Travel Insurance New Zealand
New Zealand is a land of postcard-perfect scenery, Māori culture, and legendary adventure. Considering it's one of the most visited international destinations for Aussies, you're likely already familiar with the process of heading ‘across the ditch.’
But when it comes to choosing travel insurance, it never hurts to go over a quick checklist of things to keep in mind before you select a policy.
Do I need travel insurance for New Zealand?
A popular saying is that if you can’t afford travel insurance, you can’t afford to travel. While it might feel like you’re not going very far, there are still risks involved with heading overseas to New Zealand.
Unexpected situations - like flights being cancelled, bags being stolen, or medical emergencies - can happen anywhere.
Even though Australia has a Reciprocal Health Care Agreement with New Zealand, this mainly covers urgent medical treatment in the public system and doesn't cover everything (like medical evacuation or repatriation). Therefore, getting cover for any potential emergencies is always the safest bet.
What should my New Zealand travel insurance policy include?
While a basic policy covers things like medical treatment, it’s important to read the product disclosure statement (PDS) to see what is and isn't included. Here are the key inclusions to look for:
- Medical expenses. This is crucial. While the Reciprocal Health Care Agreement provides a safety net, travel insurance is designed to cover the gaps, such as ambulance fees, dental emergencies, or costs related to medical evacuation or repatriation if you need to be brought home.
- Flight delays and cancellations. A common occurrence and a real "buzzkill." If your plans are significantly delayed or cancelled, this can cover your out-of-pocket airline expenses.
- Loss or delayed arrival of luggage. If the airline loses your luggage or it gets stolen, your policy can cover the cost of replacement clothing and personal items.
- Personal liability. Accidents happen. If you find yourself in a situation where you’re legally responsible for injuring someone or damaging their property, personal liability cover is essential.
- Airline and accommodation provider default. This may cover you in the event that your airline or hotel provider goes bankrupt, helping to cover alternative travel or accommodation.
- Accidental death and permanent disability. This provides a benefit if the worst should happen and can cover costs like repatriation of your remains.
What about optional add-ons for specific activities?
If you’re not going on a typical holiday - for example, a snow trip, a cruise, or an adventure-filled road trip - your standard policy might not cover you. You may need to pay an extra premium to add cover for claims related to these kinds of activities. Always check the PDS before you participate.
FAQs about the Australian and New Zealand Governments’ Reciprocal Health Care Agreement (RHCA)
What medical costs aren't covered by the Reciprocal Health Care Agreement?
While the RHCA between Australia and New Zealand covers you for urgent care in a public hospital, you're on the hook for everything else, including ambulance rides, follow-up doctor visits and most dental work. Not to mention repatriation if you need to be flown back to Australia.
Do I still need travel insurance if I'm covered by the RHCA?
If you want to avoid nasty healthcare costs, then yes. The RHCA works well as a basic safety net, but it’s not full cover as we’ve discussed. Besides the gaps in medical cover, it also won't help you at all with flight cancellations, stolen gear, or getting you home in an emergency. That’s where insurance comes in.
FAQs about cover and exclusions for New Zealand
When is the best time to buy travel insurance for New Zealand?
The best time is right after you've paid for your flights or accommodation. That way, you're immediately covered for cancellation if something unexpected happens before you leave, like you get sick or there’s a massive earthquake in Christchurch. If you wait until after said events, your insurance won’t cover it.
How much does travel insurance for New Zealand cost?
This is almost like asking ‘how long is a piece of string’. The total cost hinges on a number of factors including your age, your destination, the duration of your trip, the level of cover you choose, any pre-existing conditions and more. The only way to know for sure - and to ensure you’re getting the best deal - is to compare a few quotes.
Am I covered for pre-existing medical conditions when travelling to New Zealand?
Most insurers have a list of pre-existing conditions they’ll cover automatically with no disclosure needed (think high cholesterol or mild asthma). They’ll also have a list of conditions they’ll cover but only after prior authorisation. And then there are those that they won’t cover at all (think organ transplants or terminal cancer). But the only way to know for sure is to check your PDS and discuss this with your insurer.
What should I do if I need to make a claim in New Zealand?
For any medical emergency, call your insurer’s 24/7 help line as soon as you’re safe and attended to. For everything else, make sure you keep records, receipts and any official reports to help support your claim when you get home.
FAQs about specific activities while in NZ
Does my travel insurance cover rental car excess?
If you’re planning a road trip around the South Island, rental car excess insurance should be on your radar. This is usually an optional add-on you’ll tack onto your standard travel insurance policy. It costs a bit extra, but it can be a lifesaver considering the often outrageous excesses rental car companies often charge. It’s designed to pay you back for that huge fee, meaning you won't be thousands out of pocket for a simple ding.
Do I need extra cover for skiing or bungee jumping?
Almost certainly. NZ is one of the adventure sport capitals of the world and with adventure comes risk. Activities like skiing, snowboarding and bungee jumping pose different levels of risk compared to basic sightseeing and are usually excluded from standard policies. To be covered for these, you’ll likely need to add a special add-on like snow travel insurance or an ‘adventure pack’, or go with a specialty insurer.
What about my expensive camera or laptop?
Most policies will cover basic gear like cameras and laptops but only up to a certain limit (say $750), and this limit can sometimes be lower than what your gear is worth. The good news is that for high-end gear, you can often get it listed separately as a ‘high value item’, for its actual value. This will increase your premium but will protect your precious R5 as you capture those stunning Milford Sound landscapes.
