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Living Assurance

Living Assurance can give you substantial financial resources in the event that you suffer any one of a number of serious medical conditions, so that you can focus your energies on dealing with your condition and not on dealing with the day to day demands of others.

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What is Living Assurance?

Living Assurance is a policy which pays a tax-free lump sum benefit if you develop any one of 50+ specified medical conditions. The benefit is normally the full amount of cover provided under the policy, but for some lesser conditions a partial payment applies.

Living Assurance can make up for loss of earnings, and assist in clearing debt which might otherwise be a drain on your finances. It can also meet often substantial expenses involved in private treatment.

Protect yourself from the effects of serious illness with Sovereign TotalCareMax Living Assurance.

  • More than 50 medical conditions covered.
  • Tax-free lump sum payment.
  • 24 x 7 worldwide cover – No country exclusions.
  • Cover doesn’t expire at any age.
  • Option to increase your cover every 3 years without medical evidence.
  • Future policy enhancements automatically included.
  • Free interim cover while your application is being processed.

Learn More

Covered Medical Conditions


Policy Features

Customer Guide

Policy Wording


Covered Medical Conditions

Living Assurance provides cover for more than 50 medical conditions across 5 categories:


Carcinoma-in-situ radical surgery
Malignant tumours
Prostate cancer


Angioplasty – less than 3 vessels
Angioplasty – 3 vessels or more
Aortic surgery
Coronary artery bypass surgery
Heart attack
Heart valve surgery
Out-of-hospital cardiac arrest
Pulmonary hypertension

Major Neurological Disease

Alzheimer’s disease
Benign brain tumour
Creutzfeldt-Jakob disease
Idiopathic Parkinson’s disease
Major head trauma
Motor neurone disease
Multiple sclerosis
Muscular dystrophy
Peripheral neuropathy

Paralysis and Loss of Functionality

Loss of independent existence
Permanent blindness
Permanent loss of hearing
Permanent loss of speech
Permanent loss of use of limbs
Quadriplegia/ Tetraplegia

Other Key Conditions

Advanced diabetes
Aplastic anaemia
Chronic liver failure
Chronic lung disease
Chronic renal failure
Cognitive impairment
Intensive care
Major transplant surgery
Severe burns
Severe Crohn’s disease
Severe illness or injury
Severe osteoporosis
Severe rheumatoid arthritis
Severe ulcerative colitis
Systemic lupus erythematosus
Systemic sclerosis
Terminal illness

A 3 month stand down period (from the date the Living Assurance Benefit commences) applies to certain conditions. Please refer to the Policy Wording for full details, including when a stand down period applies, and when a full or partial payment applies.


Sovereign TotalCareMax Living Assurance includes a range of benefits designed to support you when you need it most:

Living Assurance Benefit

Receive a benefit payment if you suffer for the first time any one of more than 50 medical conditions, to the extent specified in the policy.

A partial benefit applies to certain conditions, for example, where you suffer a specified medical condition to a less serious extent than that which would normally trigger a full benefit payment.

Includes cover if you suffer a major medical condition that isn’t specifically listed in the policy wording, but meets Sovereign’s definition of a severe illness or injury. See the Policy Wording for details.

Built-in Financial and Legal Advice Benefit

After you receive a full claim payment, 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 Sovereign.

Built-in Children’s Trauma Benefit

If your child suffers an applicable condition, this benefit will pay 50% of the sum assured (up to $50,000). This benefit provides trauma cover for your children at no additional cost. Payment of this benefit will not reduce the amount of any benefit for you.

Built-in Newborn Children’s Benefit

If your biological child is born with one of five defined congenital conditions and survives for 30 days after birth, receive a benefit of 50% of the sum assured (up to $50,000). Payment of this benefit will not reduce the amount of any benefit for you.

Built-in Children’s Trauma Conversion Facility

The Built-in Children’s Trauma Benefit can be converted to a standalone Living Assurance Benefit of up to 50% of the original sum assured (up to a maximum of $50,000), without further medical evidence.

Built-in Premium Conversion Facility

At any time before age 65, you can convert all or part of your Living Assurance Benefit from a Rate for Age premium structure to a Level premium structure without needing to produce further medical evidence.

Built-in Special Events Increase Facility

You can increase the amount of cover under your policy following certain life events, without any medical questions, examinations or tests. A premium will be applied to the additional cover.

Built-in Future Insurability Benefit

You can increase the amount of cover under your policy at every third policy anniversary date by up to 20% of the original cover (up to a maximum of $200,000), without any medical evidence. An increase in premium applies.

Built-in Return Home Benefit

If you are outside New Zealand and suffer from, for the first time, a covered condition, Sovereign will reimburse the cost of a standard economy flight back to New Zealand for you and one support person, up to a total cost of $10,000.

Built-in Bereavement Support Benefit

Sovereign will pay a Bereavement Support Benefit if a child of yours dies before age 21. A benefit will even be paid if a child of 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.

Built-in 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 Living Assurance Benefit.

Built-in Suspension of Premium Benefit

If you go on parental leave, or go on leave without pay for any reason, you may suspend your cover for up to 12 months. No premium will be payable during the period that the cover is suspended, however no claim will be payable for any condition that occurs during the period cover is suspended.

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

Policy Features

Sovereign TotalCareMax Living Assurance includes all the following great features:

Rock-Solid Backing

The policy is underwritten by Sovereign, New Zealand’s largest life insurer. Sovereign has an A+ (Superior) financial strength rating from A.M. Best Company, the highest rating of any life insurance company in New Zealand.

Lump Sum, Tax-Free Benefits

Any and all benefits payable under the Living Assurance Benefit are paid as tax-free lump sum benefits under current legislation, directly to the policy owner.

24 x 7 Worldwide Cover

Whether you’re at home, or travelling or working anywhere overseas for any period, you remain insured for every medical condition which is specified.

Guaranteed Enhancement

If any change is made to the underlying policy in the future, and that change would be favourable to you, then guaranteed enhancement means that the change will automatically be applied to your policy. Conditions apply.

Free-Look Period

If at any time during the 15 days following receipt of your policy you don’t 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.

Customer Guide

Download or view the customer guide:

Living Assurance Customer Guide PDF

Living Assurance Customer Guide

Policy Wording

The Living Assurance policy wording is comprised of two documents:

TotalCareMax Umbrella Wording PDF

The Umbrella Wording is common to all Sovereign TotalCareMax policies.

Living Assurance Benefit Appendix PDF

The Benefit Appendix is specific to the Living Assurance benefit.

Living Assurance Policy Wording


Check out the FAQs for answers to frequently asked questions.

(Superior) Financial Strength Rating from A.M. Best Company, Inc. Rating scale

Special Offer

New World Promotion

Apply online today to be eligible for a 25% Cash Bonus, a $100 New World Gift Card (minimum premium required) and earn Airpoints Dollars™.
25% Cash Bonus details
$100 New World Gift Card details
Airpoints Dollars™ details

Plus, get a 10% Discount every year for any policy which includes either Life Cover for two people or Life Cover for one person plus at least one other eligible benefit (minimum cover and premium criteria apply).
Life + One 10% Discount details

Important Information

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