The Salvation Army's calling for major changes to car insurance products it says exploit vulnerable Kiwis.

It's released a paper detailing the massive mark-ups dealers add to wholesale prices and the pressure on car of second-hand cars.

It says add-on insurance products are often low value-for-money options for many New Zealanders, especially for poorer communities.

Principal Policy Analyst Ronji Tanielu told Heather du Plessis-Allan while useful, better add-ons are needed for the market that give value.

“At the meantime, some of these add-on insurance products are unfair and poor value for lower income New Zealanders. That’s what we want to look at.”

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