Cover term
The length of time cover stays in force — either a fixed term, or to a defined age, or whole-of-life.
Definition
NZ life cover terms vary by product: fixed term (e.g. 10 / 20 / 30 years), to-a-defined-age (e.g. to age 65 / 70 / 80), or whole-of-life (cover for as long as premiums are paid). Term life is cheaper but ends; whole-of-life always pays out eventually but costs materially more per dollar of cover.
See also
- Sum insured — The lump-sum cover amount your policy pays on a valid claim.
Not personalised financial advice. Definitions are editorial framings of how the term is used across NZ life cover. Your specific policy wording is the authoritative source.