At BSI Brokers, we believe good insurance decisions start with understanding your risks and knowing what protection is available. Our team aims to make insurance easier to understand by sharing practical information and helping clients explore cover options that suit their individual circumstances.
In this guide, we introduce six common types of personal insurance in New Zealand.
🚗 01. Vehicle Insurance
Vehicle insurance helps protect your car against specified risks such as accidental damage, theft, fire and liability for damage caused to other people's property, depending on the policy selected.
Common types of vehicle insurance in New Zealand include:
- Comprehensive Insurance: Generally provides cover for accidental damage to your own vehicle and liability for damage to third-party property, subject to policy terms.
- Third Party Insurance: Primarily covers your legal liability for damage your vehicle causes to someone else's property.
- Third Party, Fire & Theft: Combines third-party property liability cover with additional protection against specified fire and theft events involving your vehicle.
Some policies may also offer additional benefits, such as windscreen cover, roadside assistance or a replacement vehicle following an insured event.
Whether you drive a daily commuter, a family vehicle or a luxury car, the right cover will depend on factors such as your vehicle's value, how it is used and your budget.
🔧 02. Mechanical Breakdown Insurance (MBI)
Unlike standard vehicle insurance, Mechanical Breakdown Insurance (MBI) is designed to help cover the cost of certain unexpected mechanical or electrical failures.
Depending on the policy, covered components may include:
- Cooling systems
- Suspension components
- Electrical systems
- Transmission systems
- Engine components
Major mechanical repairs can be expensive, particularly once a vehicle's manufacturer's warranty has expired. MBI may help reduce the financial impact of eligible repairs.
Some products may be available for Japanese, European, luxury, hybrid and electric vehicles. However, eligibility can depend on the vehicle's age, mileage, condition and other insurer requirements.
It is important to understand that MBI does not generally cover every type of repair. Wear and tear, pre-existing faults, maintenance issues and certain excluded components may not be covered.
🏠 03. House Insurance
House insurance is designed to protect the physical structure of your home against specified insured events.
Depending on the policy, cover may include damage caused by:
- Fire and explosion
- Storms and certain natural hazards
- Falling trees or branches
- Sudden and accidental water damage, such as certain burst pipes
- Other insured events specified in the policy
For property owners who rent out their homes, Landlord Insurance may provide additional protection tailored to rental properties.
Depending on the insurer and policy selected, landlord cover may include:
- Malicious damage caused by tenants
- Loss of rental income following an insured event
- Landlord's liability
- Certain damage associated with illegal drug-related activities
These benefits are subject to specific definitions, exclusions, limits and eligibility requirements.
Whether you own your family home or an investment property, reviewing your building cover and sum insured is an important part of protecting your property assets.
🛋️ 04. Contents Insurance
Contents insurance helps protect your personal belongings and household possessions against specified insured events, such as theft, fire or accidental damage where included in the policy.
Commonly insured belongings may include:
- Furniture and household appliances
- Computers, televisions and electronic equipment
- Clothing, footwear and personal items
- Jewellery, watches and other valuables
- Cameras and photography equipment
If you own valuable items such as jewellery, watches, cameras or specialist equipment, you may need to list them individually as Specified Items to obtain the intended level of cover.
Contents insurance is not limited to homeowners. Depending on the insurer, tenants may also be able to insure their personal belongings while renting a property.
When arranging cover, it is worth considering the replacement value of your belongings and checking any limits that apply to particular categories of items.
✈️ 05. Travel Insurance
Whether you are travelling overseas, visiting family abroad or coming to New Zealand for a holiday, travel insurance can provide valuable protection against certain unexpected travel-related expenses.
Depending on the policy, common benefits may include:
- Medical Expenses: Eligible overseas medical expenses arising from unexpected illness or injury.
- Trip Cancellation & Travel Delay: Certain non-refundable travel costs and additional expenses resulting from covered cancellation or delay events.
- Baggage & Personal Belongings: Cover for eligible loss, theft or damage to luggage and personal belongings.
- Personal Liability: Cover for certain legal liabilities arising from accidental injury to another person or damage to their property.
- Emergency Assistance: Access to emergency assistance services and support, subject to policy terms.
Different travellers may require different types of cover. For example, people travelling on a Working Holiday Visa may wish to explore products specifically designed for working holiday travellers, such as Orbit Protect WHV Insurance.
Before purchasing a policy, check the eligibility requirements, destination restrictions, activities covered, pre-existing medical condition provisions and applicable exclusions.
🎓 06. Student Insurance
For international students planning to study in New Zealand, having appropriate insurance is an important part of preparing for their stay.
Education providers generally require international students to hold insurance that meets the applicable requirements under the relevant international student education framework and their institution's policies.
Depending on the product, student insurance may include:
- Medical Expenses: Eligible medical consultations, examinations and treatment.
- Personal Liability: Certain legal liabilities arising from accidental injury to another person or damage to their property.
- Travel Delay: Specified additional expenses arising from covered travel delays.
- Personal Belongings: Cover for eligible loss, theft or damage to personal belongings and luggage.
- Accidental Death & Injury: Certain benefits relating to accidental death or injury, where included in the policy.
For international students, choosing appropriate insurance means considering not only the school's requirements but also visa conditions, the duration of study and individual circumstances.
Always confirm that the selected policy meets the requirements of your education provider and any applicable visa conditions before purchasing.
🛡️ Protecting Your Lifestyle Starts with the Right Cover
From the car you drive and the home you live in, to your personal belongings, overseas travel and education, different stages of life bring different risks.
Insurance is about more than financial compensation after an unexpected event. It is also about understanding potential risks, preparing ahead and making informed decisions to protect the things that matter to you.
At BSI Brokers, our insurance advisers can help you understand available insurance options, compare relevant policy features and consider cover that aligns with your circumstances, needs and budget.
Looking for personal insurance in New Zealand?
Get in touch with the BSI Brokers Team to discuss your insurance needs and explore available options. We are here to help you make more informed insurance decisions.
Important Information & Disclaimer
This article is intended for general information and educational purposes only. It does not constitute personalised financial advice or a recommendation to purchase any particular insurance product.
Insurance benefits, eligibility, definitions, exclusions, limits, excesses and conditions vary between insurers and policies. Cover is subject to the full policy wording and the insurer's acceptance of the application. Please review the relevant policy documents and seek advice based on your individual circumstances before making an insurance decision.