Introduction to Personal Insurance

Personal Insurance

Personal insurance is an important aspect of financial planning in New Zealand. It helps protect individuals and their families from financial hardship in the event of an unexpected event such as illness, injury, or death.  In New Zealand, there are several types of personal insurance that individuals can consider:

Life insurance: 

This type of insurance provides a lump sum payment to the beneficiaries of the policyholder in the event of their death. This can help cover expenses such as funeral costs, outstanding debts, and living expenses for the policyholder's family. 

Income protection insurance: 

This type of insurance provides a regular income to the policyholder if they are unable to work due to illness or injury. This can help cover expenses such as mortgage payments and living expenses while the policyholder is unable to work. 

Trauma insurance: 

This type of insurance provides a lump sum payment to the policyholder in the event that they are diagnosed with a specific illness or injury. This can help cover expenses such as medical costs and any necessary lifestyle changes. 

Total and Permanent Disability (TPD) insurance: 

This type of insurance provides a lump sum payment to the policyholder in the event that they are unable to work due to a total and permanent disability.

When choosing personal insurance, it is important to consider factors such as your current financial situation, any dependents you have, and your future goals and aspirations. It is also important to compare different insurance policies and to consider the level of cover that you need.  

It is also important to consider the cost of the insurance, and whether you can afford the premiums. The cost of personal insurance can vary depending on factors such as the type of insurance, the level of cover, and the policyholder's age and health. 

Personal insurance is an important aspect of financial planning in New Zealand and can provide peace of mind and financial security in the event of unexpected events. It is important to consider the different types of personal insurance available, and to compare policies and the level of cover that you need.  

Talking to a financial Adviser can provide a wide range of benefits for individuals and families who are looking to plan for their financial future. They can provide expertise, experience, tailored advice, long-term planning, risk management and regular reviews to ensure you are on track to achieve your financial goals.

A financial Adviser can help individuals and families to make informed decisions about their money and to achieve their financial goals.

Watch this space for more information and a deep dive into the world of personal insurance, if you want to know more, get in touch with Sarah and come have a chat. You can also find me on Facebook.