Why do you need Life Insurance?
Tempting as it might be, believing that "it will never happen to me" isn't a realistic view of life. It's a fact that one in six males and one in nine females over 30 will die before the age of 65*.
For the people left behind, the unexpected death of a family member can mean financial hardship. That's what life insurance is for. To provide a backup in case the worst happens to you.
Our easy-to-use cover calculator will help you to determine how much life insurance you might need to safeguard your family's future.
Life-changing events are often a key trigger to getting life insurance
Most people decide to get life insurance because of a significant change in their responsibilities. For example, getting married, entering into a permanent relationship, having a child, buying a house or starting a business. Generally speaking, if there are people who depend on you and your income, life cover is a way to look after them when you're gone. It could assist in paying off a mortgage, help pay for schooling and living expenses, fund an income-generating investment or allow a remaining business partner to continue without you.
"I have a family - this is for them"
Whether you're an income earner or an at-home caregiver, your family depends on you. Life insurance cover is a way to look after them if you die. Life cover can be an invaluable way to help ensure your children get the schooling or tertiary study you would have wanted for them. Alternatively, your family could use the cover to pay for a housekeeper or childcare – anything that would help your family to function without you.
"I am planning to get married or have kids"
When life heads off in a new direction, it's a good idea to think about the 'what ifs'. Partners and children may depend on you and your income for their wellbeing and lifestyle, so life insurance can provide them with an essential safety net. Take care of life insurance now and you can focus on enjoying this new phase of your life.
"I'm buying a house or taking on a loan"
Taking on a mortgage, or some other kind of loan, is usually a long term financial commitment. If you died, who would take over the payments? Life insurance can be used to clear a debt, cover loan repayments or pay essential living expenses. It's a way to preserve quality of life.
"I need more life insurance than I currently have"
As life rolls along, you gather more commitments – that's why it's good to review the amount of cover you have from time to time. If your circumstances have changed since you first got life insurance (you got married, bought a bigger house, had another baby…), it's likely you'll need extra cover. Use our cover calculator to estimate how much life cover you might need.
*NZ Life Tables 2000-02