UnionDigital taps Chubb Philippines for embedded insurance offerings

UNIONDIGITAL Bank, Inc. (UD) has partnered with Chubb Philippines to offer the insurer’s solutions on its platform to help boost Filipinos’ access to insurance products.

The initial rollout will include two key products, namely, Loan Protect Insurance and Kaya Protect Insurance, UD said in a statement on Tuesday.

This is in line with the growing shift towards embedded finance and is meant to help bridge the insurance gap in the Philippines by making financial protection more accessible.

Loan Protect Insurance is automatically included at no additional cost to the borrower for the first three months once the loan is approved by UD and “is designed to provide borrowers with peace of mind that their loan obligation can be addressed, even in unforeseen events.”

It is currently available for loans up to P30,000 with short-term repayment periods.

Under the policy, in the event of accidental death, permanent disability, temporary disability, or death due to illness, there will be a payout of up to the original loan amount to cover 100% of the customer’s outstanding loan balance, with any remaining balance released to beneficiaries.

Meanwhile, Kaya Protect Insurance, which will be available soon, is activated automatically by maintaining a minimum balance of just P100 in the insured’s savings account.

“UD Kaya Protect Insurance aims to encourage healthy saving habits while providing immediate protection for first-time savers.”

“This partnership marks a pivotal step in our mission to bring insurance protection to millions of Filipinos,” UD President and Chief Executive Officer Danilo “Bong” J. Mojica II said. “We are fueling the ‘Kaya Mo’ mindset by giving them access to a suite of financial tools, including insurance protection, to build financial resilience — allowing them to weather unforeseen setbacks without losing everything. By embedding insurance seamlessly into their daily banking, we provide a vital safety net, empowering them to protect their hard-earned progress and pursue their aspirations with confidence.”

“Chubb is committed to supporting UD in strengthening financial resilience in the Philippines by providing consumers with insurance that is accessible and affordable. Our products are designed to help build financial security for un- and under-insured Filipinos, ensuring they have access to crucial protection when they need it most,” Chubb Philippines Country President Mari Rachelle Canta said. “By partnering with UD, we look forward to leveraging our combined strengths to deliver customer-focused digital insurance solutions to UD customers.”

UD booked a net loss of P3.13 billion in 2024, a reversal of the P155.31-million net income recorded in 2023, its annual report showed.

Mr. Mojica previously said they expect to breakeven by the second half of this year on improving asset quality and expanded lending. — A.M.C. Sy