There are a number of ways to insure babies and children. Let us start at the beginning, pregnancy and conception.
In New Zealand currently, assistance with conception is limited to what is publicly funded. Private medical insurance does not cover conception issues; it can cover some pregnancy issues though.
What can you have covered once you are pregnant?
The public system is well equipped for dealing with pregnancy. It is unlikely you will need additional assistance that requires funding if you have a normal pregnancy.
If you do have complications with your pregnancy, then there are provisions under most medical insurance policies specialists and tests benefits to assist with private specialist costs. What you do need to consider are the finer points of the policy, this is where your adviser comes in.
What do I mean by this? Some policies have provisions to pay for pregnancy complications after birth; others will only pay if there is no public hospital admission. These things need to be considered for policy suitability for you.
Baby is here, now what?
You have got through conception and pregnancy and you have this beautiful bundle of joy, and more than a few sleepless nights. The last thing you are going to want to discuss is insurance. That is ok, you have a little bit of time.
What you are going to want to do is add your new baby to your existing medical insurance policy; normally you have 90 days to get this done. Some insurers are going to want proof, like a birth certificate, others will be ok with a declaration from you the parents.
Why do this within 90 days?
This is the grace period where you can add baby without providing any medical statements. What you do need to keep in mind is any medical condition baby is born with or develops in the first 90 days is considered congenital. Congenital conditions are usually excluded from baby's medical insurance cover.
If baby has ‘congenital’ issues then why bother?
True anything in the first 90 days may be excluded, anything that develops after that if baby has coverage, should be covered. If you leave it you may find baby has more exclusions once you have to complete a medical statement.
What is it going to cost?
Typically for full hospitalisation and specialist & diagnostic testing cover, it will cost $20-30 per month per child. Depending on the provider, you will have to pay for each child or up to two children and the third to tenth can be free.
What other cover can I get for my baby?
Most life cover has some consideration for the accidental death of a child, though not at significant levels and it rarely is claimed.
What is worth having a good look at is having baby and your other children covered for major traumatic conditions, trauma or critical illness cover.
Where this gets tricky is with the cover and provider you already have.
With trauma cover for children, the insurance companies will cover traumatic conditions from age 4 months to 4 years through to age 18 to 21 years, dependent on the insurer and their age bands for this benefit.
Some insurers have children's cover built in, some you have to ask for it. Generally, the insurers you have to ask for it you will have to pay an additional premium and some will require a medical statement for the child/children being added.
What is the right answer for you and your family?
This is a great question and one where involving an adviser to review your situation and advise on the most suitable cover is the best approach.
Get in touch with us to have a chat about your needs.
The information is only intended to be of a general nature and should not be relied upon in any part without obtaining full details of the products and services by contacting Willowgrove Consulting Limited. All product and service details, terms, conditions and other information are subject to change at anytime without notice. Terms, conditions and fees apply to the various products and services and are available on request. A disclosure document will be provided to you on request free of charge.