This page answers a range of questions about Family Protection.
- Am I eligible to apply for Family Protection insurance?
You are eligible to apply for AIA Living Family Protection if:
- You are 16 to 70 years of age; and
- You are a New Zealand citizen or a permanent resident or you hold a current New Zealand work permit or a long term New Zealand business visa.
- Are all occupations eligible?
Yes. Regardless of your occupation (or even if you have no job at all right now), you are eligible to apply for Family Protection cover.
- How much cover should I apply for?
We are not able to say how much Family Protection cover you should apply for, as this website does not provide financial advice, and it takes no account of your personal insurance needs or circumstances. In particular, this website does not provide financial advice within the meaning of the Financial Markets Conduct Act 2013 and it should not be relied upon in making a decision about insurance. If you are unable to (or do not wish to) determine your cover requirements yourself, then read our section about obtaining advice.
- Can I apply for more than $20,000 per month in cover?
Yes, you can. Our online quoting tool is limited to a maximum of $20,000 per month in Family Protection cover, but if you would like a higher amount of cover, simply contact us.
- Can I increase my cover after my policy has been issued?
You can increase your cover in the following ways:
- By utilising the Special Events Increase Facility in your policy (see What is the Special Events Increase Facility? below for further details); or
- By applying for additional cover online in the usual way.
In each case an increase in cover attracts an additional premium.
- Can I reduce my cover after my policy has been issued?
Yes, you can. If your circumstances or your financial responsibilities change, you can reduce your Family Protection cover at any time. However you may wish to seek financial advice about what such a change means for you before doing so.
- What is the Special Events Increase Facility?
Family Protection policies contain a Special Events Increase Facility. This facility is an important policy benefit that allows you to increase your cover, upon the occurrence of any one of a number of ‘special events’ in your life. Special events increases can be made without the need to provide any health information or to undergo any medical examinations or tests. These special events are:
- Having a child (by birth or legal adoption);
- Becoming married or entering into a civil union;
- Becoming divorced or the dissolution of your civil union; and
- Becoming responsible for the full-time care of a close relative (as defined in the policy)
The requested increase must be made within 12 months after the special event occurs. Please refer to the Family Protection Policy wording for further details of this benefit and the full terms and conditions under which it is available.
Any increase in cover will attract an additional premium.
- Will I still be covered if I take up a dangerous sport?
Yes, you will. You will be covered for any dangerous sport which you decide to take up after your policy is issued, without any requirement to notify AIA. You would not of course be covered if you intended to take up that sport before applying for Family Protection cover, and you did not disclose that in your application.
- Am I still covered if I travel or work overseas?
Yes, you are. Regardless of where you travel in the world, the reason for your travel or for how long you are away, you will be covered. This means that you remain covered even if you decide to leave New Zealand to travel or work overseas.
- Will my cover expire at any particular age or date?
No it will not. Your Family Protection cover will not expire at any age or date. This means that provided you continue to meet the policy terms and pay your premiums, you will continue to be covered, irrespective of your age. There is no upper age limit.
For questions about our Family Protection quotes, please see our Quote FAQs.
- When should I apply for cover?
You need to determine that for yourself based on your own situation. You never know when you might need cover. If you delay, you run the risk of developing a medical condition which could result an exclusion being added to your policy or a premium loading being applied.
- Is it easy to apply for Family Protection?
Yes, it’s very easy. Simply get a quote and apply online. It takes most people less than 20 minutes.
- Is there a lot of paperwork?
There is usually no paperwork at all. You apply for cover entirely online, and your application can be processed and your policy issued without you having to complete any paper forms.
- What sort of questions do I need to answer?
In addition to your name and contact details, the application form has questions about your residency, your occupation and activities, your health, your medical history, any other life or health insurance you might have, and payment details.
- Will I need to undergo a medical examination or tests?
No medical examinations or tests are normally required. However, if you are requested to have either, then there would be no cost to you at all. In that event AIA’s HealthScreen service could be offered to you. This consists of a registered nurse visiting you at your home or office at a time which is convenient to you. It’s all very low key.
- What happens after I submit my application?
As soon as you submit your application a confirmation email will be sent to you. The email will outline what happens next, and it will have contact details in the event that you wish to contact us while your application is being processed. We will keep you updated at each step, right through to the acceptance and issue of your policy.
- How long will it take to process my application?
All applications undergo initial processing right away, and the majority are fully processed within a matter of days. If there are any details missing from your application, or if further information is needed, then that may extend the time required to process your application.
- What are my payment options?
All premiums are paid directly to AIA. You can pay your premiums by any of the methods below:
- Direct Debit from a New Zealand bank account;
- Credit Card (Visa or MasterCard); or
- Debit Card.
You can change your payment method at any time.
You can pay your premiums weekly, fortnightly, monthly or annually. If you pay your premiums weekly or fortnightly, you can choose which day of the week your premiums are deducted. If you pay monthly, you can choose which date your premiums are deducted each month. You change your payment frequency at any time.
You will be notified before your first premium will be deducted. In any event, your first premium will not be deducted until at least 10 days after your policy is issued.
- Do I get a discount if I pay my premiums annually?
Yes, you do. If you pay your premiums annually you will receive a discount of 4.76% on the total benefit cost (everything except the policy fee). This discount is automatically calculated when you get a quote and select an annual payment frequency.
- What happens if I miss a premium payment?
Don’t panic. Your cover will not immediately stop if you happen to miss a premium payment. Your policy provides 31 days’ grace for any premium due. If you miss a premium payment you should contact AIA as soon as possible and make arrangements to pay the missed premium. If you do nothing, and the premium remains outstanding beyond the 31-day grace period, then AIA is entitled to cancel your policy by providing notice to you in writing at your most recently advised postal address.
- Can I change my mind after I receive my policy?
Yes, you can. You may cancel your policy at any time.
All of our policies come with a 15-day free-look period. If, at any time within the first 15 days of receiving your policy, you do not wish to continue your cover (for whatever reason), you may cancel your policy and get a full refund of any premiums paid.
You may still cancel your policy at any time after this free-look period, but you will not receive a refund of any premiums paid.
- Can AIA cancel my policy for any reason?
AIA can cancel the policy if:
- The premium remains unpaid for more than 31 days after the premium due date;
- You fail to disclose material information to AIA prior to inception of the policy or any variation or reinstatement of the policy;
- You made a substantially incorrect statement on the faith of which the policy was issued, renewed, varied or reinstated;
- You make a claim under the policy that is false or fraudulent in any respect; or
- You are the subject of any sanction, prohibition or restriction under United Nations resolutions or trade or economic sanctions, laws or regulations of New Zealand, the European Union, United Kingdom or United States of America, or any of its states and/or any other applicable economic or trade sanction laws or regulations.
Please refer to the policy wording for full details.
- Can I change the owner of my policy?
Yes, you can. You may change the owner of your policy at any time. All existing and any new policy owners must agree to the change. For example, you could change the policy owner from just yourself to joint ownership between yourself and your partner. In order to change the policy owner, simply complete a Change of Ownership Form.
- How do I make a claim?
If you need to make a Family Protection claim, please read our guide to making a claim.
- If something happens to me, who receives the benefit?
All benefits under your policy are payable to the policy owner. If you, as the life assured, are the only policy owner and you die, then the benefit will be paid to your estate (and be covered by the provisions of your will, if you have one). If your policy is owned jointly by yourself as the insured and your partner, and you die, then the benefit will be paid to your partner.
- Is any tax payable on any benefit received?
Under current New Zealand tax legislation, ordinarily there is no tax payable on any Family Protection benefit which is paid under this policy.
- Are there any exclusions which would prevent a claim?
Yes. If, within the first 13 months of the commencement date (or any reinstatement date) of the policy, the life insured dies or becomes terminally ill as a direct or indirect result of an intentional self-inflicted act (and whether sane or insane), then no benefit is payable under the policy. This exclusion also applies to any benefit increase made under the policy.
- Can I see the policy wording before I apply?
- What is the Enhancement Pass Back Benefit?
All AIA Living policies contain an Enhancement Pass Back Benefit. This means that if at any time in the future, AIA makes a change to the standard policy wording, and that change would be favourable to you, then the enhanced section will automatically be applied to your policy, subject to the conditions specified in your policy.
- Do I have to notify anyone if I develop a serious medical condition after my policy is issued?
No you do not. You are not required to notify anyone and it will not affect your cover.
- Will my policy ever have a cash value?
No. The premiums for your policy provide risk cover only, and any other special benefits as set out in your policy. Your policy does not acquire any surrender or cash value at any time.
- The above provides a summary only of the benefits, terms and conditions of the policy. Please refer to the policy wording, including the policy appendix and schedule, for full details of the policy benefits and the terms and conditions under which they are provided.