Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 

Kiwis Encouraged To ‘share The Love’ As New Zealand Lags In Life Insurance Protection

New eligible AIA policies come with the option to gift life insurance to a loved one

New independent research commissioned by life, health and wellbeing insurer AIA New Zealand highlights some of the reasons why New Zealand ranks near the bottom of OECD countries 1 when it comes to insurance protection.

The research reveals more than a third of Kiwis 2 don’t want to think about the idea of dying and haven’t considered the financial impact it would have on their family.

Two thirds of those surveyed 3 said that they’d never had a conversation with family about life insurance when they were growing up and one third 4 said that they don’t understand the benefits of life insurance. More than half 5 have never tackled the topic of what would happen to their finances if they were unable to work due to death, serious illness, or injury.

Nick Stanhope, AIA New Zealand Chief Executive, says New Zealanders need to become more comfortable with planning for their future and with having conversations about financial protection.

“Our research shows that New Zealanders generally don’t like to think or talk about these difficult but necessary topics. When it comes to protecting our finances and wellbeing our lack of financial planning is leaving us behind most other OECD countries.”

“At AIA, we want to make it easier for New Zealanders to have a conversation about why life insurance is important. It’s why we’re encouraging all new eligible policy holders to Share the Love.”

AIA’s Share the Love is a first-of-its-kind initiative in New Zealand where new policy holders are encouraged to gift a free six-month $50,000 policy to a loved one 6 .

1 Financial Services Council, Gambling on Life: The Problem of Underinsurance, 2020 2 37.3% responded “New Zealanders don’t want to think about the idea of dying and haven’t considered the financial impact it would have on their family”

when asked “why do you think New Zealand is behind so many countries when it comes to having enough life insurance cover.”

3 68.5% responded ‘no’ when asked “if your parents/guardians or a family member ever talked to you about life insurance when you were growing up.”

4 32.5% responded “New Zealanders don’t understand the benefits of life insurance” when asked “why do you think New Zealand is behind so many countries when it comes to having enough life insurance cover.”

5 53% responded ‘no’ when asked if you ever had a conversation with your family about what would happen with your finances in the event of your death or if you were unable to work due to serious illness or injury.

6 Customers who take out a new individual AIA Living risk policy (Personal or Business), AIA Private Health policy, ASB Lifestyle Security Plan or ASB Private Health during the eligibility period are able to nominate a loved one to receive a free AIA Everyday – Life policy providing $50,000 of death and terminal illness cover for 6 months. Full Terms and Conditions are available at www.aia.co.nz/share-the-love-terms.

“We’re thrilled with this initiative and we hope it results in more New Zealanders understanding the benefits of financial protection,” says Stanhope.

The research also revealed one in three said they 7 would be prompted to take out a life insurance policy only when they themselves, or someone close to them, had a health scare and that close to half 8 of all respondents believe our public health system and accident insurance scheme mean it’s less important for Kiwis to have life insurance cover.

“The research shows that not all of us understand that the Accident Compensation Corporation (ACC) provides support only in the case of accidents and not for illnesses.”

“It’s well known that in New Zealand we have very high household debt levels and that this leaves us particularly vulnerable. For New Zealanders to live Healthier, Longer, Better Lives, it’s important we improve our understanding of financial matters, that we sit down and talk to a financial adviser, and that we take steps to protect our assets and our ability to look after our loved ones should the worst happen,” Stanhope concludes.

Commissioned by AIA, the research was conducted by Pure Profile surveying a representative sample of 1000 New Zealanders.

© Scoop Media

 
 
 
Business Headlines | Sci-Tech Headlines

 

NZTA: Major New Zealand Upgrade Programme Projects Go To Tender

Two major New Zealand Upgrade Programme projects are beginning tenders for construction. The New Zealand Upgrade Programme is a $6.8 billion investment to get our cities moving, to save lives and boost productivity in growth areas. The first Auckland ... More>>

Reserve Bank: RBNZ Seeks To Preserve Benefits Of Cash

The Reserve Bank – Te Pūtea Matua is taking on a new role of steward of the cash system “to preserve the benefits of cash for all who need them”, Assistant Governor Christian Hawkesby told the Royal Numismatics Society of New Zealand annual conference ... More>>

ALSO:

Economy: Double-Dip Recession Next Year, But Housing Rolls On

New Zealand's economy is expected to slip back into recession early next year as delayed job losses, falling consumer spending, and the absence of international tourists bites into growth. More>>

ALSO:

Microsoft New Zealand: Microsoft Expands “Highway To A Hundred Unicorns” Initiative To Support Startups In Asia Pacific

New Zealand, 14 October 2020 – Today Microsoft for Startups launches the Highway to a Hundred Unicorns initiative in Asia Pacific to strengthen the region’s startup ecosystem. This follows the initiative’s success in India, where 56 startups were ... More>>

Fonterra: Farmers Taking Another Step Towards New Zealand’s Low Emissions Food Production

They’re hot off the press and intended to help take the heat out of climate change. Fonterra farmers are already among the world’s most sustainable producers of milk and now have an additional tool in their sustainability toolbox. Over the last few ... More>>

ALSO:

Electricity: New Zealand Remains In Top 10 For Energy Balance

The World Energy Council’s Energy Trilemma Index has become part of the energy dialogue both globally and in New Zealand. The Index illustrates the need for countries to balance energy security, energy equity and environmental sustainability. New Zealand ... More>>

ALSO:


Courts: Businessman Eric Watson Sentenced To A Four-Month Jail Term

New Zealand businessman Eric Watson has been sentenced to a four-month jail term in the UK for contempt of court, TVNZ reports. More>>

OECD: Area Employment Rate Falls By 4.0 Percentage Points, To 64.6% In Second Quarter Of 2020

The OECD area employment rate – the share of the working-age population with jobs – fell by 4.0 percentage points, to 64.6%, in the second quarter of 2020, its lowest level since the fourth quarter of 2010. Across the OECD area, 560 million persons ... More>>

Spark: Turns On 5G In Auckland And Offers A Glimpse Into The Future Of Smart Cities

Spark turned on 5G in downtown Auckland today and has partnered with Auckland Transport (AT) to showcase some of the latest in IoT (Internet of Things) technology and demonstrate what the future could look like for Auckland’s CBD with the power of 5G. 5G is ... More>>

Stats NZ: Monthly Migration Remains Low

Since the border closed in late-March 2020, net migration has averaged about 300 a month, Stats NZ said today. In the five months from April to August 2020, overall net migration was provisionally estimated at 1,700. This was made up of a net gain ... More>>

University of Canterbury: Proglacial Lakes Are Accelerating Glacier Ice Loss

Lake Tasman, New Zealand | 2016 | Photo: Dr Jenna Sutherland Meltwater lakes that form at glacier margins cause ice to recede much further and faster compared to glaciers that terminate on land, according to a new study. But the effects of these glacial ... More>>

ALSO:

Dairy: Fonterra Sells China Farms

Fonterra has agreed to sell its China farms for a total of $555 million (RMB 2.5 billion*1), after successfully developing the farms alongside local partners. Inner Mongolia Natural Dairy Co., Ltd, a subsidiary of China Youran Dairy Group Limited ... More>>

ALSO: