Creating A ‘Certain Future’

How long are we going to let the public health system fail us for?
Are you tired of the headlines: 
    “Surgery cancelled”
    “Lifesaving drugs unavailable.”
    “Life or death surgery wait”
    “More Doctors and Anesthetists resign”
While changes are unlikely to happen anytime soon, you need to consider the impact these very real headlines could have, if you or your family were impacted by the matters the headlines are referring to. 
What would happen to you or a member of your family if:You were sick and required a CT scan, Ultrasound, Xray or some other specialist review or test to determine what is wrong with you, so you can receive early (preventative) treatment?You needed a life-saving surgery?You needed to fund Keytruda or some other non-Pharmac drug or therapy for your recovery?You needed prolonged rehabilitation from a stroke or debilitating disease?With the state of our current medical system, using personal savings or borrowings is the only way many people confront these health challenges. For some, however, they have medical insurance. 

Kevin Seque has been advising clients on their insurance portfolios for over 40 years. Up until 5 years ago, he treated medical insurance as the ‘last contract to purchase’, as it was expensive and because we had such a good national healthcare service, it was the lowest risk purchase.  Unfortunately, that is no longer the case.
Kevin is now advising his clients: 
“I advise my clients what will happen within their insurance portfolio before a claim happens. I outline the shortfalls (if any) between the policy they own, and the one they should own, to prevent a financial disaster. I want to catch you at the top of the cliff before you fall”. 
Kevin is asking you to consider the two following scenarios….

What will happen if ….1.     You are diagnosed with a similar ailment as the lady reported in The Press on Saturday 1 April waiting for a life and death operation to have her lung removed. The cost of the surgery was not disclosed but I can only assume as that it is at least $30,000 plus.It is likely you can’t work, so there is an income loss to the household. If you do not have income protection insurance you will have to apply for a government benefit. These benefits are in most instances asset and income tested. If you receive in excess of $80 per week, any benefit will be reduced by 70 cents in the dollar. If your spouse is working this income comes into the test.If there is a mortgage or you are renting and do not have Rent and Mortgage Protection Insurance you will still have to pay the rent/mortgage or risk a mortgagee sale or being evicted.If you don’t have money then you will not be able to afford CT scans, Xrays, ultrasounds, and other expensive diagnostic tests to monitor your condition or access early preventative treatment.2.    If you or your spouse was a 31 year old mother with breast cancer and needed a round of Keytruda at a cost of $5,000 per month.Likely you can’t work so there is an income loss to the household. You have young children so on the days you are unwell you will need assistance looking after, picking up and dropping off, children from daycare, kindergarten or school. If you do not work, you will not have Income Protection Insurance so will likely have to resort to a Government benefit. These benefits are in most instances asset and income tested. If you receive in excess of $80 per week, any benefit will be reduced by 70 cents in the dollar. If the spouse is working this income is included in the test.If there is a mortgage or you are renting and do not have Rent and Mortgage Protection Insurance you will still have to pay the rent/mortgage or risk a mortgagee sale or be evicted.If you don’t have money then you will not be able to afford CT scans, X-rays, ultrasounds or any other expensive diagnostic tests to monitor your condition and implement early treatment programs to arrest further spread or complications.Because Keytruda is a non-Pharmac funded Medsafe approved drug you are ‘on your own’. You need to be able to fund this medication yourself. 
In both these instances, there is only one solution; having access to MONEY. 
The Alternatives Deplete your savings. If you don’t have any, then sell your assets, e.g. car, motorbike, caravan, boat.Get an extension to your mortgage. As your circumstances have changed, you may not now be an acceptable risk.  Access your Kiwisaver. You can’t if you are under 65. Even if you could, you just transfer one crisis to another. Getting well and then having a depleted accumulation/income in retirement.
The big question facing many of our clients is:  How do I fund medical insurance?
Kevin’s response………

“We are all working and living to create the best life possible for ourselves and our loved ones.

We have a 40 to 45 year employment shelf life, and then we can expect a further 20 to 25 years of retirement.

Our financial goal should be to achieve a freehold home and create sufficient wealth from 40 to 45 years of working and saving, to be able to fund 20 to 25 years of retirement.

However, if we do not have health, we cannot enjoy these retirement days. 

It won’t matter how much money you have, if you aren’t healthy enough to enjoy spending it.
  
Simply, your health is your real wealth.

So……without affecting your ability to generate your retirement accumulation account, you need to fund a medical insurance plan as part of your Kiwisaver/Superannuation allocation.

Your medical insurance plan is not part of your insurance program. It is part of your retirement and wealth program.”
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We can help you create a ‘Certain Future’