Public vs. private healthcare in New Zealand
New Zealand’s two-tiered healthcare system is the envy of many countries around the world due to its ability to ensure that its citizens have access to medical care regardless of their income or social status. Because of this offering, many New Zealanders opt to go through the public health system to get medical treatment, which is absolutely fair enough if funds are tight.
What many don’t realise, however, is that private healthcare has more than a few benefits that are worth paying extra for, especially when treatment is urgently required. Although comprehensive health insurance isn’t an option for those who are finding it tough, perhaps a balance of the two could be the way to go.
Let’s explore both public and private healthcare options to see how they might work in harmony for your situation.
Treatment options and specialist access
Public healthcare
While the public healthcare system has an accessible range of primary healthcare and emergency services that are funded through taxation, not all specialist treatments are funded. This means that if you need to see a specialist for a particular medical condition, you’ll need to pay more than you might be able to afford.
Even if there is a funded specialist treatment option, you don’t have a lot of control when it comes to choosing who your specialist is or where and when you get treated. This may mean rearranging your life around an appointment date that may be months in the future.
Private healthcare
Private healthcare, however, puts the control back in your hands. In most cases, you can see any specialist you like and choose an appointment that works for your schedule–one that might be as soon as next week. This is important, as the sooner you receive the treatment you need, the better it is for your overall quality of life and your recovery time.
Although private health insurance is more expensive, it might just be worth it when it comes to accessing a wider variety of specialist treatments so you can get back to work faster.
Wait times
Public healthcare
It’s no secret that New Zealand’s public healthcare system has particularly long wait times–and not just in emergency departments. As we mentioned above, because of the limited number of specialists and treatments available, you may have to wait months and months for an appointment, all while you’re dealing with the reality of your condition.
Of course, if time isn’t an issue for you and you’re happy to wait longer to receive funded healthcare, then this might be absolutely fine.
Private healthcare
Private healthcare offers a wider range of specialists and treatments, which means virtually no wait times when it comes to getting the medication or surgical procedure you need. This helps you recover faster and get back to doing what you love sooner.
Unfortunately, sometimes the longer you wait for the treatment you need, the more time your body has to develop other symptoms in response to your condition or worsen the condition itself. You might be fine to go about your everyday life while you wait, but behind the scenes, you could be making it worse for your body.
Available medicines
Public healthcare
Many medicines in New Zealand are subsidised or funded by the government to help reduce costs. Medsafe approves the medications for use, and Pharmac then decides which medications will be funded in the public health system based on need, health benefit, cost, and suitability.
It’s fantastic that we have such an affordable option available in New Zealand, but issues arise when you need a treatment that isn’t funded or there’s a caveat involved that means the medication is funded but not for your condition.
Private healthcare
With private healthcare, you’re not held to ransom by Pharmac. You have greater access to medications that aren’t funded because some health suppliers include generous cover for non-Pharmac approved medications (don’t worry, our advisers can highlight the differences in covers). This means you have access to the right treatment when you need it, and it also means that if one treatment isn’t working for you, you have the option to move to another more suitable treatment without worrying about the cost.
Finding the balance
Times are tough, and finding the extra money for a health insurance premium can be tricky. But if you consider the amount you’ll need to pay should you develop a health condition that isn’t funded and your premium amount pales in comparison.
As we mentioned, not everyone can afford comprehensive health insurance, but perhaps a mix of public and private is the way to go. Take a look at your budget and figure out where you would struggle to find money if you were to develop an illness or health condition.
Perhaps you’re okay with relying on ACC for accidents, and you can afford to pay for GP visits, but you want cover to help you if you were diagnosed with an illness like cancer.
Healthcare doesn’t need to be one way or the other, and the public and private healthcare systems can work harmoniously to offer a good solution if money is tight. However, it’s important to note that while public and private cover can work together, it usually means you’ll have a higher excess to keep the premium down.
If you want to take a look at how you might be able to find a good balance of both, book a free review with our trusted financial advice team today–we’ll even throw in a $100 voucher towards your first premium!
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