In New Zealand we are one of the most underinsured nations when it comes to life insurance. We have one of the lowest rates of life insurance per capita in the developed world.
Life insurance companies recognise this and are promoting the need for life insurance through various media. Life insurance companies believe that life insurance is easily obtainable both through life insurance advisers and life insurance online websites.
Life insurance NZ is available through several online companies. It is very easy to buy life insurance online. It is a relatively simple process to determine the amount of cover you require and obtain a life insurance online quote. Then a life insurance application form can also be completed online including details of the applicant’s medical history. The younger generations especially should find life insurance online a simple process.
However most people still prefer to deal with an adviser face to face when purchasing life insurance. Most life insurance companies in NZ will be happy to recommend those wanting life insurance to an adviser. The adviser can complete a full evaluation of the client’s financial situation before recommending appropriate life insurance cover to meet the client’s needs. This evaluation would look at things like assets and liabilities, income levels and number of dependent children. All these things are important in determining the right level of life insurance cover for the client.
Life insurance NZ companies place great importance on advisers operating to a desired level of competence. There are new regulations in place to make sure the integrity of the life insurance NZ market is maintained. Some life insurance companies have their own adviser distribution force under a Qualifying Financial Entity (QFE). This means that the life insurance companies operating a QFE need to ensure their life insurance advisers under the QFE operate to set standards. This ensures the end consumer receives a high level of service from a competent life insurance adviser.
Those buying life insurance online on the other hand are taking the responsibility for determining the required level of life insurance cover themselves. Many prospective purchasers prefer buy life insurance online as they can do the transaction in the comfort of their own home at a time that suits them. One advantage of this method is that they could obtain quotes for a number of life insurance NZ companies, as opposed to dealing with a QFE adviser who may be recommending only one life insurance company.
Whatever method of purchase is preferred, NZ life insurance companies need to make it as easy as possible for those buying life insurance in NZ. This can only help to lift the take up of life insurance and improve the welfare of New Zealanders should a loved one die prematurely. Life insurance companies have an important part to play in lifting the awareness for life insurance NZ’ers so desperately need. Most NZ families would have little or no life insurance, and little appreciation of the devastating affect a premature death can cause.