Do you need private health insurance? A practical guide to making it work for your family

Choosing private health insurance for your whānau is an important step toward protecting their health and wellbeing, but it doesn’t need to be daunting! This guide breaks down the basics: what is health insurance, why do I need it, what it can cover, and how much does it cost? Plus, we’ll also look at nib’s options to support your family’s needs.

What is health insurance?

If you need treatment for a health issue, depending on what it is, you typically have two choices: using the public healthcare system, or using the private healthcare system.

The public healthcare system allows you to receive free or subsidised care and emergency treatment through public hospitals and medical providers. However, as demand within the public healthcare system continues to increase, you may have to wait to be treated. This can drive people to the private healthcare system – however this comes at a much higher price tag.

But there’s a third option. Private health insurance has been designed to complement the public health system, giving you the ability to fast track treatment and choose who, when, where and how you are treated.

Is it worth having health insurance?

You may be asking yourself ‘Why do I need private health insurance? I’m already healthy.’

For many, the main reason to have health insurance is peace of mind, knowing that if you or a loved one faces a serious health issue, you won’t also be burdened by financial stress or lengthy waits for treatment.

Imagine if you’re in a single-income household and the income earner becomes unwell and can’t work, would you be able to manage the bills and keep things going for your whānau? Private health insurance helps you get fast access to diagnosis, surgery and specialist care, so you’re not left waiting or worrying about how to afford treatment. It means you can focus on recovery, not red tape or long delays.

For added peace of mind, many also choose to pair their health insurance with life and living insurance. Life insurance pays a lump sum of money to your beneficiary if you pass away, or are diagnosed as terminally ill and are expected to die within the next 12 months, while living insurance provides payments to protect your family and finances if you’re faced with a serious diagnosis or illness.

What does health insurance cover?

Depending on the cover you choose, private health insurance can help cover you for the big things like seeing a specialist, surgery or cancer treatment, as well as everyday health needs like the dentist, GP and physio.

Most insurance providers have a range of plans, policies, and add-ons so you can tailor your cover to best suit you and your family’s needs.

nib's Everyday plans are designed to assist with routine healthcare costs, making it easier to stay proactive about your health. These plans can help cover:

● Dental treatments, including check-ups, fillings, braces and crowns

● GP visits and prescriptions

● New glasses and contact lenses

● Physiotherapy, chiropractic and osteopathy

● Acupuncture, traditional Chinese medicine and remedial massage

● Vaccinations

● Speech therapy

● Mental health consultations

nib's Hospital plans are designed to help cover significant health costs, providing fast access to private healthcare. These plans can assist with a range of situations, including but not limited to:

● Cancer treatment

● Major and minor surgeries, such as hip and knee replacements

● Specialist consultations

● Diagnostic investigations like MRI scans, X-rays and CT angiograms

● Extraction of impacted and unerupted teeth

How much does it cost?

The cost of health insurance depends on a few factors including the type of cover you choose, your age, health history, and the level of benefits you want.

At nib, our Everyday plans start from around $15* a week and our Hospital plans start from about $20* a week. You can also combine plans or add optional extras to suit your needs and budget.

To get an accurate idea, it’s best to get a quote online based on your personal details.

*As of July 2025. Includes 2% direct debit discount and is based on a 25 year old male, non-smoker with a $250 annual excess on Hospital cover

Supporting your health journey every step of the way

Today, many health insurers provide a range of additional services designed to help you stay well – going beyond traditional cover.

At nib, we are committed to being a true health partner and supporting your everyday health. We offer a range of tailored Health Management Programmes which aid eligible members with their recovery and management of various conditions. And to help you feel confident in your choices, we offer free educational resources on everything from mental wellbeing to understanding your treatment options.

We also make managing your cover simple. With the my nib app and online portal, you can make claims, check your policy, and track your benefits anytime, anywhere.

Because at nib, we’re not just here when things go wrong, we’re your health partner for the long run.