), the main contract premium is discounted by up to 10%. It can be recalculated once a year, and if this score improves, a larger discount rate is applied. Even if the score falls, he/she can continue to enjoy the previous premium discount rate, so this will be applied only in the direction of improving customer benefits.

A policyholder of ‘(NP) Credit Care The Safe Creditor Insurance’ can calculate his/her Insurance Risk Score with ‘MY Credit Care Service’ provided by MY Cardif, a mobile application of BNP Paribas Cardif Life Insurance, and check various contents that help with consistent credit management.

Choi Young-hwa, Deputy CEO of BNP Paribas Cardif Life Insurance said, “Since last year when interest rates began to rise in earnest, we have been accelerating the provision of creditor insurance that allows borrowers to prepare for the risk of unpaid loan. As proactive credit management can serve as a benefit in various financial transactions, including loans, we hope that this new product will be of practical help to a healthy credit management and sound financial life.”

Depending on the insurance period, ‘(NP) Credit Care The Safe Creditor Insurance’ can be purchased either as a renewable type (renewable up to 4 times every year after signing up for the initial contract) or a non-renewable type (6 to 30 year of maturity). The face amount can be set between KRW 5 million and KRW 1 billion within the amount of debt at the time of initial subscription. If a subscriber with the age of 40 who receives the 10% of maximum discount rate (IRS section 1), the monthly premium is KRW 8,280 for men and KRW 5,130 for women (Standard: initial contract, 1-year renewable type, face amount of KRW 100 million, whole term payment, monthly payment).

Meanwhile, BNP Paribas Cardif Life Insurance offers ‘Credit Care Program’, which provides integrated support for credit management. Under this program, ‘Credit Care Guide’ provides useful contents for safe loan repayment and wise credit management, and ‘Credit Care Academy’ is also in operation to offer corporate social responsibility activities via credit management economic education for the financially vulnerable.