Compare Best Funeral Insurance in New Zealand

Compare Funeral Insurance LifeCovered

Compare best Funeral Insurance in New Zealand with leading funeral cover providers now!

Funeral Insurance with guaranteed acceptance, pays a tax-free lump sum to the policy owner when you pass away and is intended to cover the average $5,000 – $8,000 funeral costs in New Zealand.

Dying can be expensive, and many choices will be made: will it be burial or cremation, how about funeral casket or urn and how about embalming or ashes?

Should it be a memorial or a funeral?

What about headstones or plaques?

The process of grieving involves crying, talking, silence and withdrawal.

Bereavement, loss, grief and mourning are all expressed differently.

Eulogies or tributes are expressions of gratitude and celebration of the life lived.

Funeral insurance will not take away the loss.

A funeral cover policy will provide enough money, which the family don’t have to worry about the financial implications of your funeral.

And many insurance companies offer a built-in funeral advancement benefit in the standard life insurance policy.

Check with your broker or contact me about your life insurance. My team and I are here to serve you.

We will not pressure you into buying; it is just not our style. But we will show you your options so that you can make an informed decision.

But first, a little background to funerals in New Zealand.

Let’s dive right in…

Burial and Cremation Act of 1964

In New Zealand, the Burial and Cremation Act of 1964 regulates burial and cremation of the dead.

Burial and Cremation Act 1964

The Act stipulates who provides cemeteries and burial grounds, some wording about monuments and general provisions regarding death certificates and burials.

And when it comes to the burial of the dead, there are two ways.

  • A DIY option or
  • hire someone like a Funeral Director to organise the funeral or cremation.

Compare funeral insurance with life insurance, a typical funeral cover has a maximum cover amount, and acceptance is guaranteed without medical underwriting.

First, let’s look at costs related to funerals, cremations and burials in New Zealand.

How much will a funeral actually cost?

Funeral Cover is to ensure your funeral gets paid for and that your loved ones are not burdened with a financial outgoing when you are gone.

I have looked at a couple of councils websites to get an idea of cemeteries and crematorium fees and cost.

Auckland Cemetary costs are probably in the higher end versus Hamilton Council.

Cemeteries and crematorium fees and cost in Hamilton are considerably lower.

Below chart is an estimated cost analysis of starting prices.

The fancier the funeral or burial, the higher the costs. has published a cremation costs comparison chart that shows cremation costs in New Zealand vary from $1,595 to almost $5,000 across the country.

Another thing to keep in mind is if death is accident related, ACC might help with funeral costs.

Work and Income also have a Funeral Grant.

The influencing factors of how much a burial or funeral costs include:

  • Whether there are religious, ceremonial or family requirements
  • Whether you are being buried or cremated
  • If buried, the cost of a burial plot, digging, casket, headstone, transportation etc
  • If cremated, the cost of an urn, flowers, funeral director etc
  • Other compulsory costs such as newspaper notices, death certificate etc.

My comparison is based on data sourced from companies websites, online calculators and policy documents and is in no way representative of all the products available in the market.


Compare Funeral Insurance – what to look for

When deciding which funeral insurance plan is best suitable for you, I think there are a few features, benefits and pitfalls we should compare.

Budget, age and personal preferences probably will guide you in your direction.

And I hope this research will empower you to compare funeral insurance in New Zealand.

In this example, I am going to compare funeral insurance from several companies including Cigna, Pinnacle Life & Fidelity Life.

First, let’s look at the similarities between the different companies.

wdt_ID Feature Fidelity Life Cigna Pinnacle AA Life Momentum Life
1 Guaranteed Acceptance yes yes yes yes yes
2 24 Months Accident Cover Only yes yes yes yes yes
3 - refunding premiums *yes yes yes yes yes
4 Full cover after 2 years yes yes yes yes yes
5 Free Lock Period 14 Days 30 Days 30 Days 30 Days 30 Days
12 Max $ Cover $12,000 $30,000 $25,000 $30,000 $20,000

As you can see, the above funeral insurance providers in New Zealand offer pretty similar policy wordings.

The amount of cover they offer differs.

Fidelity Life offers max $12,000 level of cover, next is Momentum Life with max $20,000, Pinnacle offers max $25,000, while AA Life & Cigna offer max $30,000.

What they all agree on is:

  • Guaranteed Acceptance: no questions asked and automatic acceptance.
  • Accidental Cover during first two years: only accident cover
  • Full Cover after two years: accident or illness

If death happens by accident during the first two years, accumulated premiums are returned to the policy owner.

Fidelity Life does it better because if death in the second year is other than by accident pays one and a half times the premiums paid.

Arguably that is not a whole lot of money, but every small bit helps.

Compare Funeral Insurance – the difference

When comparing funeral insurance in New Zealand, I spotted a couple of differences.

I looked at comparing policy wordings, quotes and benefits. And this is the nitty-gritty stuff.

When buying any life insurance with guaranteed acceptance and comparing funeral insurance with life insurance that is underwritten, you should expect to pay a higher premium for the funeral cover, than a life insurance policy that is underwritten.

Underwriting is a term used by life insurers to describe the process of assessing risk, ensuring that the cost of the cover is proportionate to the risks, i.e. health issues faced by the individual concerned.

People with the same or similar risk pay the same or similar premium rates.

Guaranteed acceptance means no health assessment is done and therefore everybody, irrespectively of health pay same or similar premium rates.

Keep your options open and compare funeral insurance with underwritten life insurance.

My team and I are here to serve and can quickly help you with a quote.

Here, some of the things that differ between the funeral cover policies.

wdt_ID Feature Fidelity Life Cigna Pinnacle AA Life Momentum Life
1 Entry Age 16 - 64 45 - 80 30 - 75 50 - 79 16 - 75
2 Your Payment Ends 10 years Age 90 Age 85 Age 90 Age 85
3 Yearly Renewable or Fixed Premiums Fixed Yearly Renewable Fixed Yearly Renewable Fixed (not guaranteed)

Can you see it?

Paying funeral cover premiums most of my life is also why I have a healthy scepticism about the insurance industry.

A couple of other reasons as well.

Momentum Life says “Funeral Insurance Premiums that don’t increase with age”, yet I feel, the policy wording is a little loose.

What stands out is “...or because our claims experience is materially different from expected.

If Momentum Life experiences higher claims than expected, Momentum Life can increase the premiums.

I might be wrong, but per definition, this is not premiums that don’t increase with age.

Below, an overview of the maximum number of years, which the insurance company can collects premiums for the Funeral Cover they offer.

Funeral Cover Premiums Payable Max Number of Years

I am aware there are many factors to consider when comparing funeral insurance.

But stay with me.

Does it make any sense to pay a funeral cover for 30, 40 or 50 years?

You might have paid much more for the funeral cover than your cover is.

If so, why not look at a guaranteed fixed premiums life insurance cover?

Guaranteed life insurance premiums that don’t increase with age can often save you a lot of money.

Life Insurance Premiums that don't increase with age

Funeral Insurance Providers in New Zealand

Planning for your funeral now means you can take control of your concerns and give your family peace of mind at a tough time.

In no way have I compared all funeral covers providers in New Zealand. But I have compared some of the leading funeral insurance providers Kiwi’s prefer.

Fidelity Life Funeral Cover

Fidelity Life Funeral Cover

New Zealand’s largest locally-owned life insurer was named Life Insurance Company of the Year 2017. The largest shareholder is the NZ Super Fund.


  • Premiums Payable maximum 10 years
  • Cover for life


  • Fixed cover – no room for adjustment
  • Level premiums, start higher compared to yearly renewable premiums
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Cigna Funeral Cover NZ

Cigna Funeral Cover NZ

Cigna New Zealand is part of Cigna Corporation, a Fortune 500 company and one of the world’s largest publicly-owned insurance and financial services companies. Headquarters in Bloomfield, Connecticut, United States.


  • Premiums Payable maximum 10 years
  • Cover for life


  • Premiums Payable maximum 10 years
  • Cover for life

Pinnacle Life Funeral Insurance

Pinnacle Life Funeral Insurance



AA Life Funeral Cover

AA Funeral Cover



Momentum Life Funeral Cover



Compare Funeral Insurance – Conclusion

Did you compare funeral insurance?

So which funeral insurance policy is best for you?

As with most things in life, there are no one-size fits all with any funeral policy.

The advantage of buying through a broker is that it gives you a second source to verify facts about the company and policy.

Something to consider is how easy is the company to deal at claim time?

What is the reputation in the market?

The role of a broker is to support your claim when it is needed.

And this is where a brokers experience can be measured in gold.

I welcome your questions, comments and suggestions.

Has anyone in your family died and you’ve experienced being part of a funeral cover claim, feel free to share your experience here.

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