Life Insurance in Zambia
Updated March 2026 · 8 providers
Compare life insurance policies — from affordable funeral cover (ZMK 30/month) to comprehensive whole life plans. Protect your family's financial future.
Policy Types & Premiums
Term Life Insurance
Pure protection — pays out only if you die within the term. Most affordable.
ZMK 80 – 300/mo
Whole Life Insurance
Covers you for life with a savings/investment component.
ZMK 200 – 800/mo
Endowment Policy
Combines insurance with savings — pays on death OR at maturity.
ZMK 300 – 1,000/mo
Funeral Cover
Immediate payout (24-48 hrs) for funeral expenses. Covers up to 6 dependants.
ZMK 30 – 150/mo
Group Life (Corporate)
Employer-sponsored cover: death, disability, funeral benefits.
ZMK 50 – 200/emp/mo
Credit Life Insurance
Clears your loan if you die or become permanently disabled.
0.5 – 1% of loan
What Affects Your Premium?
Age
Younger = cheaper. A 25-year-old pays 40-60% less than a 45-year-old.
Health
Pre-existing conditions increase premiums 20-50%. Medical exam may be required.
Smoking
Smokers pay 30-50% more than non-smokers.
Cover Amount
Higher payout = higher premium. Aim for 10-15x annual income.
Policy Type
Term is cheapest. Whole life costs 2-5x more (savings component).
Occupation
High-risk jobs (mining, construction) attract 10-30% higher premiums.
Insurance Providers
| Provider | Strength |
|---|---|
| Madison Life Insurance | Individual & corporate |
| ZSIC Life Plc | Funeral & burial cover |
| Prudential Life Assurance | Savings & retirement |
| Hollard Life Assurance | Term life & funeral |
| Sanlam Life Insurance | Investment-linked & credit life |
| Liberty Life Zambia | Family & education |
| SES-Unisure | Expat & premium life cover |
| BestLife Insurance | Endowment & savings |
Life Insurance in Zambia — Guide
Life insurance is regulated by the Pensions and Insurance Authority (PIA) under the Insurance Act No. 38 of 2021. As of January 2024, there are 9 PIA-licensed long-term (life) insurers in Zambia. Funeral cover is the most popular product — driven by Zambia's communal culture where families are expected to provide dignified burials.
How Much Cover Do You Need?
Advisors recommend 10-15x annual income. For someone earning ZMK 10,000/month, that's ZMK 1.2-1.8M. Consider debts (mortgage, car loan), children's education (Liberty offers specific Education Protector and Education Legacy Plans), and spouse's income.
Insurance Premium Levy
ZRA charges a 5% Insurance Premium Levy on all insurance premiums (except reinsurance). This is added to your quoted premium. For example, a K100/month policy would have an additional K5/month levy, making the total K105/month.
Tax Benefits
Life insurance premiums may qualify for tax relief under ZRA rules. Employer-paid group premiums are a tax-deductible expense. Consult your accountant for the latest tax treatment.
Frequently Asked Questions
How much does life insurance cost in Zambia?
Funeral cover starts from ZMK 30/month. Term life costs ZMK 80-300/month for ZMK 100K-500K payout. Whole life costs ZMK 200-800/month. Note: a 5% Insurance Premium Levy is charged on all insurance premiums by ZRA. Premium costs vary based on age, health, cover amount, and occupation — contact at least 3 PIA-licensed insurers for quotes.
What is the difference between term and whole life?
Term life covers a specific period (5-30 years) and pays only if you die during the term — most affordable. Whole life covers your entire lifetime with a savings component that builds cash value. Madison offers the Enhanced Whole Life Assurance Policy which includes optional riders for accidental death and permanent disability. Term is for pure protection; whole life for long-term wealth and estate planning.
Is funeral cover worth it in Zambia?
Yes. Funerals cost ZMK 8,000-25,000. Funeral cover pays out within 24-48 hours — much faster than life insurance (14-30 days). Providers include Hollard, Prudential (via ZANACO Flexi Farewell Plan), FSG (underwritten by African Life), and Liberty Zambia. Most plans cover the policyholder plus extended family members.
How do I claim life insurance?
Submit: death certificate from the Department of National Registration, Passports and Citizenship (DNRPC), completed claim form, original policy document, beneficiary NRC or passport, and proof of relationship to the deceased. Funeral cover: payout within 24-48 hours. Life insurance: typically 14-30 days. The payout goes to the named beneficiary on the policy.
Can I have multiple life insurance policies?
Yes. Many Zambians have employer group life cover (2-4x salary) plus personal funeral cover and a separate term or endowment policy. Each pays independently upon a valid claim. No legal limit on the number of policies. Ensure your beneficiaries are named and updated on every policy.
How many licensed life insurers are in Zambia?
As of January 2024, the Pensions and Insurance Authority (PIA) lists 9 licensed long-term (life) insurers: BestLife, Hollard Life, Liberty Life Zambia, Madison Life, One Life Assurance, Prudential Life Assurance, Sanlam Life, SES-Unisure, and ZSIC Life. Operating without a PIA license is an offense under the Insurance Act No. 38 of 2021.