Life Insurance Quotes

Life insurance helps protect your loved ones if the unexpected happens. Start comparing options from our partners today.

Compare Life Insurance Quotes Online

Fidelity Life Insurance
Partners Life

What is Life Insurance?

Life insurance is a contract between an insurer and a policyholder. A life insurance policy guarantees the insurer pays a tax-free sum of money to named beneficiaries when the insured dies or becomes terminally ill, in exchange for regular premium payments made by the policyholder.

Life insurance helps give your family financial protection should you pass away within the policy term by paying a tax-free lump sum to your family – helping your loved ones maintain their living standard or pay the mortgage.

And if you are diagnosed terminally ill with less than 12 months life expectancy, the tax-free benefit is paid to you.

Our financial advisors can help you figure out how much you need. The cost of a life cover policy you buy as an individual depends on your age, gender, health, medical history and lifestyle.

How much life cover do I need?

You’ve worked hard to provide for your family and build wealth, so it is important you and your family are protected when life’s unexpected events occur.

This is where insurance planning and risk management come into play as a critical part of your financial plan to ensure you’re not overinsured or underinsured.

Life Insurance

The best way to figure out how much life cover you need is as part of a larger financial plan. 

Our financial advisors can help you see gaps and strengths in your current financial situation and where you are headed.

We use a tool that helps you visualise and organise your financial life, so you can see and understand your financial picture like never before. 

As we create your financial picture, you will have clarity and confidence about how much life cover you need. Because we look at your cash flow, debt management, retirements savings, potential property investment opportunities and what is acceptable risk to you.

Your thoughts on the best policy amount and type of policy could change considerably after seeing where life insurance will fit into the big picture for you and your family.

How does life insurance work?

Life insurance can help protect your family financially with a tax-free payout if you die or if you are diagnosed with a terminal illness (expected to live less than 12 months), you’ll get the one-off lump sum.

Your family circumstances are different and unique but a life cover payout could improve your family cash flow significantly and help towards:

  • Reduce or pay off the mortgage
  • Finance Secondary school fees
  • Pay funeral expenses
  • Cover your salary
  • Help with health and living costs if you become terminally ill
  • Childcare costs
  • Family holiday
In short, life cover can be used as wealth and asset protection.

Get Life Insurance advice

Is it time to review your life insurance? 

What does life insurance cover

Tax-free one-off payment

There is no tax in New Zealand on Life insurance and therefore any benefit payout is tax-free.

Top Financial Strength

We only compare New Zealand’s leading life insurers with the highest financial credit strength, which speaks about the ability to pay claims now and in the future.

Worldwide Cover

Policies provide you with worldwide cover, 24 hours a day.

Guarantee Policy Upgrade

Your policy will benefit from future benefit enhancements automatically. And when circumstances change and time to claim, you claim will be assessed on the most favourable policy wording

What does life insurance not cover?

Suicide and self-inflicted injuries in the first year

If within the 13 months of the policy being issued you die as a result of suicide or intentional and serious self-injury, you are not covered.

Not paying your premiums

Policies that have lapsed and cancelled have no cover.

Hazardous Activities and Pursuits

Some hazardous activities and pursuits are uninsurable.

Key Life Cover Features

Terminal Illness Benefit

If you are diagnosed with a terminal illness with a life expectancy of fewer than 12 months, the Life Cover benefit is paid early in a cash sum.

Special Events Increase Facility

Enables you to increase the sum assured under your cover following a significant event in your life which results in increasing financial responsibilities. These significant events include: having a child, your child starting secondary school, taking out or increasing a residential home loan or receiving a salary increase and other major events covered.

Serious Illness Cover

Sometimes called Critical Illness Cover (includes about 50 different illnesses and treatments), can be added to the life cover at an extra cost when you take out your life insurance policy.

Compare Life Insurance Quotes

Get an instant quote, calculate your cashback bonus and get advice from a life insurance expert.

The Life Insurance Policy

A Life Insurance policy is a contract between an Insurance Company and you (the policy owner). It’s an agreement that, in the event of your death, the Insurance Company will pay the sum insured to your loved ones (or to you, if you are terminally ill and expected to die within 12 months). Your cover is fully tailored and takes into account your age, medical history and personal lifestyle.

A customised insurance policy is necessary to ensure the financial stability of your loved ones, in the event that a tragedy occurs.

How to find the best insurance policy

We exclusively compare and recommend the leading life insurers in New Zealand, based on the following criteria:

  • the highest credit rating: speaks about the financial abilities and liquidity to pay your claims.
  • Claims culture and underwriting:
  • Increasing premiums and fixed premiums:
  • Automatic Policy Upgrading:
  • Riders or optional extras:


Life insurance can be a long-term purchase and you’d want a company that has the strongest financial rating to pay claims.

During 2019, the best life insurance companies in NZ paid out more than $800M in claims combined.

International Credit Agencies Minimum Credit Rating
A. M. Best a-
Fitch A-
Moody's A3
Standard & Poor's A-

Types of life insurance

There are mainly two life insurance types you can choose from: Rate for Age and Level – both without any cash value.

Whole of Life and Endowment is not available in New Zealand anymore, although there are many existing contracts in force.

Annual (or yearly) renewable term is a one-year policy, but the insurance company guarantees it will renew the policy on each anniversary up until an agreed age, regardless of the health of the insured person, and with a premium set for the applicant’s age at that time.

Level (fixed) term life insurance is a multi-year policy, where the premiums are fixed at the start and stay the same for the agreed period. Most commonly fixed premiums until age 65, 70 or 80.

The insurer guarantees the premiums and cover amount don’t increase. You can select to index link a policy. Indexation is an automatic increase to the amount of insurance cover you have, to make sure the value of your cover is not eroded by the impacts of inflation.

When the time period comes to an end, most insurers convert your policy to Rate for Age.

Level and Stepped Premiums

life insurance comparison

How much does life insurance cost?

There are a number of factors that contribute to the price of your life cover policy. Understanding this can help make the application process smoother and ensure you make the best decision, both in value for money and protection for your family.

Some of the factors that determine the life insurance policy cost:

  • Gender
  • Health
  • Age
  • Your hobbies/lifestyle

The type of cover (rate for age vs level), as well as term length and the coverage amount.
A level premium cover is budget-friendly with premiums that don’t increase. See the graph below comparing fixed quotes for a healthy non-smoker male, at age 40 until age 80.

How to buy life insurance?

Your employer might offer you to become part of their group life insurance at discounted rates or as an employee benefit. 

This would be a great place to start because generally you would be accepted without any underwriting.

Otherwise, you can work with a financial professional who can guide you through the options that will fit your immediate needs and long-term goals.

Similar Life Insurance Benefits

Helps protect you if you become critically ill during the policy term and pays out a tax-free lump sum that you can use however you like.

Overnight care, outpatient treatment, diagnostic tests, scans or aftercare, you get specialist private treatment you need, in comfortable surroundings, when you need it

Help support you with a monthly payment if you’re ill or injured and can’t work and pays a proportion of your lost earnings. So you’re able to focus more on getting better and back to work.

Helps support you with a monthly payment if can’t work due to illness or injury and pays an agreed amount related to your mortgage, rent or income. So you can have peace of mind.

Life Insurance: Get the answers you are looking for.

If you have died, the claim will be paid to the policy owner (often your partner or children) or beneficiary and if no policy owner or beneficiary is nominated, the funds will be paid to your estate.

Your life insurance application can be approved within hours or it could take a few weeks.

The approval process depends on the information you provide. If we have complete information and there are no medical issues to consider, the cover may be issued shortly after receipt of your application.

For applications that require more detail to process, such as medical reports, it may take a few weeks, depending on how quickly you or your doctor is able to respond to requests for information.

You will automatically be given 60 days of temporary cover while your application is assessed. Terms and conditions apply and the maximum life, trauma and TPD benefit is $500,000.

Medical conditions such as high blood pressure, diabetes, high BMI or even a history of cancer won’t necessarily prevent you from getting life insurance, but you’ll want to shop around to make sure you find the best rates for your health history.

  • Be a permanent resident and physically in New Zealand at the time of application.
  • Be aged between 10 and 75 years.
    Parent’s or legal guardians must consent where Life/Child to be Assured is less than 16 years of age and older than 10.

Migrants on work visa, residence visa or business visa valid less than 24 months can in most cases buy life insurance whereas the policy will be cancelled and no benefit paid if the assured is outside the territorial boundaries of New Zealand, Australia, the Cook Islands, Tokelau, or Niue for a continuous period of more than three months.

Other benefits such as trauma cover, disability insurance, total permanent disablement and accidental death cover may be offered on an individual consideration basis.


If you have been diagnosed with an incurable disease and expected to live less than 12 months, you may lodge a claim for your life insurance policy to be paid out. 

You may want to spend the money on palliative care to improve the quality of life or travel the world as a last wish. Either or, it’s your money and your decision.

AIA, Asteron Life and Fidelity Life all have an inbuilt policy feature that pays out $15.000 and Partners Life pays out $25.000 helping your family with funeral costs while the claim is being assessed.

The Bereavement Support is paid out immediately upon notification of death.

When taking out a mortgage, most lenders expect you to get life insurance, so that your mortgage will be paid off if you die prematurely.

But it’s worth knowing that you don’t have to get life insurance from your mortgage provider  – our life insurance experts can help you and your family with short- and long-term life insurance cover from any insurer that is right for you.

You’ll need to work out whether you just want your life insurance to cover your mortgage or if you want your dependants to get a payout on top too. 

If you need help to compare the various options and policy details, contact one of the advisers at LifeCovered on 0800 259925 (Mon-Thurs 9am – 7pm, Fri 9am – 5pm, Sat 9am – 1.00pm).

Your policy documents will be emailed to you shortly after your application is approved. If you haven’t received them within 24 hours please call 0800 259925 or email your advisor.

Current policyholders are not affected by the pandemic outbreak, since the life insurance companies LifeCovered has partnered with do not contain exclusions for pandemics.

Applications for new policies will be assessed as any other life insurance application. And depending on your medical history, the covid-19 virus might have an effect on your policy.

New Zealand law stipulates you must be physically located in New Zealand at the time of advice and application.

An insurer and adviser must comply with the regulations governing the provision of insurance products and advice in the country in which the advice is received, or the product is sold.

In practical terms, this means that a Registered Financial Advisors in New Zealand cannot provide advice or sell a new policy (can increase a current policy) to a client in another country. It also means that an adviser giving advice, for example to a New Zealander who is physically in Australia, would need to be registered and licensed in Australia.

Life Insurance Policy Wording

The life cover policies for AIA Insurance, Asteron Life, Fidelity Life and Partners Life are included here. 

1) The AIA Living Umbrella wording is common to all AIA Living policies.

2) Asteron Life has all it’s personal insurance policy in one document.

Compare life insurance quotes from New Zealand's leading life insurers