Lack of understanding around ACC worrying

Uninformed and underinsured. That’s how insurer Partners Life describes most New Zealanders in the wake of a survey revealing that 34% of respondents wrongly believe ACC will cover them for unexplained pain and illness.

The survey also shows 25% think ACC will cover them for time off work due to back pain, 24% believe they’ll be covered for a hernia and 18% for illnesses such as cancer.

In fact, ACC covers only accidental injury, meaning it won’t pay out for any sort of illnesses or unexplained pain. And few New Zealanders have the type of private insurance that will cover time off work should they be diagnosed with a serious illness. Only 13% of survey respondents have critical illness cover and 9% have income protection insurance.

Life cover was not top-of-mind for most respondents, either. Fifty-eight percent said they were not likely to buy life cover anytime soon, with the biggest barriers being cost (54%), a belief they were too young to need it (17%), thinking it was of no benefit (15%), not having any assets (13%) and the belief that ACC would pay out (9%).