It depends on your financial obligations and goals. If you have debts (like a mortgage or student loans), aging parents who might need support, or want to leave money to charity or family, life insurance can be valuable. Even single people often benefit from basic coverage to handle final expenses and debts. Our team can help assess whether coverage makes sense for your situation.

With term life insurance, coverage ends when you stop paying premiums, and you lose all benefits. With whole life insurance, you may have options like using accumulated cash value to continue coverage temporarily or converting to a paid-up policy with reduced coverage. The specific options depend on your policy type and how long you’ve been paying premiums.

Life insurance payouts to beneficiaries are generally tax-free in New Zealand. However, if the policy has an investment component (like whole life insurance), there may be tax implications on the investment growth. Estate taxes may also apply in some circumstances. We recommend consulting with a tax advisor for advice specific to your situation.

Yes, you can typically change your beneficiaries at any time by contacting your insurer and completing the required forms. It’s important to keep beneficiary information up to date, especially after major life events like marriage, divorce, or having children. Some policies allow you to name multiple beneficiaries and specify what percentage each should receive.