What is Family Protection Insurance?

Family Protection insurance is a life insurance policy which pays a non-taxable monthly benefit for a specified period instead of a lump sum benefit in the event of your death. The policy provides an ongoing income for the upkeep of your family.

AIA Living Family Protection

Family Protection is designed to provide your family with essential financial support when they need it most. Choose a monthly tax-free income level with a fixed and guaranteed payment term of 10 years.

Family Protection is also an ideal complement to Life Cover. As well as having Life Cover to clear your mortgage and other borrowings, the addition of a Family Protection benefit can provide ongoing income for the upkeep of your family.

Minimum commencement age 16
Maximum commencement age 70
Expiry age None
Get a Quote

Learn More


Family Protection insurance includes a range of benefits:

Family Protection Benefit

AIA will pay a Family Protection Benefit when the person insured dies, whether from illness, accident, natural causes or any other means. The only exclusion is for self-harm (e.g. suicide), and this exclusion only applies during the first 13 months of the policy.

Bereavement Support Benefit

As soon as AIA receives written notification that an insured person has died, a lump sum Bereavement Support Benefit of the monthly benefit amount (up to $15,000) will be paid. This benefit enables immediate costs and expenses resulting from the bereavement to be met, such as paying for funeral arrangements and for family members to travel home.

Payment of this benefit will be treated as the first payment of the Family Protection Benefit.

Special Events Increase Facility

This facility allows you to increase your Family Protection Benefit on the occurrence of any one of a number of ‘special events’ in your life without the need for any additional medical underwriting. These special events include having a child, getting married or entering into a civil union, getting divorced or becoming responsible for the full-time care (or payment for long term care) of a close relative. Please see the Policy Wording for full details of the special events that qualify.

Financial and Legal Advice Benefit

If AIA pays a claim under the Family Protection Benefit, you can get reimbursed for up to $2,500 (including GST) for financial planning fees paid to an accredited adviser or for legal advice from a legal professional approved by AIA.

Counselling Benefit

Get reimbursed for up to $2,500 (including GST) for the cost of a psychiatrist or psychologist consultation and/or counselling where the support treatments and/or consultations directly relate to a claim under the Family Protection Benefit.

Payment of this benefit will not reduce the Family Protection Benefit.

Parents Grieving Benefit

AIA will pay a Parents Grieving Benefit if a child of an insured person dies before age 21. A benefit will even be paid if a child of yours dies prior to birth but after at least 24 weeks gestation and you are the biological mother of the child. If the child is under age 10, the amount payable is $2,000 (the maximum under law), otherwise the amount payable is $15,000. Conditions apply.

Payment of this benefit will not reduce the Family Protection Benefit.

Premium Conversion Facility

At any time, you can convert all or part of your Family Protection Benefit from a Rate for Age premium structure to a Level premium structure without needing to produce further medical evidence.

Suspension of Cover Benefit

Flexibility to suspend your cover for up to 12 months if you:

  • Go on parental leave;
  • Go on leave without pay for any reason;
  • Become unemployed or redundant;
  • Experience a reduction in pay of 20% or more (comparing the most recent payslip against a previous payslip from the same year); or
  • Are self-employed and experience a reduction in revenue of 30% or more (by comparing one month’s revenue against the same month for the previous year).

No premium will be payable during the period that cover is suspended. No claim will be payable for any claim event that occurs during the period that cover is suspended.

Please refer to the Policy Wording for full details of all benefits and any associated terms and conditions.

Policy Features

Family Protection insurance includes the following features:

Financial Strength

The policy is underwritten by AIA New Zealand Limited, New Zealand’s largest life insurer. AIA New Zealand Limited has an AA (Very Strong) financial strength rating from Fitch Ratings.

24 x 7 Worldwide Cover

Whether you’re at home, travelling or working anywhere for any period (including overseas, even if you move overseas permanently), you remain insured.


There is no GST payable on Family Protection insurance premiums. Under current New Zealand legislation, life insurance premiums (including Family Protection premiums) are fully exempt from GST.

Tax-Free Benefits

Under current legislation, any and all benefits payable under the Family Protection Benefit are paid as tax-free benefits, directly to the policy owner.

Automatic Enhancement

If any change is made to the underlying AIA Living policy in the future, and that change would be favourable to you, then the Enhancement Pass Back Benefit means that the enhanced change will automatically be applied (passed back) to your policy. Conditions apply.

Free-Look Period

If at any time during the 15 days following receipt of your policy you do not wish to continue with your cover (for whatever reason at all), you can return your policy for a full refund of all premiums paid.

Please refer to the Policy Wording for full details and any associated terms and conditions.


Life Insurance Brochure

Download or view the brochure:

Life Insurance Brochure PDF

Policy Wording

Family Protection Policy Wording

The Family Protection policy wording is comprised of the following documents:

AIA Living Umbrella Policy Wording PDF
The Umbrella Wording is common to all AIA Living policies.

Family Protection Policy Wording PDF
The Benefit Appendix is specific to the Family Protection benefit.

AIA Vitality

AIA Vitality

AIA Vitality is a science-backed health and wellbeing program that supports and rewards you for making healthier choices.

Premiums for eligible insurance policies that cover you may be discounted in certain circumstances based on your membership and participation in the AIA Vitality program. You’ll receive an initial 10% premium discount in your first year.

A membership fee of $11.50 per month per member applies.

Learn more


Check out our FAQs for answers to frequently asked questions.

Get a Quote

Important Information

  • The above identifies and provides a brief summary only of the principal benefits under the policy. Please refer to the Policy Wording for full details of all benefits and the terms and conditions under which they are provided.