You cannot buy life insurance after someone has died
No. You cannot buy life insurance after someone has died, and no insurer can issue cover backdated to a death that has already happened. Insurance pays for a risk that has not yet occurred. If a relative died without cover, the useful steps are to check whether they already had a policy, to look at what the estate, Work and Income and ACC can pay, and to keep the funeral bill within what is available. This is general information as at 20 October 2026.
We are sorry for your loss. The answers below are short on purpose. Where a longer guide exists, we link it.
Can I buy life insurance on someone who has already died?
No. Life insurance, funeral insurance and guaranteed acceptance cover are all bought for a person who is alive at the time of the application, to pay if they die later. We found no New Zealand insurer that offers cover on a person who has already died, and we could not find any rule that would let one do so. A claim can only be made on a policy that was already in force when the person died.
Why not?
An insurer prices the chance of a future event. After a death there is no chance left to price, only a cost. That is also why insurers ask for the date of death and a death certificate when a claim is made, and why a policy bought shortly before a death does not behave like backdated cover. Momentum Life's Funeral Insurance, for example, pays only for accidental death in the first 24 months, and Quick Life excludes pre-existing conditions and suicide for the first 2 years. Other insurers set their own early-death rules; Fidelity Life and Chubb have a 13-month suicide exclusion in the wordings we read.
Could cover bought for someone who is seriously ill help?
Not as a way to fund a funeral that is likely soon. Momentum Life's Funeral Insurance, issued by Momentum Life Limited, has no health questions, but in the first 24 months only an accidental death pays; for any other cause the premiums for that person are refunded, and nothing is paid. Momentum's own site says Quick Life is not available to people diagnosed with a terminal illness or in palliative or hospice care. If the person is still living and the question is how to meet the cost, the better first call is a funeral director or Work and Income. See funeral costs when there is no money.
How do I check whether they already had a policy?
Look through their papers, then the bank statements for a regular payment to an insurer, and then contact the likely insurers. govt.nz lists insurers and funeral-insurance providers among the organisations to tell after a death (govt.nz: What to do when someone dies). The full checklist, including which insurer sits behind a bank brand and Inland Revenue's unclaimed money list, is in unclaimed life insurance in NZ. Ask the funeral director too. The FDANZ 2026 report found that 74% of deaths had no pre-arrangement or pre-payment, so most families start without a plan (FDANZ).
What if there was no life insurance?
Several things can still help:
| Source | What it can pay | Main limit |
|---|---|---|
| Work and Income Funeral Grant | Up to $2,697.43 | Relationship rules and an asset test (Work and Income) |
| ACC funeral grant | Up to $8,236.40 | Only where the death followed a covered injury (ACC) |
| Bank account of the person who died | Money for the funeral | A bank can release funds for the funeral without probate (govt.nz) |
| Council | Burial or cremation of a person who left too little, where relatives cannot pay | A council may do so, and must on a Justice's order (Burial and Cremation Act 1964, s 49); some councils still ask funeral homes to apply to Work and Income first |
Our guides explain each: the Funeral Grant, what to do if you cannot afford a funeral and, if the person was your partner, money help when a partner dies without life insurance.
What will the funeral cost?
FDANZ's 2026 report gives an average of $11,700 for a full cremation funeral at a funeral home, $14,300 with a burial, and $4,700 for an unattended cremation with no service (all 2025 survey averages; FDANZ). Our funeral costs hub and the funeral cost calculator show how the parts add up. Ask the director for a written price for the simplest option before you sign.
Am I personally responsible for the bill?
We found no source that makes a relative who signed nothing personally liable. A debt that was only the person's own is paid from the estate, not by their children (Citizens Advice Bureau, as summarised in our guide to debts after death). If you sign a funeral director's agreement, read whether you sign as executor or personally, and take it to a Community Law centre first if unsure. The executor decides what kind of funeral happens, or else the closest relative (Community Law).
Is any other money payable after a death?
Possibly. KiwiSaver savings go to the estate rather than to a named person: the manager pays the balance to the personal representative once a grant is produced, or under the small-sum route of up to $40,000 (Schedule 1 clause 9 of the 2006 Act). A final pay or holiday pay may also be owing from an employer. See who to notify for the full list.
Can I arrange cover now so my own family is not in this position?
Yes, for yourself, in your own time. Funeral insurance and life cover are two different products, and neither is the only way: saving, a prepaid funeral plan or doing nothing are other choices. A smaller figure such as $10,000 is covered in $10,000 life insurance in NZ, and the whole funeral product family is compared on the funeral insurance hub.
Momentum Life and this page
The buttons on this page open Momentum Life's online quote, which is one option for your own cover, and nothing here is a reason to buy. Momentum Life's Funeral Insurance, issued by Momentum Life Limited, takes New Zealanders aged 40 to 75 with no health questions and pays a fixed benefit of $3,000 to $30,000 towards costs. In the first 24 months it pays only for accidental death within 90 days of the accident; for any other death the premiums for that person are refunded. Total premiums can end up larger than the benefit, and the benefit may not cover the whole funeral. Quick Life takes ages 18 to 65 with no health questions, but excludes pre-existing conditions and suicide for the first 2 years. Neither is open over 75. Momentum Life Limited's A.M. Best rating is B (Fair), in the "Vulnerable" range; see its financial strength page.
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. Advice is provided by Craig Smith Business Services Limited, trading as Smiths Insurance & KiwiSaver, a licensed Financial Advice Provider (FSP712931). General information, not advice. Back to the when someone dies hub.
Adviser's view
Insurance covers a risk that has not happened yet, so cover cannot be bought for someone who has already died. The useful steps are to check whether they already had a policy, to see what the state and the estate can pay, and to keep the cost of the funeral down. If you want cover for yourself, that is a separate decision you can take in your own time.
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Cite this page QuoteHub NZ (2026). Can You Buy Life Insurance After Someone Dies in NZ?. www.quotehub.co.nz/guides/when-someone-dies/can-you-buy-life-insurance-after-death-nz. Updated 2026-10-20.
References
- govt.nz: What to do when someone dies
- FDANZ 2026 Industry Trends Report
- Work and Income: Funeral Grant
- ACC: Financial support after death
- Burial and Cremation Act 1964, New Zealand Legislation
- Community Law: Funerals and tangihanga
- Schedule 1 of the 2006 scheme Act, New Zealand Legislation
- Fidelity Life: Life Protect life cover policy wording
- Chubb: Life and Living Insurance life cover policy document
- Momentum Life: Financial strength
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