A global pandemic is new territory for all of us! In these uncertain times, the Insurance Specialists Ltd team is committed to supporting our customers as best we can. We understand that Coronavirus (COVID-19) has created uncertainty, and are continuing to assess potential options to help our most-impacted customers.

In the meantime, we have come up with answers to the most common questions we are being asked right now. We hope the following will help you to understand your insurance as it pertains to COVID-19; our thoughts are with all of our valued customers as they navigate this period.

Many questions have related to life & general insurances, including policies with Asteron, AMP Life, AMP General, Fidelity, and AIA.

Is COVID-19 covered by my life insurance policy?

Life insurances include life, trauma, total permanent, and income protection. These policies cover customers for death or disability resulting from injury or illness.

If either were to happen as a result of COVID-19, it would be covered by your life insurance policy and we would treat the matter as we would any other illness. The claim assessment process would be no different. We would check that you met specific claim criteria under the relevant cover and take into account any special terms and conditions which apply to your individual policy.

Can I claim on my income protection insurance policy for COVID-19?

Income protection covers customers when they are unable to work due to sickness or injury. If you were to contract COVID-19 and that infection resulted in you being unable to work beyond your policy’s agreed wait period, we would consider your claim.

If you were in quarantine but hadn’t actually contracted COVID-19, you would not be considered disabled. This means there’s no income protection claim to consider.

Is COVID-19 one of the specified conditions covered under trauma insurance?

Infection with COVID-19, on its own, is not covered by our trauma policies. However, it’s possible complications of the illness could lead to a trauma event that would be covered. This might include time in intensive care, a coma, or chronic lung failure. In those cases, we would check you met claim criteria under the relevant cover and take into account any special terms and conditions which apply to your individual policy

Other common questions relating to business & domestic insurance.

Does my business interruption cover respond to COVID-19 loss of income?

Business interruption covers loss of turnover following an accidental physical event (like a fire, flood or earthquake) which causes damage to a business’s premises and means it is unable to operate as usual.

This physical event must also be covered under their material damage (stock/contents) portion of the policy.

Contagious diseases like COVID-19 are not covered by insurers under a business interruption policy. The virus is not a physical event, meaning there has been no physical loss which led to the reduction in turnover.

Expired WOFs or driver licences

We want our customers to be able to access essential insurance services over the next four weeks. If their WOF expires during the lockdown period, this alone would not impact the outcome of any claim they may have to make. Their motor insurance will still be in place and effective, as long as there aren’t any existing safety issues that would mean they would not get a WOF – like tyres needing to be replaced. They will also be covered if they have an accident, as long as the accident isn’t a result of an existing safety issue.

A customer’s driver’s licence expiring during the lockdown period will also not have an impact on the outcome of any claim they make if their vehicle were to be involved in an accident.

Vero recommends that customers renew their WOF or driver’s licence as soon as practically possible when the lock down period ends.

Reduced cover option for Personal Motor customers

Those with a personal motor policy also have the option to reduce their cover to Fire and Theft if their vehicle will be in a locked garage and will not be used at all during the lockdown period. This gives the customer a 50% reduction in premium while the vehicle is parked in the locked garage and subject to reduced cover. This may not be an appropriate option for customers who still need to use their vehicles during the lockdown period and customers need to advise when they would like the cover to be changed back.

Voluntary excess:

Depending on your needs, we can look at higher voluntary excesses which will usually reduce premiums. The excess can be reduced again when your situation changes. The voluntary excess amount varies depending upon your policy.

We know that the current crisis may also leave people struggling to keep up with bills. If you have been financially affected by COVID-19 and are experiencing financial hardship, please call us on 09 984 2861 or email info@insurancespecialists.co.nz. We can discuss options to help you maintain your cover through this difficult period.

We are, of course, also happy to chat and review your existing insurance outside of COVID-19 concerns. Drop us a line anytime!

Just in need of some distraction?

Here are our insurance specialists’ top Netflix picks for the lockdown period.

Hayden – The Irishman

In the 1950s, truck driver Frank Sheeran gets involved with Russell Bufalino and his Pennsylvania crime family. As Sheeran climbs the ranks to become a top hitman, he also goes to work for Jimmy Hoffa—a powerful Teamster tied to organised crime.

Ashlee – Ozark

This drama series stars Jason Bateman as Marty Byrde, a financial planner who relocates his family from Chicago to a summer resort community in the Ozarks. With wife Wendy and their two kids in tow, Marty is on the move after a money-laundering scheme forced him to pay off a substantial debt to a Mexican drug lord in order to keep his family safe. While the Byrdes' fate hangs in the balance, the dire circumstances force the fractured family to reconnect.

Louise – The Crown

This series chronicles the life of Queen Elizabeth II from the 1940s to modern times. It begins with an inside look at the early reign of the queen, who ascended the throne at age 25 after the death of her father King George VI. As the decades pass, personal intrigues, romances, and political rivalries are revealed that played a big role in events that shaped the later years of the 20th century.

Happy watching!

“The greatest glory in living lies not in never falling but in rising every time we fall.”

– Nelson Mandela

That’s all for now. Until next time…

Kind regards

The Insurance Specialists Team

Autumn 2020 Issue