By the time you turn 50, it’s possible you’re entering a period of your life with more financial freedom than ever before. Many in this stage of life could be close to saying goodbye to their mortgage, or already paid it off, and their children are possibly out living their own independent lives.

Why, then, would you need personal insurance? It depends on your own circumstances and the risk you want to take on; but having personal insurance to protect you as you get older can be a good move.

Here are some reasons to maintain or consider looking into getting cover for yourself.


Health risks increase with age

The older you get, the more likely it is you will need to deal with serious health conditions.

Trauma cover pays out a lump sum if you are seriously injured or diagnosed with a condition included in the policy (these can vary but usually include specific injuries or conditions such as heart attack, cancer and stroke). Money from a trauma cover pay-out can help with mortgage payments, medical expenses, household costs, and anything else you may need in a challenging time.


Ongoing mortgages or debts

Some people are mortgage free by the time they reach their 50s, while others are still working their way to that goal. If you’re still paying off a loan of some kind, having life insurance could help. If you pass away or can’t work for some reason over an extended period, life insurance pay-outs can help you and your family during that time. These pay-outs can also help cover loan repayments, or even deal with a debt entirely.


Dreams and goals to fulfil

You may have been hard at work through your life trying to pay off your home and dutifully putting away savings for some important life goal. Whether it’s a plan to help your kids to buy their first home, pay for a wedding, update your home, or build an education fund for the grandkids, keeping your dreams alive is a worthy goal. Life insurance can help you to ensure that your cash reserves don’t get depleted by unexpected and extended sickness or injury.


Not a lot of available savings

Savings are vital in giving you the security to know you can survive if your income suddenly goes away or reduces. Many New Zealanders don’t have a large savings account ready to back them up, with research suggesting 47% between 18 and 64 couldn’t survive more than a month if their income stopped*. Income Protection Cover can step in to provide cover for a percentage of your normal income until your situation improves.


Remaining dependents

If your children are still living at home, or you’re supporting your parents later in their life, then your income or cash reserves are still helping to ensure your family’s financial stability. As you get older, there’s an increased chance of you experiencing long-term sickness that might take you out of the workforce for an extended period. Having life insurance can help to lighten the load of financial concerns and help your dependents to cope. Depending on the cover, your family can receive a monthly benefit or a lump sum payment in the event that something happens to you.

Your AdviceFirst team can help you to find the right life, trauma and income protection policies to match up with your financial goals and personal situation. Our advisers can also help you make the most of your KiwiSaver so that you can live your best life in retirement.


To find out more call us on 0800 438 238, or email


* – ‘How long could you survive without an income?’ 2015