A new strategic partnership is expanding access to financial safety nets for millions of Filipino families who face high risks of debt during unexpected life crises. AXA Philippines has joined forces with Home Credit to introduce Borrower Protection under the Home Credit Protect system, managed by Bolttech Device Protection, expanding affordable credit life insurance across the country.
The initiative comes as insurance penetration in the Philippines reached 2.03 percent in the first quarter of 2026, marking its highest rate in recent years. Despite this growth, the nation remains significantly underinsured, with local data showing that 64 percent of Filipinos cannot manage a ₱10,000 emergency medical expense without borrowing money or relying strictly on health maintenance organizations. Sudden illness, accidents, or the loss of a household breadwinner frequently push families into long-term financial distress or high-interest lending traps.
The newly launched coverage directly addresses these gaps by embedding insurance into everyday financing. Designed for low- to middle-income borrowers, including those with limited credit histories, the plan eliminates complex paperwork and keeps premium costs low. The policy provides life insurance coverage of up to 120% of a financed loan amount, capped at ₱150,000. In the event of a borrower’s death from illness or accident, the insurance pays off any remaining loan balance first, with any surplus benefit going directly to designated beneficiaries to safeguard families from inherited debt.
This effort is part of AXA Philippines’ broader commitment through its inclusive insurance division, AXA EssentiALL, to make risk protection standard, practical, and accessible for underserved populations such as gig workers and first-time borrowers. By embedding insurance directly into standard credit products, the partnership aims to lower traditional entry barriers and steadily narrow the national protection gap.
Ayman Kandil, Chief Executive Officer of AXA Philippines, emphasized that inclusive insurance serves a broader economic purpose by safeguarding both families and financial institutions. He noted that protecting partners against default risks enables responsible credit expansion to communities traditionally excluded from mainstream financial services, promoting safer lending practices nationwide while helping families build long-term resilience.
