News Video | Policy | GPs | Hospitals | Medical | Mental Health | Welfare | Search


$40 Million Backlog In Health Insurance Claims

9 January 2002

Healthcare providers and policy holders are currently out of pocket by an estimated $40 million dollars as a backlog of unprocessed claims continues to grow at Southern Cross Healthcare, New Zealand’s major health insurer.

Commenting on this today, the New Zealand Private Hospitals Association says that Southern Cross management published an open letter last month citing problems to do with the transition to a new computer system that were causing delays of four to six weeks in claims processing.

NZPHA Executive Director, Lesley Clarke, says that unfortunately things have not improved - surgical claims now taking seven weeks to process while medical claims are up to a six week turn around.

“This is creating a major cash flow issue for hospitals and yet Southern Cross is unwilling to take any steps to alleviate the situation. About 70% of people with private health insurance are Southern Cross members, therefore they account for a very large proportion of all private hospital admissions. With millions of dollars outstanding, hospitals and other providers are finding it impossible to continue to carry the increasing level of debt.”

Ms Clarke says that she expects some hospitals may have no choice but to step up their debt recovery procedures and review payment policies. “Of course we appreciate that many people would find it difficult to pay ‘up front’ while they wait for Southern Cross to process their claims, but on top of other financial pressures there is only so much leeway hospitals can give.”


© Scoop Media

Culture Headlines | Health Headlines | Education Headlines


Howard Davis: Dennis Villeneuve’s Dune - A Brief History

So many elements of Herbert’s novel have since become tropes of popular SciFi that Villeneuve’s film sometimes seems deceptively derivative. What makes all this nonsense essential viewing is his astonishing visual sensibility. More>>

Howard Davis: The French Dispatch - Wes Anderson's New Yorker Tribute

Very few contemporary American film directors can claim to have earned the title of auteur, but for sheer visual invention and cinematic joie de vivre, there is no more consistent director working in Hollywood today than Wes Anderson. More>>

Howard Davis: Jill Trevelyan's Rita Angus

Although Angus has become one of Aotearoa’s best-loved painters, the story of her life remained little known and poorly understood before Jill Trevelyan's acclaimed and revelatory biography, which won the Non Fiction Award at the Montana New Zealand Book Awards in 2009, and has now been republished by Te Papa press. More>>



  • Wellington
  • Christchurch
  • Auckland