What is Life Insurance?
Life insurance is a cornerstone of financial planning for many New Zealanders, offering a safety net that ensures loved ones are cared for during life’s uncertainties. Whether it’s covering daily expenses, paying off a mortgage, or providing for your children’s education, life insurance provides peace of mind and financial security.
There is no ‘one size fits all’ when it comes to life insurance - everyone has different goals, positions and situations. It’s important that your insurance changes with your needs.
Why Life Insurance Matters in New Zealand
Kiwis enjoy a unique lifestyle. We plan to own our own homes, we love to travel and we value a flexible working environment. However, the high cost of living and reliance on one or two incomes in many households mean that unexpected event, like the loss of a primary earner, can have a significant financial impact.
Life insurance acts as a buffer, ensuring that your family can maintain their standard of living, pay off debts, or cover essential expenses if you’re no longer there to provide for them. It’s particularly valuable for young families, homeowners, or those with significant financial commitments.
The core purpose of life insurance is to provide financial support to your dependents after your passing. The payout can be used to:
Pay off mortgages or other debts.
Cover funeral expenses.
Fund education or childcare costs.
Support your partner’s living expenses, ensuring they can maintain their lifestyle.
