Blog 2: New Zealand health/disease

In a February 2011 article from the UK newspaper The Telegraph, journalist Peter Pallot gives a detailed overview of the many sides of New Zealand’s healthcare system.  He covers the structure of the system, how the system affects tourists, lawsuits and healthcare in the tiny country, and gaining entry into the New Zealand healthcare system.  In the end, the country’s system ends up as a two-class structure: one for native New Zealanders and those ruled eligible for state-funded healthcare, and another for everyone else. Non-citizens in the country on work visas, citizens covered by state-funded health care but frustrated with long waits to get care, and ex-patriots from the UK hoping to make their new home in New Zealand should purchase private health insurance.

     The structure of New Zealand’s healthcare system is a mix of public and private healthcare. The national healthcare system (public system) is funded by three sources:  taxpayers, donors, and a country-wide accident tax. Permanent residents are treated at quality local hospitals free of charge, but they must pay for visits to a general practitioner and for all medications. These visits and medications are partially subsidized for permanent residents, and completely subsidized for permanent residents with community health services cards and high-user health cards.

     Tourists visiting the country are not eligible to use the country’s public healthcare system for free.  Tourists should have their own private insurance with coverage for traveling abroad, or expect to pay for care at the time it is given. The only exception is for tourists from the United Kingdom.  The UK and New Zealand have a reciprocal agreement to be covered for healthcare services when visiting in one another’s countries.  Even so, New Zealand restricts how much healthcare will be given to British tourists: immediate and necessary treatment is covered.  In the article, Pallot explains that “Visits to a general practitioner, non-urgent or discretionary services, rehabilitation, and repatriation are not funded within the reciprocal agreement.” 

     An interesting area that is covered for permanent residents and all tourists involves any injury that happens as a result of an accident. This is the country-wide accident tax I mentioned earlier that is one of the three sources of funding for the national healthcare system.  If treatment is given as the result of an accident, the source of the accident is taxed.  The source could range from car owners to homeowners to employers or businesses.

     The country-wide accident tax really helps to limit the number of lawsuits filed in New Zealand.  The tax will pay the cost of the injured person’s medical care, so lawsuits are rarely filed.  Personal injury lawsuits are very hard to file in New Zealand.  There is some abuse of this tax when people with injuries from other sources claim their injuries are from an accident, but some of that is going to happen.

     It is not easy for outsiders to become permanent residents and eligible to benefit from New Zealand’s healthcare system or eligible to purchase private health insurance in New Zealand.  They must be in good health, have possessed a work permit in New Zealand for two years length, and not have any pre-existing conditions that will “burden the country’s healthcare system” or “limit a New Zealander’s access to health care.” These conditions include the following:  HIV, Hepatitis B and C, cardiac disease, cancer, transplants, osteoarthritis requiring a joint replacement, genetic disorders, and severe vision and hearing problems.  Obesity is not a problem, but a BMI (Body Mass Index) >35 would not be eligible.  Basically, they want to accept the healthiest people, and even if an unhealthy person can afford private health insurance in the country, they still might not be accepted since they would use up more of New Zealand’s health care resources.

      Pallot’s article exposes the fact that New Zealand intends to be very protective of its healthcare resources and keep them almost exclusively for the care of their permanent residents. Physicians, visa officers, and the immigration service work together to assess the health status of applicants. By being very strict in deciding which non-residents are eligible to participate in the health care system, the country practices selection of a patient population likely to achieve and maintain good health in exchange for citizenship.

Emily Crigger

New Zealand Healthcare

2/6/13

11:30pm

http://www.telegraph.co.uk/health/expathealth/8308330/Expat-guide-to-New-Zealand-health-care.html