Chubb Life's life insurance pays a lump sum benefit if the insured dies or is diagnosed with a terminal illness. Chubb Life's life insurance product is marketed under the Assurance Extra brand and is available to New Zealand residents through licensed financial advisers.
How the cover works
The lump sum benefit is paid on the death of the insured or on a medical diagnosis of terminal illness, typically defined as a life expectancy of 12 months or less. The benefit can be used by the insured's family for any purpose, including repaying the outstanding mortgage, replacing lost income, funding children's education, paying off personal debt, or covering funeral expenses. There is no restriction on how the benefit is spent.
Who it is for
Chubb Life life insurance is suitable for New Zealanders who have financial dependants, mortgage debt, or other obligations that would become a burden on their family if they were to die or be diagnosed with a terminal illness. It is commonly taken out by homeowners, parents with young children, and business partners who have personal guarantees on business debt.
Key features
The sum insured is nominated at the time of application and can be indexed to keep pace with inflation. Life insurance through Chubb Life is typically underwritten on application, meaning the insured's health and lifestyle information is assessed by Chubb Life's underwriting team before cover is issued. In 2024, Chubb Life paid 96% of all claims received from NZ customers, with cancer as the leading cause of life insurance claims at 46%.
How it fits into a protection plan
Life insurance is the foundation of most personal risk protection plans. It addresses the risk that the insured will not be there to provide financially for their family. It is often combined with trauma cover, which provides a lump sum for serious illness while the insured is still alive, and income protection, which replaces income if the insured is unable to work. A CompareNow adviser can help determine the appropriate structure and cover amount for your situation.