Harness FAQ's

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Frequently Asked Questions

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Simply click on the sections below to view each FAQ category, and click on the headings in each category to expand out further subject information.

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Total & Permanent Disability Insurance.

Insurance to protect against disability.

As with all disability insurance products or benefits, the most critical aspect of TPD insurance policies is the definition of disability – what it means to be disabled (and qualify for a benefit). 

What it means to be totally and permanently disabled will be defined in the policy wording and may range from the inability to do your ‘own occupation’ (the most generous definition) to the ‘inability to perform activities of daily living’ (not generous and covers very serious disability only). Carefully checking the definition of disability in the policy wording and understanding its implications is essential and a tricky area we can help guide you through.

In New Zealand, most TPD products offer two options when it comes to the definition of disability – ‘Own Occupation’ and ’Any Occupation’.  Own occupation is more generous and therefore costs a bit more than ‘Any Occupation’.

Life Insurance

Insurance to protect against untimely death.

It’s very sad when a loved one passes away. Sometimes people pass away before they reach old age, before they stop working and possibly while they have young families. In cases like these, death can also cause very significant financial harm.

Aside from the direct expenses that come up when someone dies, like funeral expenses, very often the family forever loses all the future income that the deceased would have contributed to their family. Losing a mum or dad is terrible, but how will they pay the mortgage? Will they lose their home too?

While insurance can’t protect you against death, it can protect your family against the financial consequences of death and ensure they can stay in their home and pay the bills.

Trauma Insurance.

Insurance to protect against serious illness.

Trauma insurance (sometimes also called Critical Illness insurance).

Unfortunately, all of us can suffer a serious illness or severe injury.  Did you know that every day 74 New Zealanders are diagnosed for the first time with a serious cancer!  Aside from the medical consequences and treatment costs, suffering a serious medical condition, like cancer, heart attacks and loss of sight, for example, can have very significant financial costs. 

While insurance can’t protect you against the medical consequences of suffering a serious medical condition, it can help protect you and your family against the financial consequences that come with serious illness or injury.  We are fortunate in New Zealand to have access to some of the best trauma insurance products in the World.

Income Protection.

Your income is your biggest asset!

Ask most people and they will say their house is their biggest asset. In fact, your income-earning ability is probably a much bigger asset than your house, particularly if you are still some years from retirement. Most people don’t think twice about insuring their house, but relatively few people insure their income – does that make sense?

The inability to work due to sickness or accident can mean interruption to your income flow or even the total loss of all future income.  Incidentally, even a modest income of $80,000 PA is worth $2,4 million dollars over 30 years to a 35-year-old who can never work again (assuming a retirement at age 65) and this is not allowing for any future income increases!

Health Insurance.

Health care in New Zealand and why health insurance is important.

There are a few important players in the New Zealand health system:

Te Whatu Ora:
Health care in New Zealand is provided by the taxpayer funded public health system – Te Whatu Ora. If you need medical treatment the public health system will treat you and most people are not required to pay for it (some people in New Zealand on short term visas may not have access to public health services without cost).

Private Health Care:
You can also get medical treatment privately, but you will have to pay for it. Emergency care is usually not provided privately. Acute or emergency medical treatment is provided by public hospitals.

Is the Government department that approves medicines and treatments for use in New Zealand.

PHARMAC: Is the Government medicines funding agency. PHARMAC decides which medicines and treatments will be publicly funded and for which medical conditions. Recommended treatment which is not funded by PHARMAC must usually be paid for privately.

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