Written by · Reviewed by Smiths Insurance & KiwiSaver — licensed Financial Advice Provider (FSP712931) · Last updated 2026-10-20

Checking free life cover offers for new parents in NZ

We found no free life cover for new parents advertised on the New Zealand insurer pages we read on 20 October 2026, and life insurance itself is not free: you pay premiums. What does exist is a right with some insurers to raise your cover after a baby is born without new health evidence, and some child funeral benefits. If you see an offer of free parent cover, treat it as a promotion to be tested against its terms, not a replacement for a policy.

In short

Is life insurance free?

No. A life policy is a contract where you pay premiums for a benefit. "Free" in this market usually means one of three things: a promotional period, a free look (a window to cancel for a refund), or an extra that is included in a policy you already pay for. For example, Momentum gives a 30-day free look on Quick Life and Funeral Insurance with a full refund if no claim has been made, and Quick Life makes $20,000 of the benefit "free" from age 75 (Momentum Quick Life wording). Neither is free cover for new parents.

What we checked, and what we did not find

On 20 October 2026 we read the pages for Fidelity Life, Asteron Life, Southern Cross Life and AIA, and none advertises free or complimentary life cover for new parents or newborns. Asteron lists an optional "Kids Cover" benefit that "lets you cover your kids too"; it is not described as free or automatic. Fidelity's page mentions a complimentary Will It package for new Life customers from March 2026, which is a will service, not insurance. That is the limit of our evidence: promotions come and go, and we have no source for a figure such as "$10,000 to $50,000 for a year", so we do not state one.

What new-parent features do exist

Insurer and wording What it gives after a baby Limits
Southern Cross Life (underwritten by Chubb Life) A Life Events Benefit increases Life Cover when you have a baby, without a health assessment Terms are in Chubb's wording
Chubb Life Assurance Extra Life Events Benefit: raise Life Cover by up to $250,000 (or Life Income Cover by up to $750 a month) on birth or adoption of a child, among other events Apply within 180 days of the event, or within 60 days of the next anniversary; ends at age 60; increases cannot exceed 75 percent of the underwritten amount
AIA Living Life Cover (wording version effective 10 October 2023) Special Events Increase Facility: raise Life Cover on having a child (by birth or adoption), among other events, without medical evidence Request within 12 months with evidence of the event; not for a life assured over 55; one increase in any 12 months; each increase needs a higher premium; the amount limits are in the wording (AIA)
Fidelity Life LifeProtect (wording for Westpac products, effective 22 September 2026) Special Events Increase: once in any 12 months before age 55, by up to the lesser of $250,000 or 50 percent of the starting sum insured, at pregnancy of 28 weeks or birth (not both for the same child) Exercise in writing with evidence within 6 months of the event or 30 days after the next anniversary, whichever is later; not available after a paid claim or with unpaid premiums
Fidelity Life LifeProtect Child's Funeral Assistance Benefit: reimburses direct funeral costs of a child aged 2 to 20, up to $15,000 for ages 10 to 20, or $2,000 less other amounts payable under the Life Insurance Act 1908 for a child under 10 Not for known congenital conditions or child pre-existing conditions; not within 3 months of the parent's cover starting

Sources: Southern Cross Life, AIA Living Life Cover wording, Chubb brochure CIG0009 V6, Fidelity LifeProtect wording, Fidelity Life. Each of these needs an existing policy first, and the increase adds a premium. The Fidelity wording does not state a separate charge for the child benefit; check your schedule.

Momentum's Quick Life gives a 3 percent automatic annual increase to age 75 or the cap, and for any other increase the 2-year pre-existing and suicide exclusion applies again to the increase portion (not to automatic increases). We found no birth-triggered increase in the Quick Life wording. Quick Life covers ages 18 to 65, with cover from $50,000 to $300,000 per person at the start. See Quick Life.

Why a small promotional cover would not be enough

We do not have a free offer to test, but the arithmetic of a short, small cover is the same wherever it is found. A one-year cover of a few tens of thousands of dollars would not replace an income for 18 years or clear a mortgage; our guide to how much life insurance new parents need works through the pieces, and the wider new parent insurance checklist covers income protection, health and trauma cover as well. Cover for both parents matters, including a parent at home; see life insurance for a spouse.

A checklist for testing any free offer

  1. Who is the insurer, and who is the life covered: you, your partner or the baby?
  2. What is the amount, and for how long? What happens on the end date: does it lapse, or convert into a paid policy?
  3. Are there health questions, and do your answers affect what you can buy later?
  4. Is it a promotion by a bank or a third party, and who earns a commission or a data-sharing consent?
  5. What is the cost of converting, and is there an early window (an exclusion in the first one or two years)?
  6. Does it count towards the insurer's limits on your total cover?
  7. Is there a policy wording you can read before you accept?

Who we are, and how we are paid

Advice is provided by Craig Smith Business Services Limited, trading as Smiths Insurance & KiwiSaver, a licensed Financial Advice Provider (FSP712931). This page is general information, not advice. QuoteHub is a Momentum Life partner, and Smiths Insurance & KiwiSaver may receive a commission if you buy through our link; see how we are paid. Momentum Life Limited has a financial strength rating of B (Fair) from A.M. Best, affirmed 11 February 2026; Momentum's own table groups B in its "Vulnerable" range, and A.M. Best says the rating is not a recommendation (Momentum: financial strength). Quick Life excludes pre-existing conditions and suicide for the first 2 years. The buttons on this page lead to Momentum's online quote, which is for paid cover; a healthy person can usually get more cover for less through a fully underwritten policy arranged by a licensed adviser. See guaranteed acceptance. Last reviewed 20 October 2026 by the QuoteHub Adviser Team.

Frequently asked questions

Is life insurance free for new parents in NZ?

We found no free offer on the insurers' pages we read, and life insurance is a paid product. Some policies let you raise cover after a baby without a new health assessment.

Is there free online life insurance?

Not that we found. A free look lets you cancel within a period, often for a refund, but it is not free cover.

Does my existing policy cover my newborn?

That depends on the wording. Some policies include a child funeral benefit; Fidelity's LifeProtect wording covers a child aged 2 to 20, so not a newborn, and AIA's Life Cover wording has a Parents Grieving Benefit. Read your own wording.

References

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