Trauma Insurances

Trauma Insurance

Trauma insurance cover is something that you arrange for the protection of your financial situation, if you are diagnosed with a nasty traumatic health condition.

Trauma insurance anticipates that you are going to live through that health condition, and is designed to provide you with the funds to get through, without adding financial stress to the stress of your traumatic health situation.

The most common payments made for trauma insurance cover are for heart attack, cancer and stroke. Trauma insurance is also sometimes called Critical Care Insurance, Vital Care Insurance or Living Assurance.

With Trauma insurance, you select the sum that you want to be insured for,
and it will be paid out if you are diagnosed with that traumatic condition.

All trauma insurance policies are NOT created equal

Trauma insurance is a more complicated product than life insurance.

There is a wide difference between the quality of insurance cover. Some cheap policies only give you cover for five or six conditions. The better quality insurance covers can cover over 38 conditions.
In addition, the actual wording of the policy is different between each insurance company. So there may well be a difference as to how sick you actually have to be before your trauma insurance policy will pay out.

It is important to make sure that you are getting the best value for your money, which is where our analysis and research will assist you.

How much trauma insurance cover do I need?

This will depend on your personal situation. But the amount of cover that you should have will depend on a range of things, including:
  • Other insurance cover that you have in place (eg income protection insurance)
  • The amount of debt that you have
  • Whether there are two incomes in the family

How do we help you with your Trauma Insurance?

After talking with you, we research all the options available to you, to find the trauma insurance that is most suitable for you. This takes into account your criteria, whether that is best quality cover, or best cost cover for your needs.

We then assist you to get that insurance cover in place with the least possible hassle to you.
After the insurance is in place, we will keep in touch with you, to answer any queries that you have about your insurance cover. If you have a claim, we are here to assist you with that process, to reduce the stress on you.

How do we help you with your Trauma Insurance?

After talking with you, we research all the options available to you, to find the trauma insurance that is most suitable for you. This takes into account your criteria, whether that is best quality cover, or best cost cover for your needs.

We then assist you to get that insurance cover in place with the least possible hassle to you.
After the insurance is in place, we will keep in touch with you, to answer any queries that you have about your insurance cover. If you have a claim, we are here to assist you with that process, to reduce the stress on you.

What do I need to be aware of with my trauma insurance?

Your trauma insurance policy will only pay out when you suffer a trauma if:

  • Your premiums are paid and up to date.
  • You have disclosed everything relevant at the time that you apply for the trauma insurance cover.
  • You are past the stand down period for some conditions on your policy. This is often 3 or 6 months, and usually applies to things like cancer, stroke, heart attack (so that you don’t apply to put the cover in place because you think there is something wrong with you.)
  • There are two types of trauma insurance cover – Accelerated – which is part of the life insurance, and if it is paid out, your life insurance cover reduces in value by the amount paid out, and Stand Alone, which is separate to your life insurance cover.

Trauma Insurance Case Studies

Moneyworks have had a number of clients who have successfully claimed on their trauma insurance cover, and recovered from their illness and gone on to have happy and healthy lives. A number have commented on how the trauma insurance payment has reduced the stress while they were dealing with their ill-health. Some of the actual payments that our clients have received are:

SexApproximate AgeConditionApproximate Amount
Female42Breast Cancer$195,000
Female   46Breast Cancer$260,000
Female52Pancreatic Cancer$180,000
Male38Cancer$190,000
Male48Motor Neurone Disease$58,000
Male52Prostate Cancer$85,000
Male63Parkinsons Disease$66,000
Female37Cancer$300,000+

Lost’ Australian Super – first steps to change legislation so that this can be transferred to a New Zealand KiwiSaver (thanks to Chapman Tripp)

Australian ‘unclaimed super’ money gap to be plugged (10th June 2020 – Brief Counsel) The Taxation (Annual Rates for 2020/21, Feasibility Expenditure, and Remedial Matters) Bill, introduced toRead more

Changes to KiwiSaver this year

There have been a number of changes to KiwiSaver this year.  Some of these changes took effect on 1 April 2020: · All members aged 65 years or over can make a retirement withdrawal ·Read more

Things you may not know about KiwiSaver

1.    Get regular withdrawals from your KiwiSaver to fund your retirement spending When you reach the age of eligibility for New Zealand Superannuation (currently 65), you can access yourRead more

What does the ‘KiwiSaver Retirement Projection’ on your KiwiSaver Statement mean?

If you are aged between 18 & 64, from this year, you will receive some more information on your annual KiwiSaver Statement.  This ‘Retirement Projection’ information is a legislativeRead more

It really isn’t possible to ‘time’ the markets – investors with $1.4 billion in KiwiSaver funds learned this in March

When we meet with our Membership Fee clients on an annual basis, we consider the risk profile that their investments are invested in.  As your life changes, this may change.  We encourage our nonRead more

Coronavirus world, economic outlook and investments

This is a newsletter that was sent out on Monday May 11th 2020, to Moneyworks Financial Planning and Investment Clients that we work with on an ongoing basis.  It has quite a lot of interestingRead more

FIF/FDR Tax Regime on Overseas Investments

If you are liable to this tax regime (Your adviser will have told you, and your tax report will have a section with calculations on it as shown below), it is IMPORTANT that you read this guidance.Read more

PIE Tax

Your KiwiSaver and some other investments may be liable to PIE Tax. A PIE is a Portfolio Investment Entity. PIE Tax calculations are quite complicated – the important thing that you need to know isRead more

Tax Adjustments/Package available for indviduals and businesses under the Covid-19 Crisis Environment

The NZ Government has been using the tax system to provide assistance to people and businesses to deal with the Covid-19 Lockdown.  We have outlined the benefits announced to date below. There is aRead more

Questions about your KiwiSaver and Insurance under the Covid-19 environment?

Insurance policies All of the insurers that we work with and that our clients have insurance in place with (Life, Trauma, Income Protection/Mortgage Repayment and Health/Medical insurance) haveRead more

It is time in the market - NOT timing the market - the role of Finology in investing

It is tempting to stop making regular investments into markets when there is volatility and you hear the media pronouncing that the markets have 'crashed', 'plummeted', 'plunged', or even when theyRead more

Investment Markets and Recent Fluctuations

You will have heard comments in the media recently that the stock-markets have ‘had their worst day since the Global Financial Crisis in 2008’.  You may have noticed that your KiwiSaver andRead more
 

This product has been added to your cart

CHECKOUT