A Worldmetrics report found that just 35% of New Zealanders had life cover in 2023. There are a number of reasons for this omission, many based on misconceptions. For example, life insurance is often more affordable than people expect. The application process is now quick and easy, taking just a few minutes online. And, while thinking about illness and death can be challenging, the relief of knowing you have protected the future of your loved ones can far outweigh any discomfort.

“Many people believe they don’t need life insurance – and if they have no dependants, no mortgage, no debt and adequate savings, they could be right,” says Charlotte Finer, marketing manager at Pinnacle Life. “Unfortunately, we often see people opting out of cover because they believe KiwiSaver or ACC will provide the same protection. In reality, each serves a completely different purpose.”

How much cover do you need?

When you’re assessing the amount of cover you need, you must be clear about what you want the cover to do. That might be ensuring your family could pay off the mortgage if you were to pass away or were no longer able to work. You might have school and university costs to cover or just want the peace of mind of knowing your loved ones could maintain a comfortable standard of living.

From there, Pinnacle Life’s online tools make the assessment easy.

“Our People Like You cover comparison shows the most popular types and amounts of cover taken out by people of your age and gender,” says Finer. “This might be enough if you just want to check you’re on the right track. If you want a personalised recommendation, we also offer a free digital advice tool. This asks a series of simple questions about your life, income, debts, dependants and goals, then generates a Statement of Advice.”

Maintaining the right amount of cover 

The amount of life insurance you need can change with your circumstances. Moments to review your cover include:

• getting married
• having a baby 
• getting divorced
• buying a home
• increasing your mortgage
• paying off a loan
• changing your job
• starting a business.

“Pinnacle Life recognises that you can have different needs at different life stages by including a ‘special events’ option with most of our policies,” says Finer. “As long as you meet certain criteria, you may be able to increase your cover without updating your health information.”

Get a quote from Pinnacle Life

To get a quote or find out more about the exclusive benefits Pinnacle Life offers CA ANZ members, visit the first link here.

Would you prefer to try our digital advice tool first? You can do that here – just make sure to lock in your member benefits by starting with the first link.