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What is Life Insurance?

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Life insurance doesn’t need to be complicated. At Golden Insurance, we’ve simplified everything so it’s easier for you to understand all your options. If you’re looking for a way to provide some financial support for your loved ones after you’re gone, then you’re in the right place.

What is Life Insurance?

Life insurance is an insurance policy that lets you leave a cash lump sum for your loved ones after you die. You pay a regular premium, and your loved ones receive the payout if you die within the term of your policy. They can use this money to help with end-of-life costs or other expenses that your family may struggle to pay without you.

Golden Life Insurance is designed specifically for New Zealand residents aged 40-80. It can offer you some real peace of mind, knowing your family will have some financial protection during a difficult time. It can help you provide financial support after you’ve gone – for mortgage payments, outstanding debts or it can simply be a gift you leave for your loved ones.

If you want to leave some financial help behind, Golden Life Insurance can help ensure a brighter tomorrow for your loved ones.

What are the Different Types of Life Insurance?

Life Insurance comes in different forms – each designed for different needs and life stages. Understanding the options available to you can help you choose the right policy for you…

Term Life Insurance

This provides cover for a set period, such as 10, 20, or 30 years. If you pass away during the term of your policy, your loved ones receive a payout. However once the term ends, your cover stops. Unless you renew the policy.

Whole (of) Life Insurance

This type of life insurance is no longer offered in New Zealand, having largely been replaced by other types of life insurance. This type of policy used to offer lifelong cover and often included a savings or investment component.

Lifetime Policy

Golden Life Insurance is a Lifetime Policy. These policies are designed to give you cover for your entire life, as long as you continue to pay your premiums. It’s unlike Term Life Insurance, which only lasts for a specific period of time. If you’re looking for lifelong coverage and the peace of mind that your loved ones will have some financial support however long you live, this could be a good option for you.

Who Needs Life Insurance? 

Life insurance can be an important option for anyone looking to protect their loved ones from financial burdens, after they pass away. Life cover can help pay off a mortgage, provide for dependents, or help ensure financial costs are covered. Life insurance can offer real peace of mind for many different people…

  • Parents and families – by ensuring some financial support for children and/or other dependents.
  • Homeowners – life insurance can help protect loved ones from being saddled with mortgage debt.
  • Seniors – it can help cover end-of-life expenses such as a funeral or leave a valuable legacy behind.

How Does Life Insurance Work in New Zealand?

A life insurance policy provides a lump sum payment for your beneficiaries or estate, if you die during the term of your policy. This cash payout can help cover funeral costs, outstanding debts, or even be used as a welcome financial gift. You pay for your policy by paying regular fortnightly or monthly premiums.

With Golden Life Insurance, applying can be a breeze. New Zealand residents aged 40-80 can apply with no medical exams or blood tests required. There are no complicated forms to fill in. You simply answer a few health and lifestyle questions, and we do the rest. You can sort your cover out over the phone, in just minutes.

How Much Does It Cost?

The cost of life insurance can vary significantly based on several factors, including your age, smoker status, health and the amount of cover you want.

With Golden Life Insurance, if you’re a non-smoker, you’ll enjoy lower starting premiums.1 You can also pay when it best suits you – you can choose to pay your premiums fortnightly or monthly, at no extra cost.

How Do I Decide How Much Cover I Need?

When choosing how much cover you may need, consider your financial situation and any debts, mortgages or expenses you’d like your policy to cover. For example, funeral expenses in New Zealand can vary significantly depending on the type of service you’d like and the region where you live. According to the Funeral Directors Association of New Zealand, the average cost of a funeral in New Zealand in 2023 was $7,500 to $10,000 depending on the type of funeral you choose. Once you’ve taken debts and expenses into account, consider if you’d like to leave a little extra behind as well, to help support your loved ones.

Getting the right balance for your own circumstances is so important. Depending on your age and personal circumstances when you apply, Golden Life Insurance lets you leave up to $250,0002 for your loved ones. This could help provide them with a brighter tomorrow.

How are Life Insurance Claims Made? 

When the time comes to make a life insurance claim, the process typically involves a few steps...

  1. The policyholder’s loved ones contact the insurance provider and share key documents, such as the death certificate, proof of identity and details of the policy.
  2. The insurance provider assesses the claim to make sure everything is in order.
  3. The insurance provider pays the benefit amount to the nominated beneficiary, often as a lump sum.

At Golden Insurance, we understand this can be a difficult time for families. So we’ve designed our claims process to be as simple as possible. You can feel reassured our friendly team of specialists will be on hand to help your loved ones when the time comes.

What Costs are Typically Associated with a Funeral?

Funerals come with many different costs. The core expenses often include the services of a funeral director. They manage various aspects of the funeral, including…

  • transporting and preparing the deceased
  • arranging the ceremony
  • providing support to the family

The choice between burial or cremation brings additional costs, such as…

  • cemetery plots
  • headstones
  • or crematory services

Other costs to consider include...

  • venue rental
  • officiant or celebrant fees
  • various memorial items like flowers and printed materials
  • fees for obtaining death certificates
  • transportation of the deceased
  • in some cases, catering for post-funeral gatherings

Overall, the total cost can vary significantly based on location, cultural and religious customs, as well as personal preferences. So, it’s essential to plan and budget carefully to ensure an appropriate send-off.

To help you with all these decisions, you’ll receive a free Will Kit when you take out Golden Life Insurance. You can use this to let your loved ones know your final wishes. This can also help take some of the stress away for them, at an already difficult time.

Benefits of Golden Life Insurance

 Our customers can have peace of mind that Golden Insurance is part of a global network whose brands have been chosen by over 500,000 customers globally and are rated 'Excellent' by thousands of customers on Trustpilot.3

Golden Life Insurance provides several benefits for New Zealanders who want to offer some financial support for their loved ones after they’ve gone…

  • Cash Payout – up to $250,0002 paid to your loved ones after you die, depending on your age and personal circumstances when you apply. This could help give your loved ones a brighter tomorrow.
  • Immediate Cover – you could be covered from day one for death and terminal illness, so you can get on and enjoy life today.4
  • Terminal Illness Coverage – get an early 100% pay out of your life insurance benefit amount, if you’re diagnosed with a terminal illness.5 This could help you cover medical expenses or spend time with your loved ones.
  • Easy Application - applying can be a breeze. New Zealand residents aged 40-80 can apply with no medical exams or blood tests required!  There are no complicated forms to fill in; simply answer a few health and lifestyle questions, and you're all set. In just minutes, using only your phone, you can arrange everything.  
  • Straightforward Claims Process – our claims process is designed to be simple. Our dedicated claims specialists are on hand to help loved ones when the time comes.

Make Your Golden Years Shine

Finding the right form of life insurance can seem confusing, but it doesn’t have to be. Golden Life Insurance offers you a straightforward way to help you provide some financial support for your loved ones in the future. Then you can enjoy life with one less worry to think about.

If you have any questions, or would like to get a quick quote, our team of life insurance specialists would be delighted to help. Simply give us a call now on 0800 110 038.

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1

Premiums for a non-smoker are lower than for a smoker of the same age and gender, with the same benefit amount and accepted at standard premium rates. Golden Life Insurance is an insurance policy and not a savings plan which means if your policy is cancelled, you will not get anything back (unless it is cancelled within the cooling off period). The total premiums you pay over the life of the policy could also be more than the benefits we pay out.

2

From $10,000 up to $250,000 of cover available (depending on your age and personal circumstances when you apply). The benefit amount will not be paid if you die or are diagnosed with a Terminal Illness5 as a result of an intentional self-inflicted injury or attempted suicide that occurred before the policy commencement date or within the first 13 months of the policy commencement date. A waiting period may also apply during which the benefit amount will only be paid if you die due to an accident. Refer to the Policy Document for full details. 

3

Golden Insurance is a trading name of Neilson Financial Services Pty Ltd (Neilson) ABN 52 668 314 896, AFSL 552284. Neilson is part of the Neilson group of companies whose brands have been chosen to protect over 500,000 customers worldwide and have been rated ‘Excellent’ on Trustpilot, an online platform for consumers to review businesses. For more ratings information, see https://www.goldeninsurance.co.nz/awards-and-recognition/

4

Depending on your health when you apply.  The benefit amount will not be paid if you die or are diagnosed with a Terminal Illness5 as a result of an intentional self-inflicted injury or attempted suicide that occurred before the policy commencement date or within the first 13 months of the policy commencement date. Depending on your health, a waiting period may also apply during which the benefit amount will only be paid if you die due to an accident. Refer to the Policy Document for full details.

5

Terminal Illness is as defined in the Policy Document, and will not be paid during a waiting period should one apply. Upon payment of a Terminal Illness claim, the policy and cover will end.