A country of 4.1 million personal insurance policies

Last month, the Financial Services Council (FSC) released their latest quarterly data (as at 31 December) on personal insurance in New Zealand. Here are some key takeaways, highlighting the value of getting cover for life’s what-ifs.

Kiwis protecting their future

According to data, New Zealanders currently hold 4.1 million personal insurance policies. The number includes life insurance, trauma insurance, income protection, and total and permanent disablement insurance, as well as group insurance. 

With a population of approximately 5.14 million, it’s evident that Kiwis are seeing the benefits of protecting their financial future, and taking action. Across all types of coverage, Kiwis’ annual insurance premiums amount to a total of $3.02 billion – all money spent on invaluable peace of mind. 

Nearly half of all annual insurance premiums ($1.4 billion) went into life insurance, followed by trauma insurance ($487 million), and income protection ($458 million). 

How much insurers paid out in claims

Also interesting is the data around claims amounts. The total claims paid out to Kiwis for the quarter ending December 2022 amounted to $275 million. Although lower than the September 2022 figure of about $325 million, it surpassed the total for June 2022 ($255 million) and March 2022 ($220 million). 

While numbers fluctuate, insurers paid out over $250 million almost every quarter, with September 2021, December 2021 and September 2022 being over $300 million. 

Thinking of getting cover? We’re here to help

The latest FSC data on personal insurance serves as a powerful reminder of the importance of securing appropriate coverage. Of course, navigating the complex world of personal insurance can be challenging, but you don’t have to go it alone. 

As insurance advisers, we’re here to guide you every step of the way, so you can explore your options with confidence. Get in touch if you’d like to talk. 

Disclaimer: Please note that the content provided in this article is intended as an overview and as general information only. While care is taken to ensure accuracy and reliability, the information provided is subject to continuous change and may not reflect current developments or address your situation. Before making any decisions based on the information provided in this article, please use your discretion and seek independent guidance.