Life Insurance - The future looks brighter when you’re protected.
We’re here to make sure that you and your loved ones are all properly protected no matter what life throws your way. What recent global events have taught us all is just how hard the future is to predict. So, your life insurance needs today may be quite different a decade on from now.
At Vega, what we care most about is protecting our clients. We make the necessary adjustments whenever needed to ensure you are well protected and only paying for the cover you need and none that you don’t.
What Is Life Insurance?
When you take a life cover, you’ll be paying regular premiums over some time. In exchange for these premiums, the insurer will pay a one-time lump sum or regular monthly payouts to your beneficiaries in case you die or are diagnosed with a terminal illness.
There are two main options: Life Cover and Life Income Cover, both of which offer payouts in such circumstances.
Life Cover provides a one-time lump sum, which can be used to establish an investment fund to generate income, pay off debts such as a mortgage, or cover specific expenses like financing children's tertiary education or funeral expenses.
Life Income Cover provides regular monthly benefits for a specified period of time. It can help replace lost income due to a family member's death.
Benefits Of Life Insurance
While most Kiwis are willing to take expensive insurance covers for their home, car, or health, very few people are willing to take out cover for their own life.
What most Kiwis don’t know is that taking a life cover is important as it protects the financial needs of their loved ones in case something happens.
Taking out life insurance also gives you peace of mind knowing that your family has the needed resources to carry on with their current lifestyle if you die.
So apart from providing financial protection, what other benefits would your beneficiaries receive from your life cover?
1. Save More If You’re Young
One of the reasons why most people are hesitant to purchase life insurance is because they believe it's expensive.
The good news is that you can save more if you take up life cover when young. Buying life insurance when you’re younger allows you to pay lower premiums than buying the same plan when you’re older.
2. Covers Your Medical Expenses in Case of a Terminal Illness
In case you’re diagnosed with a terminal illness when your life cover is in effect, you can choose to use the payout to pay part or all of your medical expenses.
3. Flexible
Once you decide to take out a life insurance cover, you can choose among several product options.
For instance, Vega offers life and life income covers. You also get to choose your preferred cover amount and the premium payment frequency.
4. Your Debts Will Be Covered
In addition to supporting your dependents after your demise, a life insurance policy will cover any debts you might have.
Also, the cover takes care of your funeral and medical expenses. This ensures that your dependents don’t face any financial struggles caused by unpaid debts once you’re gone.
How much is life insurance in NZ
The cost of your life insurance policy will depend on several factors, as explained below.
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The life insurance policy
The amount of cover you require will determine the type of life insurance policy you get. Each of the life cover options has a different cost. For instance, most people are looking for a life cover that will cover their debts and their family’s immediate costs. However, if you require a cover that has add-ons such as caregiver, school fees, and mortgage payments, you may need to pay higher premiums.
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Your age
When it comes to life insurance, the older you are, the higher the risk your insurance company has to take. This means that if you’re older, your premiums are higher. Also, if you sign up for life insurance when you’re older, your premiums will be higher than someone who signed up when they were younger.
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Gender
There are notable gender-related factors that can affect the cost of your life insurance. For instance, statistics show that women live longer than men. Also, most men engage in behaviours and occupations that are likely to result in higher rates of injury or death.
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Your health
The healthier you are, the more likely you are to live longer. Unfortunately, if medical history shows you suffer from a terminal illness or a serious medical condition, your premiums will most probably be higher. Also, if you’re a smoker or use other recreational drugs such as marijuana, the cost of your premiums may go up.
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Occupation
If you work in a risky profession, you may be required to contribute additional premiums to cover the higher risk. For example, if you work with explosives, at heights, in mining, or you’re exposed to drugs or sexually transmitted diseases in your work, you may be required to pay higher premiums.
Talk to Us
If you have a specific concern related to life insurance or any other type of insurance, talk to us.
At Vega Protect, we have insurance advisers that will offer you personalised advice on anything insurance related. Go on and book a free consultation with one of our expert life insurance brokers.