Politics 🗳️ NZ Politics

NZWarriors.com

NZWarriors.com

NZWarriors.com

NZ and Australia are doing fairly well globally. Don’t see many left countries in this list. Look at what the left has done to Canada. It used to be wealthier than Australia, and that's despite its oil wealth.

It interesting how well balance NZ gdp to GNI is considering how much of the NZ economy is 'supposedly' foreign owned. Also shows NZ is rich on paper due to our over inflated property market but lacks a real economy (GDP/GNI)

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NZWarriors.com

We read so much on this thread about corruption without giving one thought to the corruption which is the Life Insurance industry with policies designed to get so expensive that, if you pick the wrong one, it's most likely you'll cancel it before your demise meaning the company keeps all that you've paid into the insurance plus whatever return they've made investing that money, not on your, but on their behalf.

We're looking at our life insurance at the moment and got some prices and, if you don't set it up correctly or understand what's going to happen over time to your premiums, you/your family will almost certainly never back it until the end of the term without cancelling it.

If you take out an "Age-Related Plan" for $250,000 until from 60 - 80, the monthly premiums start at a nice $140 per month. All good and manageable... so you think but, by age 75, those monthly premiums have risen to $1,450 per month and, in the last year that you're covered, have reached $2,200 per month. In fact, even though the insurance company has had the "use of your money" for twenty years, the total accumulated premiums you've paid for that $250,000 cover is just over $225,000.

And, although it costs more initially per month to have a "level policy" where the premiums don't rise, you can get that $250,000 cover for $480 per monthly or a total accumulated premium amount of $125,000.

But there is another option.... insure yourself by taking out a smaller level policy of $100,000 for 20 years at $185 per month. When you retire, use part of your KiwiSaver (say $50,000) to insure yourself by putting that money into a growth managed fund with it making 5% after tax and fees. Through the magic of compounding interest, not only you won't have to contribute to it yourself, but after 14 and 1/2 years, your balance would have reached $100,000. Cancel your life insurance policy (it's cost you $32K to have $100K insurance for that 14 and 1/2 years).

Then, you have a decision to make, don't contribute anymore yourself and your balance has grown to $140,000 by time you're 80 or deposit the $185 per month you were paying for insurance, and your balance has grown to $155,000.... not a bad return on $32K and far better than living until you're 86 and not insured.
 
And then there's the even greater rip off.... funeral insurance. Got a quote from a company today for funeral insurance. To get just $15,000 cover costs just under $40 per fortnight. Not a lot.... until you work out that it's a life cover where the premiums stop at 80 so for me that's 21 years away. $40 x 26 fortnights per year x 21 years meaning I would be paying them just under $22,000 to receive $15,000 coverage.

And people think governments are corrupt!!!
 
We read so much on this thread about corruption without giving one thought to the corruption which is the Life Insurance industry with policies designed to get so expensive that, if you pick the wrong one, it's most likely you'll cancel it before your demise meaning the company keeps all that you've paid into the insurance plus whatever return they've made investing that money, not on your, but on their behalf.

We're looking at our life insurance at the moment and got some prices and, if you don't set it up correctly or understand what's going to happen over time to your premiums, you/your family will almost certainly never back it until the end of the term without cancelling it.

If you take out an "Age-Related Plan" for $250,000 until from 60 - 80, the monthly premiums start at a nice $140 per month. All good and manageable... so you think but, by age 75, those monthly premiums have risen to $1,450 per month and, in the last year that you're covered, have reached $2,200 per month. In fact, even though the insurance company has had the "use of your money" for twenty years, the total accumulated premiums you've paid for that $250,000 cover is just over $225,000.

And, although it costs more initially per month to have a "level policy" where the premiums don't rise, you can get that $250,000 cover for $480 per monthly or a total accumulated premium amount of $125,000.

But there is another option.... insure yourself by taking out a smaller level policy of $100,000 for 20 years at $185 per month. When you retire, use part of your KiwiSaver (say $50,000) to insure yourself by putting that money into a growth managed fund with it making 5% after tax and fees. Through the magic of compounding interest, not only you won't have to contribute to it yourself, but after 14 and 1/2 years, your balance would have reached $100,000. Cancel your life insurance policy (it's cost you $32K to have $100K insurance for that 14 and 1/2 years).

Then, you have a decision to make, don't contribute anymore yourself and your balance has grown to $140,000 by time you're 80 or deposit the $185 per month you were paying for insurance, and your balance has grown to $155,000.... not a bad return on $32K and far better than living until you're 86 and not insured.
Why do you need life insurance? Once your dead…

Surely you have a house with equity and KiwiSaver. Your kids are old enough to support themselves?

Same with funeral cover, you have equity?
 

NZWarriors.com

NZWarriors.com

NZWarriors.com

    Nobody is reading this thread right now.
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