Cancel AIG: Step-by-Step Guide

How to cancel your AIG travel insurance in new zealand and protect your refund

Why you might cancel your AIG policy

AIG (American International Group) is a major insurance provider in New Zealand, offering travel insurance through recognised channels including Travel Activate, a Westpac-branded product. You may have purchased an AIG policy for a single trip or family holiday, and circumstances change. Whether your plans fell through, you found better cover elsewhere, or your trip was cancelled, understanding how to exit your policy cleanly protects your money and keeps you in control. Tocancel is here to walk you through the process step by step so you understand your rights and take confident action.

AIG's travel insurance products in new zealand

AIG NZ specialises in retail general insurance covering travel, commercial liability and other lines. The company holds membership with the Insurance Council of New Zealand, which means it operates under the Fair Insurance Code, a set of rules designed to protect you. Most New Zealand consumers interact with AIG through travel insurance policies purchased online, via brokers, or through branded partners like Westpac's Travel Activate. These are typically short-term, per-trip policies rather than annual covers. Understanding what you bought is your first step toward cancelling it cleanly.

Common reasons new zealand consumers cancel AIG coverage

You might cancel your AIG travel insurance for legitimate reasons: your trip was postponed or cancelled outright; you booked alternative cover with better terms; medical or family emergencies forced you to stay home; or you discovered the policy didn't match your actual itinerary. Understanding your right to cancel, and when you stand the best chance of recovering money, puts you in a stronger negotiating position from the start. Your circumstances are valid, and your policy terms will tell you whether you qualify for a refund.

Your legal rights under new zealand consumer law

New Zealand consumer law gives you specific protections when dealing with insurance cancellations. Knowing these rights shifts the power balance in your favour and gives you concrete leverage if AIG refuses to act fairly.

Fair insurance code and cooling-off periods

AIG NZ is bound by the Fair Insurance Code, administered by the Insurance Council of New Zealand. However, general insurance products (including travel insurance) in New Zealand do not carry a mandatory 14-day cooling-off period as some other products do. This means your refund eligibility depends on the specific policy terms, how long you have held the policy, and your reason for cancelling. Your legal position: the policy document you received at purchase is your contract, and AIG must honour the cancellation and refund terms written in it. Tocancel recommends you read your policy document closely before contacting AIG, because the cancellation clause will spell out your exact position.

The financial services complaints authority as your escalation path

If AIG refuses to cancel your policy or denies a refund you believe you are owed, you have a free external dispute resolution pathway. The Financial Services Complaints Authority (FSCA) handles insurance complaints in New Zealand at no cost to you. AIG must acknowledge your complaint within 5 business days and provide a full response within 10 business days. If the company does not resolve the matter within two months, you can escalate to the FSCA, which has the power to order refunds and compensation. As a result, keeping records of every email, call and written confirmation is essential, because these are your evidence if escalation becomes necessary.

How to cancel your AIG policy step by step

Cancellation is straightforward if you follow the right channel and document everything as you go. Below is the process Tocancel recommends for all cancellations with AIG in New Zealand.

Gather your policy details and purchase confirmation

1. Locate your policy number and purchase confirmation email
   • Open your email inbox and search for "AIG" or "Travel Activate" to find your policy documents.
   • Write down your policy number, purchase date and the amount paid.
   • Note the policy start and end dates so you understand your coverage period.
2. Find your cancellation clause in the policy document
   • Search the policy PDF for words like "cancellation", "refund", "withdrawal" or "cooling-off".
   • Note any time limits, percentage deductions or conditions that apply to your refund.
   • Highlight the section so you can reference it in your cancellation letter.
3. Identify where you purchased the policy
   • Check whether you bought directly from AIG, through Travel Activate (Westpac), a travel broker, or another agent.
   • This matters because some channels have different cancellation processes or contact details.

Prepare your written cancellation request

AIG processes cancellations most reliably when you submit a formal, written request. Email is acceptable, but for a legal record, Tocancel recommends sending a cancellation letter by post to the address provided below, keeping a copy for your files.

1. Draft a clear cancellation email or letter
   • Start with "I wish to cancel my AIG travel insurance policy, effective immediately" (or state the date you want the cancellation to take effect).
   • Include your policy number, full name, date of birth, and contact details.
   • Reference your cancellation clause (e.g., "Section 4.2 of my policy permits cancellation within 30 days of purchase with a full refund").
   • State your reason for cancellation in one sentence (e.g., "My trip has been postponed due to [reason]").
   • Request a confirmation of cancellation and calculation of your refund within 5 business days.
   • Keep the tone professional and factual, not emotional or confrontational.
2. Choose your submission method
   • For speed, email your cancellation request to AIG's customer service address (if available on your policy or website).
   • For a legal record, send a registered or tracked letter to the postal address listed at the end of this guide.
   • If you purchased through Travel Activate, contact Westpac directly, as they may handle cancellations on AIG's behalf.
3. Submit your request and log the date
   • Record the date, time and method of submission (email sent at 2:15 PM, letter posted on 3 September 2024).
   • Take a screenshot or print a copy of any confirmation message.
   • Save the email or letter in a dedicated folder for your cancellation evidence.

Follow up if you don't receive a response

AIG is required to acknowledge your cancellation request within 5 business days. If you hear nothing, escalate.

1. Send a follow-up message after 5 business days
   • Email or write again, referencing your original submission date and policy number.
   • State clearly: "I have not received acknowledgement of my cancellation request dated [date]. Please confirm receipt and provide a timeline for processing."
   • Keep the tone firm but polite.
2. If still no response after 10 business days, contact the Financial Services Complaints Authority
   • Visit the FSCA website (fscauthority.org.nz) or call them to lodge a formal complaint.
   • Provide your policy number, cancellation request date and copies of all correspondence.
   • The FSCA will investigate AIG's failure to respond, which is a breach of the Fair Insurance Code.

Understanding your refund and timeline

Your refund depends on your policy terms, how quickly you cancel and any administrative fees AIG applies. This section explains what you can expect.

Refund eligibility and deductions

AIG's refund policy varies by product and timing. If you cancel within 14 days of purchase (the standard consumer cooling-off window in many sectors), you have the strongest case for a full refund. If you cancel after 14 days, AIG may deduct an administration fee or pro-rata the premium for days used. Your policy document will state the exact deduction formula. In practice, the earlier you cancel, the more money you recover. Tocancel recommends reviewing your policy's refund clause before contacting AIG, so you know your realistic entitlement and can challenge any deduction that seems unfair.

Processing timeline and payment method

Once AIG approves your cancellation, the company must process your refund within 10 to 20 business days, depending on the policy terms and whether you paid by credit card, debit card or bank transfer. The refund will be returned to your original payment method. Therefore, if you paid by credit card, you will see a credit appearing on your next statement rather than a bank transfer to your account. Keep a record of when the refund was promised and monitor your account to ensure it arrives on time. If the refund does not appear within the stated timeframe, contact AIG again with your cancellation confirmation number as evidence.

Common mistakes to avoid when cancelling

Many New Zealand consumers accidentally weaken their position by making avoidable errors. Learning what not to do protects your refund and saves you frustration.

Mistakes that delay or lose your refund

• Cancelling by phone without confirmation in writing. AIG staff may promise a refund over the phone, but without written confirmation, you have no proof if the company later denies it. Always follow up any phone call with an email summarizing the conversation, including the staff member's name and what they agreed to.
• Not referencing your policy's cancellation clause. When you cite the exact section of your policy that permits cancellation, AIG cannot argue the terms are unclear. Quote it in your cancellation letter so the company knows you have read the contract.
• Missing the cooling-off deadline. If your policy includes a time-limited cancellation window (e.g., 30 days from purchase), cancelling one day late may cost you a full refund. Check your policy's dates and cancel well before the deadline expires.
• Failing to keep copies of everything. If AIG loses your email or claims it never received your request, you have no evidence. Save every message, keep email confirmation numbers, and photograph any posted letters before sending them.
• Accepting a partial refund without challenge. If AIG deducts a fee you believe is unjustified (e.g., an admin charge higher than stated in the policy), reject it in writing and explain why. Do not accept the payment and then try to dispute it later; escalate before cashing the cheque.
• Not escalating to the FSCA when AIG refuses to respond. Your free escalation right exists to protect you. Use it if AIG stonewalls. Waiting months for a response is not necessary when the FSCA can intervene within weeks.

What to do after your AIG policy is cancelled

Once AIG confirms your cancellation, you have several important follow-up actions to protect yourself and ensure the process is complete.

Verify cancellation and monitor your refund

1. Request written cancellation confirmation from AIG
   • AIG should send you a cancellation confirmation letter or email stating the policy is closed, the cancellation date, and the refund amount and timeline.
   • If this does not arrive within 5 business days, request it explicitly in writing.
   • Save this confirmation permanently; you may need it as proof if a dispute arises later.
2. Monitor your bank account or credit card for the refund
   • Mark the promised refund date on your calendar.
   • Check your account daily from one week before the expected date onwards.
   • If the refund does not appear by the promised date, contact AIG immediately with your cancellation confirmation number.
3. Check that no further charges appear on your account
   • Continue monitoring your payment method for 2-3 billing cycles to ensure AIG does not attempt to charge you again.
   • If you spot a charge after cancellation, report it to AIG and your bank immediately.

Escalate if your refund does not arrive

If AIG misses the refund deadline, do not wait passively. Tocancel advises you to escalate to the FSCA if the company cannot justify the delay within 5 business days of the promised date. The FSCA can order AIG to pay the refund plus interest and compensation for your inconvenience. Keep all evidence: cancellation confirmation, refund promise date, screenshots of your account showing no refund received, and copies of your follow-up emails to AIG.

Contact details for cancelling your AIG policy

Use these official addresses and contacts to submit your cancellation request to AIG in New Zealand.

Postal address for formal cancellation correspondence

Send your cancellation letter by registered post (or tracked courier) to:

AIG
PO Box 1745
Auckland 1140
New Zealand

Include your policy number and full name on the envelope. Allow 3-5 business days for postal delivery, so AIG receives your request within 10 business days if possible. Tocancel recommends keeping the registered post receipt as proof of submission.

Escalation contact for unresolved complaints

If AIG does not respond or refuses your cancellation request, lodge a complaint with:

Financial Services Complaints Authority (FSCA)
Website: fscauthority.org.nz
Phone: 0800 347 257
Email: [email protected]

The FSCA investigation is free and can result in AIG being ordered to refund your money plus compensation. Your complaint must be made within 6 years of the disputed event, but the sooner you escalate, the sooner you get a result.

Quick reference checklist for cancelling AIG

Summary: your right to cancel AIG and recover your money

Cancelling your AIG travel insurance in New Zealand is your legal right, and the Fair Insurance Code ensures AIG must process your request fairly and within a set timeframe. You are not locked in; the terms in your policy document determine your refund eligibility and any deductions. By submitting a formal, written cancellation request that references your policy's cancellation clause, you create a legal record that protects you. If AIG delays, refuses, or applies unfair deductions, the Financial Services Complaints Authority is your free escalation tool.

Start today by gathering your policy details and drafting your cancellation letter. Submit it by registered post to the PO Box 1745 address or by email to ensure AIG cannot claim it was never received. Monitor your account for the refund, and escalate to the FSCA if the company misses its deadline or refuses to cancel. Tocancel has helped thousands of New Zealand consumers successfully cancel insurance policies and recover refunds by following this clear, rights-based approach. Your money is worth protecting, and your cancellation is your choice to make.