Insurance News
Is self-insurance a good idea?
It can be, depending on your propensity for risk. If you’re a bit of a gambler, you might be happy to take some chances in life. By all means do so, if you’re willing to fork out when the bills come due. I’m thinking of a young man who had to use his house...
The product you love to hate.
Most people have no problem insuring something tangible like a house or car. But they baulk at paying premiums to protect their ability to earn a healthy income. Some then compound the problem by getting their accountant to play clever games to reduce tax...
Sick children.
This is a difficult topic, because no one likes to think of children suffering life-threatening conditions. But it happens. About 150 Kiwi children are diagnosed with cancer every year. Starship Hospital has 200 beds – and they are usually occupied. If your...
‘Special events’ are an easy way to boost your cover.
What are special events? They’re the life-changing moments, like becoming a parent, starting a new job or getting married. They can also be less happy times like ending a relationship or seeing someone close to you die. Special events are important for insurance...
This could be a great offer – or a terrible one. It depends.
Did you know you can fix your life insurance premiums so you pay the same amount every year until the age of 80? Imagine paying the same premium for 30 or 40 years. It could be an absolute bargain if you took out insurance in your early 20s. You’ll get the cover you...
Who’s more important – you or your pet?
When working with clients I spend a lot of time going over budgets to get a clear picture of their finances. I’ve been impressed recently by the number of first-time buyers who are really focused on what they’re spending. This is great! I’ve also noticed a lot of...
“I’m young – it won’t happen to me.”
Youngish and healthy? I have some sobering news for you. More than 20% of claims for disability income protection with a major New Zealand insurer were paid out to policyholders under the age of 40. What’s more, 28% of claims for people in this age group were for...
Thousands of dollars wasted on cover that never would have paid out!
This happens more often than you might think. I recently reviewed the insurance polices held by a couple who had a change in their financial circumstances. I noticed they were paying income protection premiums for a hypothetical income that was much higher than they...
How $46 saved me $3,425.
In last month’s newsletter I mentioned the need for travel insurance. I don’t sell these policies (so I have nothing to gain from promoting them) but I strongly believe you should never leave the country without one in your luggage. Last month I found out just how...
The worst possible insurance policy.
It’s called Givealittle. I have been appalled recently to see stories in the media of well-know people who have died unexpectedly, and the response of their grieving families has been to set up a web page asking for donations. No one should ever be in this position. I...
Accelerated Cover vs Stand Alone
Choosing Accelerated Cover for your insurance can help you become mortgage-free faster. Here’s how. When you take out a policy such as Life, Income Protection or Trauma, you can opt for Accelerated Cover or Stand Alone. Let’s say you have $550K of Life Insurance and...
If you can’t afford insurance, you can’t afford a home.
I’m not talking about house and contents insurance. I’m referring to the insurance that protects your ability to earn a living. Health and income protection insurance should be the priority if you’re providing for your family or taking on a big financial commitment...