Life insurance is an essential financial tool for people to ensure that their loved ones are financially secure even in their absence. It’s a contract between the policyholder and the insurance company, where the insurer agrees to pay a lump sum amount to the policyholder’s beneficiaries upon the policyholder’s death. Choosing the right life insurance company is crucial as it determines the policyholder’s and their beneficiaries’ financial security. In New Zealand, there are several life insurance companies, and finding the best one can be overwhelming. This article will provide a comprehensive guide to the best life insurance companies in New Zealand for 2023.
Criteria for choosing the best life insurance companies
Before diving into the best life insurance companies in New Zealand, it’s essential to know the criteria for selecting them. The following factors should be considered:
Choosing the best life insurance company is crucial as it determines the financial security of the policyholder and their beneficiaries. Therefore, it’s essential to consider several factors before making a decision.
- The first criterion to consider is the company’s financial strength. The financial stability of the company ensures that it will be able to meet its financial obligations to the policyholders and their beneficiaries. It’s recommended to check the company’s credit rating from reputable credit rating agencies such as Standard & Poor’s (S&P) or Moody’s.
- The second criterion to consider is the policy offerings of the company. The company should offer a range of policies that cater to the diverse needs of policyholders. The policies should include options such as term life, whole life, universal life, and variable life insurance. The policies should also have built-in benefits such as terminal illness cover, trauma cover, and accidental injury cover.
- The third criterion to consider is the customer service of the company. The company should have an excellent track record of providing top-notch customer service. The customer service should be easily accessible through multiple channels such as phone, email, and chat. The company should also have a dedicated customer service team that can assist policyholders with their queries and concerns.
- The fourth criterion to consider is the claims settlement process of the company. The claims settlement process should be quick and straightforward. The company should have a dedicated claims team that can handle claims efficiently and provide timely updates to the policyholders. It’s recommended to check the company’s claims settlement ratio, which reflects the percentage of claims settled by the company.
- Finally, the price of the policy should be considered. The policy should be priced reasonably, and the premiums should be affordable. It’s essential to compare the prices of policies from different companies and select the one that offers the best value for money. However, it’s crucial not to compromise on the coverage and benefits of the policy for a lower price.
Best life insurance companies in New Zealand
AIA New Zealand:
AIA New Zealand is a subsidiary of the AIA Group, which is one of the largest life insurance companies in the world. AIA New Zealand has a solid financial standing, with a Standard & Poor’s (S&P) A+ credit rating. The company offers a wide range of policies that cater to the needs of individuals, families, and businesses. AIA’s Vitality program is unique, offering policyholders rewards and discounts for living a healthy lifestyle. The company has an excellent reputation for customer service, and the claims settlement process is fast and straightforward.
Asteron Life:
Asteron Life has been in operation for over 175 years and is one of the largest life insurance companies in New Zealand. The company has a strong financial standing, with an S&P A+ credit rating. Asteron offers a range of policies that cater to the needs of individuals and businesses. Asteron’s insurance policies have several built-in benefits, such as terminal illness cover, trauma cover, and accidental injury cover. The company has a quick and straightforward claims settlement process and is known for its excellent customer service.
Fidelity Life:
Fidelity Life is a New Zealand-owned and operated life insurance company. The company has a strong financial standing, with an S&P A- credit rating. Fidelity Life offers a range of policies that cater to the needs of individuals and businesses. The company’s insurance policies have several built-in benefits, such as trauma cover, terminal illness cover, and total and permanent disablement cover. Fidelity Life has an excellent reputation for customer service, and the claims settlement process is quick and straightforward.
Cigna New Zealand:
Cigna New Zealand is a subsidiary of Cigna Corporation, a global health service company. The company has a strong financial standing, with an S&P A- credit rating. Cigna offers a range of policies that cater to the needs of individuals