The latest industry snapshot from the FSC shows life insurance covers increased by 92,000 to 4.2 million during 2021 and that there has been an increase in trauma insurance policies.
It also reveals the life sector paid $308 million in claims in the last quarter of 2021 and that 96% of claims made over the period were paid.
Changes by product type indicates an apparent movement from Total and Permanent Disability (TPD) to broader and more comprehensive Trauma covers.
Nick Stanhope, AIA NZ’s CEO and co-chair of the FSC Life Forum, says the growth in group insurance cover is interesting.
“This is a similar trend we have seen in other data, where employers are looking to dodge the ‘Great Resignation’ trend across the world and mitigate recruitment issues caused by New Zealand’s tight labour market, by offering added incentives to retain their teams.”
Naomi Ballantyne, Managing Director at Partners Life and co-chair of the Life Forum says that with 96% of all claims paid in the last quarter of 2021 by FSC members, it demonstrates the industry’s commitment to support customers in some of the most difficult and challenging life situations.”
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Data released by the FSC (below) also shows more than $2.9 billion was paid in annual life premiums by consumers, there are 4.2 million life insurance covers for a population of 5.2 million, and Term & Accidental Death cover delivers the biggest income for insurers by far.
