Frequently Asked Questions
“We’ve used the cash payout to clear a debt”
What types of policies can Policy Exchange assist with?
We make offers on whole of life and endowment life insurance policies – easy to identify as they receive bonuses each year from the life insurance company. We deal in policies with Resolution Life (includes National Mutual and AMP policies), AIA (includes NZI Life, CML etc), and Foundation Life (previously Tower Life/Govt Life). If you’re unsure whether your policy is one we can make an offer on, Contact Us and we’ll be able to determine very quickly if it is or not.
How quickly will I receive my payout?
Once we receive the completed settlement documents you can expect to have funds deposited direct to your account within 3 – 5 working days. The process is similar to surrendering a policy to the life company and takes a comparable amount of time (our documents are very straightforward). The main difference is by using Policy Exchange you’ll receive a higher payout.
How do I decide which option is best for me?
Each option has been carefully designed for specific circumstances. You’ll easily see which of the options best meets your needs.
What happens to my policy after I’ve cashed out, either partially or fully?
In both instances the policy is transferred into the name of Covenant Trustee Services Limited. Policyholders who’ve retained a portion of the policy will have their interests secured via Covenant and managed in conjunction with Policy Exchange. A schedule detailing the policy owner’s retained interest will be supplied as part of the transaction documents, and updates can be requested at any time via Policy Exchange.
I didn’t know I could sell part or all of my policy. How does this work?
Under the Life Insurance Act 1908 policyholders have legal title to a policy, and they can assign their policy (transfer ownership) to any other person or company.
Once I’ve decided which option best suits my needs how can I get a quote from Policy Exchange?
For CashPlus get an estimate, then follow the prompts to lodge a formal request with Policy Exchange. For Sell Some Keep Some and Regular Cashflow Lump Sum, contact us on our freephone number.
Does Policy Exchange pay my adviser?
Yes, Policy Exchange pays a referral fee of up to 2% where an adviser has introduced a client to us.
I’ve lost my policy documents, can Policy Exchange still help me?
Yes we can. If the original policy documentation has been misplaced or lost we may need you to complete a Lost Policy Declaration form. However we’ll meet any cost to obtain replacement policy documents.
I haven’t paid my premiums for some time / my policy has loan debts against it. Can I still deal through Policy Exchange?
Yes. If your policy is one of the types we’re able to trade, Policy Exchange will settle the debts direct with the life insurance company. You won’t need to repay anything prior to receiving the payout from Policy Exchange.
I’ve already surrendered my policy to the life insurance company. Can Policy Exchange still help me?
Possibly, but for the Cash Plus option only. If it’s within the timeframe (typically one month from surrender date) during which we’re able to reinstate the policy, you can lodge a quote request with us and we’ll determine if we’re able to make an offer. To keep the process as simple as possible, we’ll manage the reinstatement directly with the life insurance company on your behalf.