The unexpected death of a loved one can have a devastating effect on those who are left behind. Will the family home need to be sold as mortgage payments become unaffordable? Will there be sufficient funds to cover regular living expenses as well as holidays and school fees?
In New Zealand, one in six men and one in nine women who reach the age of 30 will die before 65¹. It is easy to say, “it won’t happen to me”, but premature death isn’t really about you; it’s about the people who depend on you for financial support.
The solution is AIA Life Cover.
- AIA Life Cover
Life insurance to protect your loved ones if you die.
AIA Life Cover provides your loved ones with the financial support they need in the event of your death. If you’re diagnosed with a terminal illness, you may choose to have your insurance paid out early, allowing quality time for you and your family before your death.
We have three types of Life Cover:
- Life Cover
- Level 15 Life Cover that keeps your premiums* at the same rate for 15 years at a time, making it easier to budget
- Cash Back Life Cover that has a premium* return option and a 20-year term. It provides a partial refund of your premiums* after six years – or a 100% refund of your premiums* after 20 years – if a claim hasn’t been made.
Plus, all our Life Covers have a funeral benefit and a financial planning benefit, giving you extra assurance that your family will be taken care of should the worst happens.
*Excluding policy fee.
1Statistics New Zealand (2004), New Zealand Life Tables 2000 - 2002.
Please refer to the relevant policy document for full details of the insurance contract and the terms, conditions, limitations and exclusions that may apply.
AIA Life Cover pays your family a lump sum of up to $16 million in the event of your death. If you’re diagnosed with a terminal illness and death is likely within 12 months, you may choose to receive up to 100% of your cover before your death.
Your family will also get the following benefits:
- Funeral benefit – an accelerated payment of $12,500 after your death
- Financial planning benefit – an additional payment of $750 after your death to help pay for professional financial advice for your family
- Accidental death benefit – free cover in case you have an accidental death while your Life Cover application is being processed (conditions apply).
Standard and Level 15 Life Cover only
When you have Standard or Level 15 Life Cover you can choose to increase your sum assured without further medical evidence, making it easier for you to adjust to your changing life:
- Future Insurability Option – you may be able to increase your sum assured by 20% every second year (special conditions apply).
- Special Events Increase Option – you may be able to increase your sum assured any time you have one of these special events: getting married or a civil union, getting divorced or legally separated, giving birth or adopting a child, getting a salary increase, taking full-time care of a dependent person, your child attending tertiary education or increasing your mortgage.
|Life Cover||Level 15 Life Cover||Cash Back Life Cover|
|Qualifying age*||16 - 69||16 - 64||0 - 64|
|Duration of policy||Annually renewable to age 99||Annually renewable to age 99||Annually renewable term life policy with a 20-year term|
|Premium options||Optional premium** guarantee period of one year, or choose the level option (not guaranteed)||Guaranteed level premiums** for 15 years at a time, increasing 25% every 15 years to age 80||Guaranteed level premiums** for the whole 20-year term|
*Individual consideration will be given to ages outside this range.
**Excluding policy fee.
As a 29-year-old mother of two children, Lisa could only afford AIA Trauma Cover and AIA Life Cover. As it turned out, she made a wise choice because a year later, she was diagnosed with breast cancer and required a double mastectomy.
While Lisa was able to claim on her Trauma Cover, tragically, the cancer returned and she was diagnosed with terminal cancer.
By claiming the terminal illness benefit of her AIA Life Cover , Lisa was able to enjoy her final months with her family without the pressure of financial worries, and even took her family on a memorable holiday. She died at age 32, knowing their future was financially secure.