The short answer
There are two distinct concepts. A waiting period (health, trauma) is a period after your policy starts during which certain benefits are not yet available. A stand-down or wait period (income protection) is how long you must be unable to work before payments begin — and you choose it, because it is the biggest lever on your premium.
Last reviewed 2026-07-30
Health insurance waiting periods
| Benefit | Typical wait |
|---|---|
| Accidents and sudden illness | Usually covered immediately |
| Pregnancy complications (where covered at all) | ~12 months |
| Normal pregnancy and childbirth | Usually excluded entirely — publicly funded in NZ |
| Dental and optical extras | 2 – 6 months |
| Wellness benefits | Often short or none |
| Pre-existing conditions | 12 months to 4 years, or permanently excluded |
Indicative ranges from published NZ insurer material, July 2026. Individual policies vary.
Trauma cover
Most trauma policies apply an initial exclusion period — commonly around 90 days — for cancer, and often for heart and stroke conditions. The purpose is to stop people buying cover after symptoms have appeared but before diagnosis is confirmed. It means trauma cover taken out today does not protect you against a cancer diagnosed next month.
Another reason the "I'll sort it later" instinct is expensive.
Life cover
Life insurance generally has no waiting period for accidental or natural death once the policy is in force. The standard exception is suicide within the first 13 months of cover, or of an increase in cover, which is excluded on most New Zealand policies.
Income protection: the stand-down you choose
This is the different one, because it is a setting rather than a restriction. Options typically run 4, 8, 13, 26, 52 or 104 weeks. It is how long you must be unable to work before the benefit starts paying — and every step longer cuts the premium.
A stand-down is not a restriction. It is the price lever you control.
The payment gap people miss
Income protection benefits are usually paid in arrears. So a 13-week stand-down does not mean money arrives at week 13 — it means the first payment covers the period after week 13 and lands a month later. In practice the first money can be closer to four months out. Plan the household cashflow on that basis rather than on the stand-down number alone.
What is covered from day one
- Life cover — from the policy start (suicide exclusion aside).
- Health cover — accidents and new sudden illness, on most policies.
- Income protection — the cover is in force immediately; it is the payment that waits.
- Trauma — most conditions, with the initial exclusion applying mainly to cancer, heart and stroke.
Common follow-up questions
If I get sick during the waiting period, am I covered later?
Generally no — a condition that arises during a waiting period is usually treated as pre-existing from that point on, and excluded going forward. This is why waiting periods matter more than they look: they do not merely delay cover, they can remove it permanently for that condition.
Can I shorten a waiting period by paying more?
On income protection, yes — that is exactly what choosing a shorter stand-down does. On health and trauma the initial waiting periods are structural and generally not purchasable away, because their purpose is to prevent claiming on something you already knew about.
Do waiting periods restart if I increase my cover?
Usually for the increased portion only. Increase your trauma cover from $100,000 to $200,000 and the new $100,000 typically carries a fresh initial exclusion period while the original amount continues unaffected. The same principle applies to the 13-month suicide exclusion on life cover increases.
Keep reading
This page is general information about how insurance works in New Zealand. It is not regulated financial advice and it does not take your situation into account. For advice about your own cover, talk to a licensed financial adviser.