Why so many Zurich life insurance customers say they’re glad they kept their cover.
At a glance
As cost-of-living pressures continue to squeeze household budgets, many Australians are taking a harder look at where their money goes. While life insurance can be easy to question when life is going well, a serious illness, injury or loss can often change the way families think about financial protection.
With household budgets under pressure, many Australian families are making difficult decisions about what stays and what goes. Insurance is often one of the first things to come under scrutiny. Yet life insurance is designed to help protect your family's financial security if you die, become seriously ill or can't work, giving them greater financial stability when they need it most.
Every year, thousands of Australians rely on the very thing they once questioned. In 2025 alone, Zurich paid more than $1.3 billion in life insurance claims to 8,479 customers across Australia, experiencing some of life’s most challenging moments.
For many, it meant taking time off work to recover, staying in their home, protecting their children’s future or simply facing one less worry during one of life’s most difficult times.
Why life insurance can feel optional, until it isn’t
When we're healthy, working and managing everyday life, it's easy to question something you hope you'll never need. Unlike most household expenses, the value of life insurance isn't immediately visible. That's why, when budgets are tight, it's understandable that some people wonder whether they still need it.
Many people only recognise the value of life insurance when something goes wrong. The cover they once questioned becomes the thing that helps keep life steady during a difficult time.
When my husband passed away so unexpectedly and so quickly, he did not have life insurance, the cost of his funeral and medical bills was overwhelming. That is why I have life insurance now, so my sons won’t ever be in the same position I was.”
What changes people’s minds about life insurance
Many of the customers who shared their experiences didn't talk first about policies or payouts. They talked about perspective.
When my Dad died when I was 9 years old, family and friends got us through, but the life insurance meant we could stay in our family home. I want that for my family if the worst should happen and that helps me sleep at night.”
Others have seen firsthand how quickly life can change.
Working as an emergency doctor, I see every day how fast life changes. Life insurance is my quiet promise that if the worst happens, my family keeps our home, their education and their choices. It's my last love letter, paid in advance."
More than financial support
For many Zurich customers, making a claim wasn't just about receiving a payment. It was about having the space to focus on treatment, recovery and family.
For Jackie, a cancer survivor, that meant making a difficult time more bearable thanks to her Zurich trauma insurance.
Having had cancer, I've experienced firsthand the value of trauma insurance and income protection. It made an exceptionally hard couple of years more bearable.”
Whether through a claim payment or the additional services available with their cover, the outcome is the same: space to focus on what matters instead of financial stress.
A different way of thinking about the value of life insurance
Looking back, many Zurich customers say they didn't fully appreciate the value of life insurance until they needed it and the question shifted from "Is life insurance worth it?" to "How would we have coped without it?"
If you're reviewing your life insurance, take the time to understand what your policy protects and whether it still reflects where you are in life. That way, you're not paying for cover you no longer need, or missing cover you may one day be grateful you kept. As these stories show, when life doesn't go to plan, that certainty can make all the difference.
* This article contains testimonials from Zurich customers generated from the Cool Cabana newsletter promo and customer interviews. Names and identifying details have been removed. This is for illustrative purposes only, and claims will be assessed based on the specific circumstances of each individual case.
This article has been prepared by Zurich Australia Limited ABN 92 000 010 195, AFSL 232510. This information is current as at 11 August 2026 and may be subject to change. This information does not take into account your personal objectives, financial situation or needs. You should consider these factors and the appropriateness of the information to you. Consider seeking advice specific to your individual circumstances from an appropriate professional. You should also consider the Product Disclosure Statement (PDS) for the product and any applicable Target Market Determination (TMD) available zurich.com.au/life-insurance/documents or by calling 1800 394 268 in deciding whether to acquire or to continue to hold the product.
