This guide aims to help you understand the importance of regularly reviewing your cover so, no matter what changes in your life, your insurance keeps up.
When it comes to insurance – in particular, personal insurance – the classic 'she'll be right' attitude sometimes leaves us Kiwis lacking. We seem to be great at looking out for our homes, our contents and our cars. But when it comes to insuring ourselves, a lot of us don't have sufficient or the right type of cover for our needs.
The good news is that as someone who has taken the sensible decision to
protect yourself and your family, you are enjoying valuable peace of mind that should the unexpected happen, you have a plan B in place - a great place to be!
Because they are currently fit and healthy many people question the value of their insurance as "it won’t happen to them".
However, AIA's claims statistics show that illness, disability or death can happen to anyone, at anytime.
From January 2018 to December 2018, ASB life and health insurance policies have paid more than $51 million in claims1 - that's over 3700 customers who know first hand the value of their insurance.
That's why it's so important to get covered and then regularly check that it continues to be the right cover for both you and your family.
Source: 1 and 2 AIA ASB claims data 2018
Many people think that this kind of insurance only matters when you buy a house or start a family. However, the ability to support yourself financially is important at any life stage, particularly if a serious illness or disability suddenly prevented you from working. Whilst having health insurance could mean you don’t have to worry about paying your hospital and treatment bills, it still won’t cover any of your living expenses.
ACC provides treatment and rehabilitation services for anyone who suffers an injury as the result of an accident. Eligible cases can apply for 80% income compensation. However, it doesn’t cover you for anything that ACC doesn’t consider to be an accident, in particular; illness.
If you’re not covered by ACC for loss of earnings while you are recovering or are unable to work, you could struggle to pay your day-to-day bills – unless you’re insured.
Having health insurance is really valuable; it provides peace of mind and protection for costs associated with diagnosis, treatment and surgery. But it won’t cover the everyday costs like rent, petrol and groceries while you recover. With insurances like income protection, if you are covered you don’t have to worry about how you’ll pay for your everyday expenses – so you can just focus on getting better.
It’s important to make sure you have the right type and level of insurance that suits your needs. Some people only have life cover – but what happens if they get sick? How will they pay their bills while they are recovering, or if they’re unable to work again?
Unfortunately, many people don’t realise they’re underinsured until it’s too late.
To work out the type and level of insurance cover you currently need, it’s best to sit down with an expert – like one of our ASB Insurance Managers. But as a starting point, you should take stock of your current debts – things like mortgages, credit cards or personal debt. Then beyond that, work out how much you and your family need, in order to continue the lifestyle you have.
When things change – make sure your insurance does too. Life moves on, babies are born, houses are bought, children move away – the cover you had a year ago, might not be what you need now.
Your cover needs may increase or decrease over time. Plus, the type of cover you need may also change. So make sure you review what you need with an ASB Insurance Manager on a regular basis.
Changing circumstances can also put pressure on you financially. Whilst it is at these times that insurance is often needed most, financial pressures can make you question whether you can afford to continue your insurance.
Due to medical underwriting, cancelling your policy might result in you struggling to find new cover or get the same cover, if you have experienced recent medical conditions – it's therefore an important decision.
The good news is that there are many options available to help you maintain your policy and ensure it remains affordable for you.
Simply call us on 0800 200 252 and one of our specialists will be able to help you find a solutions that's right for you.
We'll help with your insurance query.
Simply call us on 0800 200 252. Whatever your query, we are here to help.
Find your local ASB Insurance Manager and arrange an appointment.
Visit us at one of our many branches across New Zealand.
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The availability of insurance cover is subject to your application being approved. All applications are subject to individual consideration. Special conditions, exclusions or premium loadings may apply. An excess may apply for health insurance policies. For full details refer to the Policy Document which is available on request from any ASB branch. ASB life, health and disability insurance is underwritten by AIA New Zealand Limited ("AIA").