nib health insurance has recorded the lowest customer satisfaction rating of any service provider in any sector monitored by Consumer NZ, scoring a net satisfaction result of just +1 in the consumer watchdog’s 2026 Yeah, Nah Awards, released on October 20, 2026.
The net satisfaction score measures the percentage of satisfied customers minus dissatisfied customers. For comparison, Southern Cross, New Zealand’s largest health insurer, scored +69 in the same survey, and AA Insurance scored +71.
More than a third of nib’s surveyed customers reported experiencing a problem with the insurer over the past three years. Among the specific complaints: 61% were unhappy with nib’s pricing, and 52% said they did not feel they were getting value for money, according to Consumer NZ.
Consumer NZ’s survey found that nib’s Ultimate Health Max premium rose 36% between 2023 and 2025, the largest increase among the providers it reviewed. UniMed was next at 32%.
Consumer NZ chief executive Jon Duffy said the result set nib apart from every other provider the organisation tracks. “We found that even the businesses with the unhappiest customers in other sectors scored significantly higher than nib health insurance,” Duffy said.
The next-lowest score across all sectors came from Chubb/ANZ life insurance at +27, still 26 points above nib. “With satisfaction this low, we prescribe nib a healthy dose of customer-service training, along with a check-up of its pricing,” Duffy said.
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nib’s 2026 interim report, covering the half year to December 31, 2025, showed policyholders declined 3.2% over the prior 12 months. The company’s own Net Promoter Score fell from +27 to +2 during the same period.
Insurance revenue rose 11.1% to NZ$217.4 million, driven by repricing to address claims inflation of 17%. The New Zealand arm returned to a NZ$3.9 million operating profit after posting a NZ$10.1 million loss in the prior corresponding period.
The figures suggest nib has addressed its financial position through premium increases, but the satisfaction data indicates those increases are costing the insurer customers.
The findings arrive as health insurance faces rising complaints across the sector. The Insurance and Financial Services Ombudsman (IFSO) Scheme completed a record 833 dispute investigations in the year to June 30, 2026, up 46% on the prior year. Health insurance disputes rose 91%, overtaking house and motor vehicle cover as the largest complaint category. The most common issues were scope of cover and policy exclusions.
Read more: Health insurance becomes NZ’s largest source of insurance disputes
For brokers, the pattern creates both a retention challenge and an advice opportunity. Financial Services Council (FSC) research shows 9% of health insurance holders cancelled their cover last year, up from 7% in 2022. Clients who cancel and later seek to rejoin may face fresh underwriting, with conditions developed during the gap potentially excluded.
The Financial Markets Authority (FMA), which became New Zealand’s single financial conduct regulator on July 1, 2026, has named complaints handling as one of three insurer priorities in its 2026/27 Financial Conduct Report.
Westpac received a similar Consumer NZ award in 2024 after its life insurance product recorded a net satisfaction score of –3. The score improved to +31 the following year and then to +34.
“Westpac pledged to make improvements, and I am pleased to say that its customer satisfaction score has improved significantly,” Duffy said.
The 37-point turnaround shows dissatisfied policyholders can be won back, though nib’s combination of declining policyholder numbers, a near-zero NPS, and the steepest premium increases in the market makes its recovery path more complex.
