Image Credit: LifeCovered NZ
Hospital and treatment fees can cost your whole life’s savings if you become seriously ill. Fortunately, you can avoid that risk by insuring yourself with some trauma insurance in NZ.
Trauma policies cover specific illnesses and have their own benefits and limitations. However, comparing them can take a lot of work.
Not to worry, as we will walk you through the basics of picking trauma insurance. This will make it easier for you to decide one one from our list of great insurance policies, which will follow.
What to Know About Trauma Insurance
Trauma insurance pays a lump sum if the insured has a severe disease or injury. The money is then used to cover the treatment, medical bills, and other expenses of that person.
You pay a lot in premiums for a policy. That’s why it’s essential to pick the right policy so you can not only get back to health, but also get your money’s worth.
Are you ready to start? Below are some helpful tips that you have to consider before buying a trauma insurance policy:
1. Cover Level
Cover level pertains to the amount you’re going to be covered for should you ever need the insurance. The higher it is, the more benefits you can have, which might come in handy should you become unable to work due to sickness.
Since premiums and benefits vary among insurers, it’s helpful to use a comparison tool like comparenow.co.nz to have an idea about which policy is the most suitable for you.
Also, you can choose your trauma cover to either be a standalone or accelerated benefit. The accelerated benefit combines your income cover with your life cover in place.
You will also encounter options like yearly renewable and level premiums.
Yearly renewable premiums are fixed for a year, which then increases with your age. Level premiums remain the same throughout the life of your policy.
With level premiums, it will be more expense in the outset, but you’ll accumulate savings in the long run.
3. Defined Conditions
Now comes the important part: the medical conditions that the policy covers. Insurance policies usually have 40 or more illnesses covered.
You have to make sure that it includes the major ones like heart attack, stroke, and cancer, as well as any other particular condition you think you might get.
Otherwise, your policy would have been a waste of money — you’d get sick and not receive any compensation for it in any way.
Each policy has a broad range of built-in and optional benefits that will have additional costs.
Since you get only one claim per policy, you may find the trauma reinstatement benefit useful. This ‘buys back’ your policy and allows you to make additional claims, for instance, if you‘re injured and can’t work.
You should aim to include the benefits that you need, even some optional ones. So you have peace of mind should the worst happen.
On the whole, we suggest talking to your adviser to tailor-make your policy for you, based on your needs and budget.
5. Terms & Conditions
Before you buy a policy, you have to understand the T&Cs so you know where you are covered and where you aren’t.
Your adviser can help you understand the terms of each benefit, as well as the criteria of each specified condition, so you are well aware of what you can claim when the need arises.
Trauma Insurance in NZ
Having gone through the fundamentals, you’re now ready to see our list. So, without any further ado, here are trauma insurance in NZ!
1) AIA Trauma Insurance
For Trauma Cover for Multiple Claims
Protecting yourself or your children in the event of a severe illness or injury? Well, AIA Trauma Insurance provides a lump sum payment in your time of need.
They offer AIA Living Critical Conditions, covering 49 defined conditions. Another is the AIA Living Progressive Care policy, which allows you to make multiple claims if you have a severe injury or sickness.
Both insurance policies have built-in trauma insurance for children. They also protect you if you have been afflicted by an illness not listed in the policy wording.
And with worldwide cover, you are protected throughout the policy’s term, wherever you may be — whether you’re at home or abroad.
As for value, you can get discounts if you’ve purchased two or more policies from AIA. In addition, you can earn exciting Airpoints Dollars as you pay your premiums.
- AIA Living Progressive Care allows you to make multiple claims on a severe illness or injury
- Covers you for over 40 defined conditions
- Protects you if you a suffer a major medical condition not listed in the policy wording
- You can earn Airpoints on eligible policies
- Includes a built-in trauma insurance for children
- Offers a multi-benefit discount
- More expensive premiums than most
As is more or less true of just about every policy, the policyholders are divided when it comes to AIA Insurance’s claims. There are some who say that they never received their payouts, yet it was different for these customers:
Here’s the feedback of Melissa M:
“Awesome company. Will definitely look after you at claim time and always has their customers best interests at heart. Location is very convenient. Customer car park available not far from cafe and food court nearby.”
Also, Urmila said:
“Don’t have to wait for your claim very long. Claims are done within 24 hours. Very nice and friendly staffs who know their work well.”
2) Cigna Trauma Insurance
For Trauma Insurance for Accelerated Benefit
The Cigna Trauma Insurance policy provides comprehensive cover for serious illnesses and conditions available to anyone from ages 16 to 70.
The Trauma Cover can be independent or accelerated against the Life Cover. The second option means that the payment you receive from your trauma cover claim will be deducted from the cover amount of your Life Cover.
For your premiums, you can pay in instalments or in full, whatever is more convenient to you. The maximum cover amount of Trauma Cover is $2,000,000.
They have a reliable range of benefits, including support person and transfer, financial and legal advice, diagnosis benefit, and a complimentary children’s benefit.
You are also insured from a full range of health conditions, from Alzheimer’s to terminal illness, and optional ones like full and permanent disablement.
- Can be a standalone or accelerated with Life Cover
- Comprehensive cover
- Full or partial payment terms available
- Good list of optional benefits
- Delayed response and communication reported by some clients
3) Asteron Life Trauma Insurance
For Trauma Insurance for Benefits
Phone bills, medical expenses, mortgages, and credit card payments… It can be overwhelming to settle them while you or a family member is suffering from illness.
However, you can be proactive and do something about it. You can insure yourself against trials and tribulations by buying Asteron Life’s Trauma Insurance.
The trauma policy covers 46 medical events, conditions, and surgical procedures. Including potentially life-threatening ones like cancer, stroke, and heart attack.
Asteron Life will even help you pay for financial planning so that your family can wisely use the money received. Also, they can handle the costs for professional grief support after a loved one has gone.
They have several nice optional benefits too, which includes Life Cover buy-back, trauma reinstatement cover, kids cover, and premiums cover.
The premiums cover means that they will pay your premiums if you can’t work for more than 10 hours each week due to an illness or injury. A lot of people will find that especially attractive.
- Bespoke trauma insurance
- A third-party adviser can provide you with customised advice
- Covers 46 medical events, conditions, and surgical procedures
- Early stage cancer cover
- Financial planning cover
- Also includes grief support
- Great claims process
- Reports of inconsistent customer service
4) Fidelity Life Trauma Insurance
Most Affordable Trauma Insurance
If you’re looking for affordable trauma cover, then Fidelity Life Trauma Insurance is a great choice!
It pays you a sum that covers the lofty treatments, hospital fees, and care costs. With your finances taken care of, you’ll be able to focus completely on getting better.
Your trauma cover can be purchased as a standalone or accelerated benefit, meaning it can be added to your life cover policy. The latter covers you for life with no age limit.
Aside from that, you have to choose between yearly renewable or level premium payment.
- Covers treatment and medical expenses
- Wide range of defined conditions covered
- Choose between a standalone or accelerated benefit that covers you for life
- Select between yearly renewable or level premiums payments
- Also offers Trauma Multi-Cover
- The claim process is a bit difficult
5) Partners Life Trauma Insurance
For Trauma Insurance for Claim Process
Tailored to your individual risks and needs, Partners Life’s trauma cover is another of our selections for trauma insurance in NZ.
With this one, you’ll receive a sum of money if you’ve been diagnosed with or suffer from a worrying illness. You can use this to cover your finances for recovery and everyday expenses.
Partners Life takes pride in their reputation of making claims easy for clients too. They are said to be unlike others that hoard premiums and ignore claims.
Their trauma and severe trauma cover can be ‘mixed and matched’ with the products they offer, such as their life cover or total and partial disability cover.
To top it off, you get more affordable premiums when you take out a policy with Partners Life, as compared to other insurance companies.
- Affordable premiums
- Delivers a policy that provides individual protection
- Strives to help Kiwis when they make a claim
- Can be mixed and matched to their other offerings
- Unreliable customer service
The reviews are mixed, with some people saying the Partners Life staff had poor communication and merely took the premiums paid by them.
However, some felt otherwise. For instance, this one client had a great experience, the opposite of what critics were saying:
“Great company. Fast service and replies relating to my claims, no matter how large or small they are! Thank you for caring PL!”
Furthermore, another client named Andre S. wrote:
“A great company with great products that are designed to pay out much better at claimtime.”
And that’s all for our list of trauma insurance in NZ. If you’re insured with these products, then you have nothing to worry about with regard to trauma costs.
Has everything been clear so far? If you have any questions or reactions, you can just leave us a comment below, and we’ll get back to you in a bit.
Also, you may want to check out financial advisors in Auckland. This is so you or a family member can optimise the payment that you’ve received for your cover.