Southern Cross funeral cover: benefits and alternatives

Written by Henry Smith · Reviewed by Smiths Insurance & KiwiSaver, licensed Financial Advice Provider (FSP712931) · Updated 2026-10-20 · Reviewed quarterly, when the underlying data is restated.

Financial advice is provided by Craig Smith Business Services Limited, trading as Smiths Insurance & KiwiSaver, a licensed Financial Advice Provider (FSP712931). QuoteHub is a trading name.

Southern Cross does not list a standalone funeral insurance policy. Its Life & Living Insurance is underwritten and administered by Chubb Life Insurance New Zealand Limited, and includes a Bereavement Support Benefit: an early payment on death of up to $25,000 of the Life Cover amount to help with immediate costs such as funeral expenses. Acceptance depends on health questions.

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See your price in about a minute, then apply online with Momentum Life. Guaranteed acceptance, no health questions, no medical exams.

Funeral cover See your price Ages 40–75 · $3k–$30k Life cover See your price Ages 18–65 · $50k–$300k

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Funeral cover: Only accidental death is covered for the first 2 years. Total premiums can add up to more than the cover, and it may not meet the whole cost of a funeral.

Life cover: Conditions you already have aren't covered for the first 2 years (premiums refunded instead). Suicide isn't covered for the first 2 years, and a few conditions can be excluded permanently.

Insurer: Momentum Life Limited. Financial strength rating B (Fair) from AM Best, affirmed 11 February 2026; B ratings sit in AM Best's 'vulnerable' range. The rating scale is available for inspection at every Momentum Life office in New Zealand. What this means

Already have cover? Keep it. New cover won't pay for a condition you already have in its first 2 years.

Opens Momentum Life's online application; its guidance only covers eligibility. QuoteHub is a Momentum Life partner. Smiths Insurance & KiwiSaver may receive a commission if you buy. General information, not advice.

Southern Cross funeral cover, as people search for it, is really life insurance with a funeral payment inside it. Southern Cross Life Insurance and Southern Cross Life & Living Insurance are promoted by Southern Cross Insurance Services Limited, and Chubb Life, the underwriter, is responsible for all claims. Chubb Life is rated A (Excellent) by A.M. Best. The Bereavement Support Benefit is not extra cover: it is an early payment of up to $25,000 of the Life Cover amount, paid when you die. It is subject to approval by Chubb Life, so it is not guaranteed acceptance cover and it is not funeral insurance.

Southern Cross Health Society and Southern Cross Life are different

The name covers more than one business, and mixing them up causes most of the confusion.

	Southern Cross Health Society	Southern Cross Life Insurance and Life & Living
What it is	Health insurance and related services	Life cover promoted by Southern Cross Insurance Services Limited
Who carries the risk	The Society	Chubb Life Insurance New Zealand Limited
Financial strength rating	A+ (Strong) from S&P Global	A (Excellent) from A.M. Best, for Chubb Life
Who pays claims	The Society	Chubb Life

The S&P grade belongs to the health society and does not describe the life policy. The two agencies also use different scales, and we found no source that converts one to the other, so we do not compare the letters. Our guide to health versus life insurance at Southern Cross goes further, and the Southern Cross Life insurer page has the register facts.

What the Bereavement Support Benefit is

The Southern Cross Life & Living page, read on 20 October 2026, lists these features, subject to policy terms and conditions:

Life Cover up to $1.5 million, paid as a tax-free lump sum on death.
Bereavement Support Benefit: "an early payment on death of up to $25,000 of the Life Cover amount to help cover immediate costs, such as funeral expenses".
Terminal Illness Benefit: an early payment of the full Life Cover amount for an illness or injury with a life expectancy of less than 12 months.
Financial and Legal Advice Benefit: reimbursement of up to $2,500.
30 days to decide: the policy is cancelled and premiums refunded if you change your mind within 30 days of it starting.

Two things the page does not say. It does not state entry ages, expiry ages or stand-down periods, and it does not spell out how the early payment interacts with the final Life Cover payment. Both are in the policy wording, which Southern Cross links on the page. Do not assume either way until you have read it.

Who is behind the policy, and who pays

Southern Cross's legal disclosure says its related companies "do not guarantee the obligations of Chubb Life, so if Chubb Life refuses your claim, Southern Cross will not be liable", and that Southern Cross receives a commission on policies sold (Southern Cross Life: legal disclosure). That is worth knowing because the name on the brochure and the company that pays are different.

The application can use a face scan to tailor the health questions, or the standard form. In either case the cover is "subject to approval by Chubb Life of a completed application", with terms, conditions and exclusions (legal disclosure). The questions are underwriting, and an incomplete or inaccurate answer can affect a later claim. A fuller checklist, including the member discount, is in our Southern Cross life insurance review.

How it differs from standalone funeral cover

Compared: Southern Cross Life & Living, Chubb Life's own Funeral Cover, and Momentum Life Funeral Insurance, on the criteria below, as at 20 October 2026, from each provider's own pages and documents. Not every New Zealand insurer is included. This is a reading of documents, not a score.

	Southern Cross Life & Living	Chubb Life Funeral Cover	Momentum Funeral Insurance
Acceptance	Underwritten; health questions	Guaranteed acceptance	Guaranteed acceptance
Entry ages	Not stated on the page	50 to 80	40 to 75
Amount	Life Cover up to $1.5 million; up to $25,000 paid early	Up to $30,000	$3,000 to $30,000
Early-death rule	Not stated on the page	First 24 months: accidental death only, 100% of premiums refunded for another cause	First 24 months: accidental death only, all premiums for that person refunded
Terminal illness	Yes, full Life Cover	None found	None
Underwriter rating	Chubb Life: A.M. Best A (Excellent)	Chubb Life: A.M. Best A (Excellent)	A.M. Best B (Fair)

Chubb Life's funeral cover is its own product, not a Southern Cross one, and we did not find it listed on the Southern Cross page we read. See Chubb funeral insurance.

Momentum Life Limited's financial strength rating is B (Fair) from A.M. Best, affirmed on 11 February 2026, and Momentum's own table places B in its "Vulnerable" range; see Momentum's financial strength page. Momentum's cover is described on its Funeral Cover page.

When a standalone funeral plan is the better fit

Underwritten life cover works well when you are healthy and want a larger sum, with the funeral payment as one feature. It does not help if you expect to be declined or loaded. For that case, guaranteed-acceptance funeral products exist, with trade-offs. Momentum Life's Funeral Insurance takes ages 40 to 75 for $3,000 to $30,000. In the first 24 months only accidental death pays, and premiums are refunded for any other death. Total premiums can end up larger than the benefit, and the benefit may not cover the whole funeral. It does not accept new applicants over 75. Momentum's Quick Life, for ages 18 to 65, excludes pre-existing conditions and suicide for the first 2 years.

Other ways to fund a funeral

Costs vary, and FDANZ's 2026 report puts an average funeral for 50 guests at $11,700 for a cremation and $14,300 for a burial (FDANZ). Savings, a prepaid plan and the Work and Income Funeral Grant (up to $2,697.43, with tests, and prepaid funeral cover can affect it) are other routes (Work and Income). See funeral costs for the breakdown. If you disagree with a decision on a Southern Cross policy, the claim and complaint route is through Chubb Life; check your policy wording for the external dispute scheme it names.

What we could not verify

Entry ages, stand-down periods and any exclusions on the Life & Living policy. The pages we read do not state them.
Whether the Bereavement Support Benefit is deducted from the final Life Cover payment.
Any Southern Cross premium. We publish none.

Where to get advice

The buttons on this page open Momentum Life's online application, one option among those compared above. General information, not advice. QuoteHub is a Momentum Life partner, and Smiths Insurance & KiwiSaver may receive a commission if you buy a Momentum policy; see how we are paid. A licensed adviser can compare Southern Cross, Chubb Life, Momentum and others on your own details. Advice is provided by Craig Smith Business Services Limited, trading as Smiths Insurance & KiwiSaver, a licensed Financial Advice Provider (FSP712931). Back to the funeral insurance hub, or see the wider comparison.

Get a quote and apply online today

See your price in about a minute, then apply online with Momentum Life. Guaranteed acceptance, no health questions, no medical exams.

Funeral cover See your price Ages 40–75 · $3k–$30k Life cover See your price Ages 18–65 · $50k–$300k

Want more cover or have questions? Talk to an adviser

Funeral cover: Only accidental death is covered for the first 2 years. Total premiums can add up to more than the cover, and it may not meet the whole cost of a funeral.

Already have cover? Keep it. New cover won't pay for a condition you already have in its first 2 years.

Adviser's view

Southern Cross does not list a standalone funeral policy. What it offers is underwritten life cover, issued by Chubb Life, with an early payment of up to $25,000 to help with immediate costs such as funeral expenses. You need to be accepted on health questions to get it. If you want cover without health questions, look at guaranteed-acceptance funeral products and their early-death limits.

Henry Smith, Financial Adviser (FSP1010699). General information, not personalised financial advice.

Talk to a licensed adviser about funeral cover · free, no obligation.

Cite this page QuoteHub NZ (2026). Southern Cross Funeral Cover NZ: Policy Checks. www.quotehub.co.nz/funeral-insurance/southern-cross-funeral-insurance-nz. Updated 2026-10-20.

References

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