Mental Health Awareness – Does Income Protection Insurance Cover Mental Illness? | Protection Solutions

Mental Health Awareness – Does Income Protection Insurance Cover Mental Illness?

Mental Health Awareness – Does Income Protection Insurance Cover Mental Illness?

September 24th, 2020

2020 hasn’t been easy, so looking after our wellbeing is more important than ever. We wanted to play our part to help raise awareness by discussing what insurance covers can help those who suffer from mental illness. Income protection and permanent disability policies are usually where the best levels of support for mental illness can be found.

Sometimes you need to take some time off for yourself, having the right income protection cover in place can allow you to afford to take time off if you suffer from anxiety or depression.

Even if you have no personal history of mental health issues, they can affect anyone at any time. Over 700,000 New Zealand adults have been diagnosed with either depression or anxiety at some time in their lives. Seeking treatment is a big part of the road to recovery of a mental illness, but does your insurance cover that?

What is Income protection?

Income protection insurance in New Zealand is an insurance policy that replaces some of your income if you are unable to work due to serious illness or injury. Most policies provide you with a monthly payment up to 75% of your total income to keep your lifestyle going during recovery.

How will I know if my insurance covers mental health?

Your best chance of being covered for a mental illness is to take out insurance before you ever suffer from one. However even if you have experienced a mild condition in the past, you may be able to obtain adequate levels of cover. The most important thing is to be open and honest with your adviser and mention any history you may have with a mental illness. Some providers may decide that they are happy to cover you anyway. By giving your adviser all the information, they can find you the best possible cover.

If you want help finding the best cover please contact us to have a chat. We would love to help. If anyone is suffering from a mental illness there is help available, click here to find some resources and a contact number if you need someone to talk to during this time.