Written by Henry Smith · Reviewed by Smiths Insurance & KiwiSaver — licensed Financial Advice Provider (FSP712931) · Last updated 2026-10-20

LifeDirect NZ Review: Comparison Service and Alternatives

LifeDirect is the trading name of LifeDirect 2020 Limited, a Wellington-based insurance and mortgage advice business that began in 2005 as an online comparison site. It does not generally charge the customer a fee. Insurers pay it commission when a policy starts. Its disclosure statement lists six insurers for life cover, and Momentum Life is not one of them.

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See your price in about a minute, then apply online with Momentum Life. Guaranteed acceptance, no health questions, no medical exams.

Life cover See your price Ages 18–65 · $50k–$300k Funeral cover See your price Ages 40–75 · $3k–$30k

Want more than $300k or have questions? Talk to an adviser

Life cover: Conditions you already have aren't covered for the first 2 years (premiums refunded instead). Suicide isn't covered for the first 2 years, and a few conditions can be excluded permanently.

Funeral cover: Only accidental death is covered for the first 2 years. Total premiums can add up to more than the cover, and it may not meet the whole cost of a funeral.

Insurer: Momentum Life Limited. Financial strength rating B (Fair) from AM Best, affirmed 11 February 2026; B ratings sit in AM Best's 'vulnerable' range. The rating scale is available for inspection at every Momentum Life office in New Zealand. What this means

Already have cover? Keep it. New cover won't pay for a condition you already have in its first 2 years.

Opens Momentum Life's online application; its guidance only covers eligibility. QuoteHub is a Momentum Life partner. Smiths Insurance & KiwiSaver may receive a commission if you buy. General information, not advice.

In short

LifeDirect says it does not charge fees for insurance. Its disclosure statement says it is paid between 30% and 230% of the first year's premium by the insurer, plus 3% to 10% of the yearly premium for as long as the policy continues (LifeDirect disclosure).
It offers four service levels, from "direct" with no personal recommendation to full personal advice, so the help you get depends on which one you pick.
It compares only the insurers it has arrangements with. That is a panel, not the whole market.
Its home page advertises "20% Cashback" on applicable new policies. We could not read the terms, so ask for them before you apply.

What LifeDirect is

LifeDirect is a comparison and advice service for insurance, KiwiSaver and mortgages. LifeDirect 2020 Limited is the entity named in its disclosure statement (FSP724353, a licensed Financial Advice Provider according to that statement), and its about page says it launched in 2005 "as a way for New Zealanders to compare insurance prices and policies" (LifeDirect: About us). It describes itself as a Wellington-based team of insurance and mortgage advisers. You can ask for a quote on its site, apply online, or talk to an adviser. The pages we read do not name a parent company or owner, so this page does not guess at one. You can check the entity yourself on the Financial Service Providers Register.

Which insurers does LifeDirect compare?

LifeDirect's disclosure statement lists the insurers it deals with by product. This is the list as it stood on 20 October 2026.

Cover type	Insurers listed by LifeDirect
Life, trauma, TPD, income protection, mortgage repayment	AIA, Asteron Life, Fidelity Life, Chubb Life, Partners Life, nib
Health insurance	Accuro, AIA, nib, Partners Life, Southern Cross
House and contents	initio (a referral)
Car and pet	Cove (a referral)

Two things follow. First, this is a panel. Momentum Life, and the Pinnacle Life brands OneChoice and NZ Seniors, are not on the life list, so a LifeDirect comparison cannot show them. Second, for house, car and pet, LifeDirect refers you on to another provider and does not compare. A similar panel limit applies to us: QuoteHub's disclosure page lists the six insurers its advisers work with for life cover (AIA, Asteron Life, Chubb Life, Fidelity Life, Momentum Life and Partners Life), and nib appears there for health insurance only.

How LifeDirect gets paid

LifeDirect's disclosure statement says "LifeDirect does not charge any fees for our service". It is paid by the insurer instead. The figures it publishes:

Item	What the disclosure statement says
Insurance, upfront	Commission of 30% to 230% of the first year's premiums, depending on insurer and policy
Insurance, ongoing	An annual 3% to 10% of the yearly premium, for reviews, questions, changes and claims support
Advisers	Some are paid commission when policies start; others are salaried and may get payments tied to KPIs

Source: LifeDirect disclosure statement, read 20 October 2026.

A first-year figure above 100% can look odd, so here is the context. The Financial Markets Authority says most insurance advisers receive commission, that it is built into the premium, and that upfront commission "can be as high as 200% of the annual premium, including bonus commissions" (FMA: Insurance advice). The FMA also says some insurers apply a clawback, usually for two years, where the adviser repays part of the upfront commission if you cancel. LifeDirect's disclosure statement has a section on how it manages conflicts of interest: an advice process meant to put clients' interests first, and regular checks on all payments to advisers. Every commission-paid adviser, including Smiths Insurance & KiwiSaver, which runs QuoteHub, is in the same position. See how we are paid.

The 20% cashback offer

LifeDirect's home page lists "20% Cashback" on "applicable new insurance policies", with "T&Cs apply". The disclosure statement we read does not mention a cashback, and we could not open the terms from the page. We therefore cannot tell you what the 20% is a percentage of, when it is paid, or what happens if you cancel. Before you apply for anything because of a cashback, ask in writing:

What is the 20% calculated on (the first-year premium, or something else)?
Which insurers and policies count as "applicable"?
When is it paid, and is it repaid if the policy is cancelled early?
Does it change the policy LifeDirect would suggest to you?

The FMA says it has repeatedly told insurers that when they encourage advisers to sell their products, "it must not be to the detriment of the customer" (FMA: letter to insurers, page updated 12 June 2025). A cashback should never be the reason to choose a product over one that fits you better.

Direct, digital, limited or full advice

LifeDirect's disclosure statement describes four service levels:

Direct: you choose your own policy and apply online. LifeDirect says "we are unable to provide any personal recommendations" at this level.
Digital advice: an online platform takes you through steps to understand your basic needs and requirements.
Limited advice: an advice process "in a limited capacity".
Full personal advice: one of its financial advisers goes through a full advice process with you.

This matters more than the comparison tables. A comparison shows you products; only the advice levels tell you which one suits you, and only the "direct" level leaves the choice entirely to you. If you want a recommendation, ask which service level you are getting before you hand over health details.

Limits of an online comparison

A panel is not the market. The list above omits insurers that sell guaranteed acceptance cover, which matters if you have been declined or loaded elsewhere. See guaranteed acceptance versus full medical underwriting.
LifeDirect does not set premiums. The insurer prices your policy from your answers. We have found no published test of whether the same policy costs the same through LifeDirect, direct or another adviser, so ask each channel to quote the same cover and compare the totals. QuoteHub's Premium Index shows ranges across six insurers as at 8 September 2026, not exact prices.
Claims go to the insurer. LifeDirect says its ongoing commission is for helping you review your cover, answer questions, make changes or "assist with any claims", but the insurer decides the claim. See how to claim on life insurance.
Complaints. LifeDirect's statement says insurance complaints go to [email protected], with a reply within two working days, and then to Financial Services Complaints Ltd (0800 347 257) if unresolved.

Other ways to arrange life cover in New Zealand

Route	How it works	The catch
Direct with one insurer	You apply on the insurer's own site or phone line	You see one insurer's products only
A comparison service such as LifeDirect	Compares a panel; advice level varies	Paid by insurers; panel only
A licensed adviser with a panel	Needs analysis, then advice across several insurers	Paid by commission, built into the premium
Through your bank	The bank's partner insurer underwrites	One insurer, chosen by the bank

Momentum Life is one insurer that sells direct and sits outside LifeDirect's panel. Its Quick Life cover asks no health questions at application (ages 18 to 65, $50,000 to $300,000 per life at the start). In return it excludes pre-existing conditions and suicide for the first 2 years, and premiums are stepped, rising each year until 75. A healthy applicant can usually get more cover for less through full underwriting, so Quick Life mainly suits people who would be declined or loaded elsewhere, or who want cover in place quickly. Momentum Life Limited holds a financial strength rating of B (Fair) from A.M. Best, which Momentum's own rating table places in its "Vulnerable" range (Momentum Life: Financial strength). QuoteHub is a Momentum Life partner and Smiths Insurance & KiwiSaver may receive a commission, so treat this as general information, not a comparison. The facts are on our Quick Life page, and the Momentum Life page covers the company. Our list of NZ life insurers shows how the others compare.

Questions to ask before you apply through any comparison site

Which insurers are on your panel, and which are not?
Which service level am I getting: direct, digital, limited or full advice?
How much commission will you receive on this policy, and does it differ between insurers?
What happens to your commission and any cashback if I cancel in the first two years?
Who do I call when I need to claim?

Frequently asked questions

Is LifeDirect legitimate?

Its disclosure statement names LifeDirect 2020 Limited, FSP724353, as a licensed Financial Advice Provider and names a dispute resolution scheme. Check the entity on the Financial Service Providers Register as you would for any adviser.

Does LifeDirect charge fees?

Its statement says it does not charge fees for insurance. A fee applies only if disclosed and agreed before advice is given, according to its about page. It is paid commission by the insurer.

Does LifeDirect compare every insurer?

No. It compares the insurers it has arrangements with. The disclosure statement lists six for life cover, and Momentum Life is not among them.

Is the LifeDirect cashback real?

The offer is on its home page. We could not read the terms from there, so we cannot say how it works. Ask for the conditions in writing.

References

LifeDirect: Disclosure statement, retrieved 20 October 2026
LifeDirect: About us, retrieved 20 October 2026
LifeDirect: Home page, retrieved 20 October 2026
Financial Markets Authority: Insurance advice, retrieved 20 October 2026
Financial Markets Authority: Letter to insurers, retrieved 20 October 2026
Momentum Life: Financial strength, retrieved 20 October 2026
Momentum Life: Quick Life Insurance Policy Wording (November 2025), retrieved 17 October 2026