2015-Oct 30: AMS alerts relating to debts with District Health Boards

Visa Pak 234 - Information about AMS alerts or information warning raised relating to debts with District Health Boards and relevant action taken when assessing an application.

Visa Paks

30 October 2015

AMS alerts relating to debts with District Health Boards

An agreed process exists whereby District Health Boards (DHBs) inform Compliance Risk and Intelligence Services (CRIS) when a mutual client who is not eligible for publically funded health services incurs a debt with a DHB for treatment and/or services provided.  CRIS then identify the mutual client in AMS and raise an appropriate information warning indicating the amount of the debt owed and to which DHB.

Immigration Officers deciding visa applications made subsequent to an applicant having incurred such a debt will be aware of the debt because of the warning in AMS. As there is nothing in instructions regarding repayment of debts to DHBs or other Crown Entities being required before a visa can be approved, it is unclear to officers of what action to take.

Temporary visa applicant undertaking re health care or medical assistance

The statement below is currently in the declaration section of all temporary visa application forms:
    “I agree that if I am not entitled to free health care in New Zealand, I will pay for any health care or medical assistance I may require in New Zealand”.

The statement above first appeared as follows: Student visa application – December 2006; Work visa application – July 2008; Visitor visa application – March 2008. 

Prior to that from September 2003 the statement read as follows: 
    “Residents and people holding work permits for a stay of two years or more (and their dependent children aged 17 years and under only) are eligible for publicly funded health and disability services. Other work permit holders, students, and visitor permit holders generally are not eligible. People covered by New Zealand’s Reciprocal Health Agreements with Australia and the United Kingdom are entitled to publicly funded health care for immediately necessary medical treatment only. I understand that if not entitled to free treatment, I will pay for any health care or medical assistance I or any person included in my application may require in New Zealand”

Immigration instructions provide that with the exception of Doctor of Philosophy (PhD) students or New Zealand Aid Programme-supported students, fee-paying foreign students must hold acceptable insurance as a condition of their visa.  The student visa application form therefore also contains the following: 
 
    “If I am granted a student visa with the condition that I hold acceptable insurance, I understand the requirements regarding insurance that I have agreed to at C20.”

Process where applicants have a debt with a DHB

Remind the applicant of the relevant undertaking they made above and request the applicant provide evidence the debt is repaid, or of the steps they are taking to repay the debt.  This should be conveyed as a request for further information rather than a PPI letter.  If officers are satisfied the debt has been repaid, or reasonable efforts are being made to repay it, then they should proceed with deciding the application.

If the applicant was a student visa holder when the debt was incurred and the debt has not been repaid this may be because their insurer did not cover the costs for the treatment, or services the student received from the DHB.  This could be because the treatment, or services, were for an existing condition that was not disclosed to the insurer causing their claim to be rejected meaning they are personally responsible for the debt.  It could also be because the student did not hold acceptable insurance as required as a condition of their student visa, meaning they are not only personally responsible for the debt, but breached their student visa conditions.  If applicable this should be taken into account when determining bona fides. 

In the event no response is received from the applicant about their DHB debt, or it’s clear no effort is being made to repay the debt at all, the application and circumstances should be referred to Operations Support for further guidance.

Please note that applicants who incur a debt with a DHB while holding a temporary entry class visa, remain liable for repayment of the debt even if they are subsequently granted a residence class visa.

Action

Please ensure that staff are aware of what to do when dealing with an application where the applicant has a DHB debt and follow the guidance above.