Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 


Personal Insurance Claims Maintain Support for Kiwis

Personal Insurance Claims Maintain Support for New Zealanders


The amount paid out in claims by the personal insurance industry (life and income protection insurance) in the year ending June 2014 was $1,096,617,000 maintaining the support the industry provides to New Zealanders.

FSC Chief Executive Peter Neilson today released the industry statistics for the year to 30 June 2014, noting that claim payments for individual income replacement benefits had increased by 3.6% to $107,325,000 for the year and payments for trauma benefits had increased 2.6% to $134,291,000.

In the same period claims made on the death of policyholders covered by individual term policies fell back by 2.8 % to $410,700,000 while death & disablement, replacement income and trauma claims under group policies increased by a total of almost 1% (0.8%) to $20,416,000.

Payments made on trauma policies are now the largest category of claim by a significant margin. Trauma benefits have been welcomed by policyholders as a way of gaining security and protecting their families in the event that they are diagnosed with a serious ailment, such as stroke, cancer or heart attack.

These policies, also known as critical care benefits (and previously as “dread disease”) pay a benefit upon diagnosis which allows the policyholder to take time out of the workforce during treatment and recovery.

In the 5 years to 30 June 2014 the number of individual trauma benefits in force has increased 43% to 623,629 and annual premium income from trauma benefits has increased 75%, an indication that their value is recognised.

Income replacement policies also remain popular with 530,931 individual benefits in force as at 30 June 2014, an increase of 28% over the past 5 years.

These benefits cover the greatest area of vulnerability for New Zealand families as most New Zealand two income families would be ineligible for a sickness benefit if they were off work for an extended period, because of the family income test. Many New Zealanders don’t realise that they are two times more likely to be unable to work for six months or more following a major health problem compared with being off work for six months following an accident covered by ACC.

The FSC Quarterly statistics are available on the FSC website www.fsc.org.nz .

ends

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Gordon Campbell: On Tiwai Point (And Saying “No” In Greece)

Its hard to see how Rio Tinto’s one month delay in announcing its intentions about the Tiwai Point aluminium smelter is a good sign for (a) the jobs of the workers affected or (b) for the New Zealand taxpayer. More>>

ALSO:

Half Empty: Dairy Product Prices Extend Slide To Six-Year Low

Dairy product prices continued their slide, paced by whole milk power, in the latest GlobalDairyTrade auction, weakening to the lowest level in six years. More>>

ALSO:

Copper Broadband: Regulator Set To Keep Chorus Pricing Largely Unchanged

The Commerce Commission looks likely to settle on a price close to its original decision on what telecommunications network operator Chorus can charge its customers, though it probably won’t backdate any update. More>>

ALSO:

Lower Levy For Safer Cars: ACC Backtracks On Safety Assessments

Dog and Lemon: “The ACC has based the entire levy system on a set of badly flawed data from Monash University. This Monash data is riddled with errors and false assumptions; that’s the real reason for the multiple mistakes in setting ACC levies.” More>>

ALSO:

Fast Track: TPP Negotiations Set To Accelerate, Groser Says

Negotiations for the Trans-Pacific Partnership will accelerate in July, with New Zealand officials working to stitch up a deal by the month's end, according to Trade Minister Tim Groser. More>>

ALSO:

Floods: Initial Assessment Of Economic Impact

Authorities around the region have compiled an initial impact assessment for the Ministry of Civil Defence, putting the estimated cost of flood recovery at around $120 million... this early estimate includes social, built, and economic costs to business, but doesn’t include costs to the rural sector. More>>

ALSO:

Get More From Scoop

 
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news