Seriously ill Kiwi traveller awarded $5000 payout after insurer found to have acted in bad faith

Detailed summary

A Kiwi traveller who became seriously ill overseas and needed a companion to fly home has been awarded $5000 compensation after her travel insurer’s actions “risked” her health…

A Kiwi traveller who became seriously ill overseas and needed a companion to fly home has been awarded $5000 compensation after her travel insurer’s actions “risked” her health “in order to reduce costs”.

Cara* was travelling in Bali when she fell ill and was unable to return to New Zealand as planned.

She was advised by two doctors that she would need a travel companion to be able to fly home and Air New Zealand’s medical team said she would need a nurse or doctor as a medical escort.

However, a representative on the insurer’s emergency service phone line told Cara she would not be covered for medical escort costs and said she was fit to travel without one.

Because Air New Zealand would not allow Cara to fly unless she had a medical escort, the insurer suggested she book with another airline without telling it about her medical conditions.

Cara had originally booked an Air New Zealand Economy Skycouch so she could lie flat, but was told by the insurer that business class with another airline was a suitable alternative and gave her details of a flight it could book.

The insurer said it would cover only her seat, not a travel companion’s.

Cara asked a friend, a former paramedic, to travel to Bali and help her get home. She booked a cheaper business-class flight for them both.

During the flight to Sydney, Cara had a medical emergency and was admitted to hospital on arrival. She then had to book new flights home to New Zealand for herself and her friend.

Opening of the article, excerpted from NZ Herald. To read the rest, open the article on the publisher's site.