Comparing life insurance is more than just a smart move—it’s a financial necessity.
By comparing and shopping for your life insurance, you could potentially save hundreds on your annual premiums and find a policy that better suits your current needs. While the core coverage of life insurance policies is similar across providers, the additional benefits can vary significantly—from funeral support to wellness perks.
Insurance companies regularly update their offerings and prices, meaning your policy from a few years ago might not be the best fit today. Especially if your circumstances have changed, like quitting smoking, it’s worth reassessing your coverage. Don’t miss out on potential savings and better benefits simply because you’ve stuck with the same policy for years.
It’s time to take a fresh look at your life insurance and ensure you’re getting the best value for your money.
Quashed makes it easy for you to compare life insurance across some of the top providers in NZ.
Three reasons why you should compare life insurance
There are several reasons why comparing life insurance is worthwhile for NZ consumers.
First, you could save a significant amount of money.
We’re talking potentially hundreds of dollars each year – simply by shopping around. Insurance premiums can vary a lot between providers. Kiwis are likely unknowingly paying more than they have to by just sticking with their current insurer for long periods without shopping their cover.
Second, beyond the obvious money savings, comparing your life insurance helps you to find policies better suited to your needs. Not all life insurance policies are the same.
While the core of a life insurance policy is relatively similar across insurers i.e. if the person insured passes away or is diagnosed with terminal illness and likely to pass away within 12 months, the insurer will pay out the insured amount. There are other policy benefits such as funeral support payment, child funeral support (for the child of the policy owners), while counselling and financial support benefits are also offered by some insurers, not all. There are also varying limits to these benefits provided across life insurance companies. Other benefits that are sometimes offered include health and wellness discounts with gyms, health check ups, and fitness related purchases.
Third, the insurance companies are constantly changing their price and policy benefits.
Insurance providers update their pricing, offerings and introduce new features to stay competitive over time. What’s more, your own circumstances change over time – the policy that was perfect three years ago might not be the best fit now. For example, if you were a smoker you will likely have a “loading” on your policy meaning you would be paying more than a non-smoker due to being a higher risk. But if you’ve quit smoking for some time now, you may be eligible to have the loading removed and you’ll likely see your life insurance premiums reduce.
Now that we’ve covered the “why”, you’re probably thinking it’s still too much of a chore to compare my insurance… If you read no more of this article, read this – Quashed.co.nz makes it quick and easy to shop multiple quotes and compare policy benefits in less than 5 minutes.
How much does life insurance premium cost in NZ
A general guide to the cost of life insurance in NZ (2025)
Estimated cost of life insurance for a Male in NZ (March 2025)
Sum Insured | Age 20s | Age 30s | Age 40s | Age 50s |
$250,000 | $30 / month | $23 / month | $37 / month | $106 / month |
$500,000 | $40 / month | $33 / month | $60 / month | $172 / month |
$1,000,000 | $65 / month | $53 / month | $99 / month | $299 / month |
For a male in your 20s, you can expect to pay between $30/month and $65/month for life insurance cover of $250,000 to $1 million. For a male in your 30s, $250,000 to $1 million of life insurance cover will cost you between $23/month to $53/month. As we age and our risk of dying increases, life insurance will cost more. For a male in your 40s and 50s, you can expect to pay between $37/month to $300/month for $250,000 to $1 million in life insurance.
Estimated cost of life insurance for a Female in NZ (March 2025)
Sum Insured | Age 20s | Age 30s | Age 40s | Age 50s |
$250,000 | $21 / month | $20 / month | $33 / month | $118 / month |
$500,000 | $26 / month | $27 / month | $49 / month | $136 / month |
$1,000,000 | $40 / month | $43 / month | $82 / month | $236 / month |
For a female in your 20s, you can expect to pay between $21/month and $40/month for life insurance cover of $250,000 to $1 million. For a female in your 30s, $250,000 to $1 million of life insurance cover will cost you between $20/month to $43/month. As we age and our risk of dying increases, life insurance will cost more. For a female in your 40s and 50s, you can expect to pay between $33/month to $236/month for $250,000 to $1 million in life insurance in NZ.
Generally, life insurance costs for females are lower compared to male.
The average cost of life insurance above is based on 20 March 2025 data across AIA (Starter), Partners Life and Pinnacle Life. It assumes the individuals do not have any health issues and are in office jobs.
You can get a real-time online quote via Quashed.co.nz, it's quick, easy and free.
Factors that impact the cost of life insurance in NZ
The cost of life insurance is impacted by a number of factors including:
Age
Gender
Smoking status
Occupation
Other selection factors that will change your premiums:
Sum insured amount
Add-ons selected
Payment frequency
Now that you’re aware that the cost of life insurance can vary across insurers and there are a number of factors that impact on your premiums, let’s take a look at how you should compare your life insurance to help you save money and find the best policy for you.
How to compare life insurance in NZ
There are three areas you’d want to compare when it comes to your life insurance.
Price (how much will it cost you)
Policy benefits (what can you claim on)
Insurance provider (who is providing your policy)
1. Price is the obvious one. We can only buy what we can afford. You may be surprised to learn that life insurance prices can vary significantly.
For example, $250,000 life insurance for a 25 year old female can cost between $17/month and $30/month. This range is across three insurance providers. All other variables are the same when obtaining these quotes. Over the course of a year, this difference is $204 for the lowest cost option and $360 for the most expensive option. This is a 50% difference in the cost of life insurance premiums.
Tip: Life insurance premiums can be significantly different. More expensive doesn’t mean you’re getting better cover. Cheaper life insurance doesn’t mean it’s not as good.
2. Policy benefits are next on the list to look out for. Now that you’ve got an idea of a range of prices (commonly known as insurance premiums) across a number of insurance companies, you’d want to compare and understand how the policies are different. What can you claim on each policy and how the benefits and limits are different.
A good starting point is what is the sum insured limit on your policy. One insurer may be willing to cover your life for up to $300,000. Another may only be willing to cover it for up to $2,000,000. This depends on how their product is set up and the risk they are willing to take.
Now looking at the benefits of the policy i.e. what can you claim on. There are some additional benefits that are provided with a life insurance policy. For example, funeral support payment, child funeral support (for the child of the life policy owner), and counselling and financial support benefits. There are also other benefits such as discounts and access to free to lower cost health checks, fitness memberships and more. Not all life insurers will offer the same benefits nor the same limits.
3. Insurance provider behind your policy. Most Kiwis will be familiar with three, maybe four, life insurance brands in NZ. AIA, Chubb and Partners Life are the most commonly known brands. However, you may be surprised to know that there are more than 10 life insurance providers/brands in the NZ market. AMP, nib, Pinnacle Life, to name a few. There are of course also the banks that offer life insurance. ANZ, ASB, BNZ and Westpac to name the big fours.
But, does bigger brands always mean better insurance?
Some of the lesser known brands offer sharp pricing, strong policy benefits and great service. And if you’re wondering, are they any riskier to insure with compared to the better known brand insurers? One way to look at it would be the financial ratings of the lesser known brand insurers. In New Zealand, all insurers are equally held to a similar standard by the Reserve Bank of New Zealand (RBNZ) and are subjected to the same regulations enforced by the Financial Markets Authority when operating in the country.
How much can you save comparing life insurance
Based on life insurance quote data generated on Quashed in 2025, the difference in life insurance premiums (between the lowest and highest quote) found is on average 26%.
Looking at the table above where we are comparing the cost of insurance across age groups, for a male in their 40s getting a $1 million cover, comparing their insurance can mean savings of $308 based on 26% off the average yearly cost of $1,188.
Does that mean you’ll save $308 on your life insurance today? The short answer is, it depends. You could save more, less or none at all. The best way to find out is to compare and shop for your life insurance across several life insurance providers.
To compare your life insurance online in minutes, try Quashed.co.nz
How does Quashed.co.nz compare life insurance
Quashed.co.nz is a quick and easy way to compare your life insurance. Whether you’re shopping for a new life policy, or you’re looking to compare your upcoming life insurance renewal, Quashed makes it easy.
It takes less than five minutes to shop and compare life insurance online with Quashed. You’ll be shown pricing across a number of different insurance providers, and you get to see how the policy benefits compare across each insurer shown.
You enter your information once and are served up a number of options without having to repeatedly enter the same information on the different insurers websites. Let’s face it, no one likes shopping for insurance. But Quashed makes it quick and easy, some might even say almost fun. Especially when you’re saving hundreds, sometimes thousands, of dollars.
Further reading
Here are some great reads we've selected for you:
Life insurance mistakes: Look out and avoid these errors.
How to save on life insurance: Smart tips to slash your premiums without cutting corners.
Choosing the right life insurance: Your cheat sheet to finding better life insurance policy.
Budget hacks for insurance: Money-saving hacks that work across all insurance types.
Choosing a life insurance provider: Your ultimate guide to picking an insurer you can trust.
Life Insurance FAQs
Why should I compare life insurance
Comparing your life insurance can help you to save money on your cover when you find a cheaper policy. Life insurance comparisons also helps you to understand what you can claim on within your life insurance policy. Insurers often update their pricing, which means their premiums could be cheaper or more expensive.
How can I reduce my life insurance premium cost
There are several ways to reduce your premiums:
Review your insured amount – Ensure your coverage reflects your up-to-date situation.
Pay your premiums annually instead of monthly – Most insurers charge extra for monthly payments.
Compare quotes with Quashed.co.nz – Shopping your insurance ensures you’re not overpaying. Prices can vary significantly between providers.
Life insurance basics
What does life insurance cover in NZ?
Life insurance pay outs the cover amount in the event the insured person passes away or they are terminally ill and will likely pass away within 12 months. Coverage varies by policy, but most life cover will:
Pays out the full insured amount if the insured person passes away or is terminally ill
Pays out a portion of the insured amount immediately to cover funeral expenses
Some insurers offer a one-off funeral benefit payment for the insured's child if they pass away
Some insurers offer additional payment benefit for counseling and financial planning
Getting life insurance cover right
How do I know if I’m insuring my life for the right amount?
Your sum insured typically reflects an amount that will help to pay off outstanding debt including mortgage, and also leaving behind a sum of money that can provide for your loved ones for a period of time for them to readjust to not having your financial support. However, some people may want to opt for a higher insured amount to potentially give gifts such as a deposit towards their child's first home, wedding, etc. You can use online life insurance calculators to help work this out or alternatively speak to an insurer or insurance adviser.
What should I check when comparing life insurance policies?
Key factors to compare:
The insurer - Who is the insurer (e.g. their financial rating, where they are based, etc.)
Sum insured – Does the policy fully cover the amount you're after
Policy benefits and limits - What does your insurance cover and how much can you claim
Policy exclusions – Check what’s not covered, such as suicide
Claims process – Consider customer reviews and insurer reputation
Making a life insurance claim
How do I make a life insurance claim?
If you're diagnosed with a terminal illness, you can reach out to your life insurer to notify them. They will require evidence of this from a qualified medical professional for them to consider and process your claim.
If you have passed away, the policy owner (typically your spouse or family member you've elected), can lodge a claim with your insurer. To make it easy for them, file this in a place where they can easily access this information. Quashed.co.nz offers a free online insurance dashboard where you can store and track all your policies in one place. You can also share this securely with people you'd want to have this information.
This article provides general information only and does not constitute insurance or financial advice. Insurance policies vary between providers, and you should check with your insurer or a licensed adviser for guidance specific to your situation. For full details, refer to Quashed’s terms and conditions.
