I think it would be better to use 1password or Bitwarden than a static zip file because:
It’s easier to keep updated with changes
It also acts as an online copy
She gets her own account and secret key, and you can give her yours too as a backup. (Just keep everything in a shared vault)
Data corruption over time may damage the zip file (like if she puts it on USB drive and then doesn’t touch it for 20 years)
It’s best if you and her can just start using it routinely (for your everyday passwords). The legacy stuff can be in its own shared vault accesseable by both of you. That way you can both make sure your logins work, the info is there, (optionally) pay and maintain a paid subscription if desired, etc. That way, in the unfortunate event of your passing, she can just login and access it all like she’s been doing all along.
You should also make a copy of the important stuff and leave it with some sort of legal entity (trust, lawyer, estate, etc.) that will seek out your designated next of kin and deliver the documents on your behalf. That way you’d be protected by technology, your family members, and the legal / corporate entity too.
Oh, and designate her (and others you trust) as your Google account inheritees:
You can also make copies in Google Docs and share it with her (normally). And in the event of your death, she would be able to take over your entire account, including email and such.
Another way to handle this situation would be to store your logins/passwords on a password protected USB memory stick. You can give the password to your daughter in clear text since it won’t do any good unless hackers also also had the USB stick itself. Keep the stick in a safe place and let your daughter and brother know where it is. Then if they need the logins, they can get the stick and access the file with the password.
Some memory sticks have built-in password protection. For instance:
An aspect of putting the file on a memory stick is that you can remove it from your computer. If your computer is hacked, they won’t have access to the password file.
Lastpass also has a feature for providing someone else full access to your vault in the event of your death or if you become incapacitated. If I fall under a bus tomorrow, my son can request access from LastPass - they will send me multiple messages and notifications about this, each of them offering me the opportunity to deny his access; If I respond to none of those (because dead) for a period of 3 weeks (this timeout is configurable), his access to the vault will be granted.
Just using password locking within the file (i.e. in Word or Excel) is trivially easy to bypass because they data is still available in the raw, unprotected code of the file. You really need to use some unbroken encryption scheme like AES-256 to assure security.
Which is why I specifically stated it would depend on the level of security required. Is OP worried about someone actually doing that, or just want to keep nosy people away from it. IOW, is this a “keep the honest people honest” type thing?
But, looking online, MS Office can/does encrypt a password protected file: