A neotype is designated for Otagia neozelanica (Chilton, 1897) and the new family Otagiidae is established for the monotypic genus Otagia. An assessment of the relationship of Otagiidae fam. nov. with the Haustorioidea families is provided. The Otagiidae fam. nov. share a close relationship with seven other haustorioid families Cheidae, Condukiidae, Ipanemidae, Platyischnopidae, Phoxocephalopsidae, Sinurothoidae and Zobrachoidae.