Beyond the “Fear” of Insurance
Insurance is a product that is often sold through fear. We are shown images of hospital beds and damaged homes, and we are told to buy protection “just in case.”
At Axico, we take a different view. We believe that Insurance isn’t about fear; it’s about continuity. Your financial plan—your mortgage, your KiwiSaver, your children’s education, your retirement—is a complex machine. And the engine that drives that machine is your ability to earn an income. If the engine stops, the entire machine grinds to a halt.
In this deep dive, we explore why Income Protection is the most valuable asset you own, and how a “Disciplined” approach to insurance reinforces your entire wealth strategy.
Simon’s Story: When “Theoretical” Becomes “Personal”
Our CEO, Simon Yarrell, has financial advice “in the blood.” His father was a successful adviser for 40 years. Simon himself is an Iron Man and a Coast to Coast competitor—someone who understands resilience and preparation.
But for Simon, the true importance of our profession became apparent in a very personal way when he broke his back in a ski accident.
Simon was a fit, healthy professional at the top of his game. In a single second, he went from an active earner to being off work for seven months. Because he had robust personal income protection and mortgage payment insurance, his family’s financial machine didn’t stop. The mortgage was paid. The lifestyle was maintained. The stress was medical, not financial.
This experience honed Simon’s—and Axico’s—philosophy: Without structure, a temporary setback can become long-term financial stress.
The Most Valuable Asset: The Math of Your Earning Potential
Most people are quick to insure their $800,000 home or their $50,000 car. But if you are 35 years old earning $100,000 a year, your “earning potential” until age 65 is $3,000,000 (not accounting for inflation or pay rises).
Your income is the asset that funds every other asset.
- It funds the mortgage.
- It funds the KiwiSaver.
- It funds the family’s security.
Yet, many people rely on basic workplace cover or a minimal understanding of ACC. They assume that if something happens, “the system” will take care of them.
The ACC Misconception
In New Zealand, we are lucky to have ACC. But ACC is limited. It only covers accidents. If you are unable to work because of a serious illness—cancer, a heart condition, or a mental health challenge—ACC will not pay you a cent.
Statistically, you are far more likely to be off work due to illness than an accident. Relying solely on ACC is like having a car with only two wheels; it might work on a very specific type of road, but it won’t get you where you need to go.
Our Approach: We Don’t Sell Policies; We Structure Protection
As we state in our core values: We don’t sell policies. We structure protection around your real exposure.
A “default” insurance quote from a website is a guess. It doesn’t know your debt levels, your dependents, or your future plans. Our process is different. We look at:
- Your Income: How much do you actually need to keep the lights on?
- Your Debt: How is your mortgage structured? Can we align your insurance to cover those specific repayments?
- Your Dependents: Who relies on you, and for how long?
- Your Risk Comfort: What is your personal “buffer”?
Only then do we build a framework that supports your financial goals without overwhelming your cash flow.
The Precision of Choice: Life, Trauma, and Health
Life Insurance: This is the ultimate selfless act. It ensures that if the worst happens, the mortgage is cleared and your family has the breathing room to decide their next steps without the pressure of debt.
Trauma Insurance: This is often the most misunderstood cover. It provides a lump sum if you are diagnosed with a specific serious illness. It’s not about paying the bills; it’s about choice. It’s the choice to seek specialist treatment, the choice for your partner to take three months off work to be with you, or the choice to fly family in from overseas.
Health Insurance: In a public health system that is under constant pressure, health insurance is about certainty. It’s about knowing that you won’t be on a waiting list for 18 months for a “non-urgent” surgery that is preventing you from living your life.
For Business Owners: When Risk Multiplies
If you are a business owner, your risk isn’t just personal—it’s operational. If you are unable to work, the business might lose its “Key Person,” its credit lines might be threatened, and its continuity is at risk.
We help structure protection that covers business expenses and key-person risk, ensuring that the business you’ve spent years building doesn’t destabilize because of one unexpected event.
Alignment: The “Protect” Stage of Your Strategy
Insurance shouldn’t sit in a drawer. It should talk to your lending.
- If you refix your mortgage and increase your debt, your insurance levels should be reviewed.
- If your KiwiSaver balance grows significantly, your need for certain types of cover might decrease.
Because Axico integrates these services, your cover levels aren’t guessed—they’re calculated. Everything connects.
Common Misconception: “I’m young and healthy.”
This is the best time to get cover. Age and health make cover more affordable and ensure you have no “exclusions” for pre-existing conditions.
The question isn’t whether you need insurance today. The question is: Could your financial structure withstand a seven-month total stop?
Conclusion: Protection is Disciplined, Not Dramatic
A single unexpected event can undo years of financial progress. Real financial resilience isn’t about hope; it’s about discipline. It’s about having the “Continuity Blueprint” in place so that you can focus on recovery, not ruin.
At Axico, we prioritse long-term trust over short-term income. If a piece of cover doesn’t improve your position, we won’t recommend it. That’s our standard.
Is your “engine” protected? Let’s start with a review. Protect My Income.