Change of caregiver
To get Orphan's Benefit or Unsupported Child's Benefit the caregiver must be an eligible caregiver.
If the child goes to stay with someone else, MSD needs to establish if the caregiver is still an eligible caregiver, or if the change is an additional care arrangement.
Additional care arrangement
If the change in the caregiver is temporary, for example, school holidays or a short stay in hospital, the Orphan's Benefit or Unsupported Child's Benefit can continue to be paid to the caregiver, provided contact and support of the child is maintained and the caregiver continues to be the principal caregiver or principal temporary caregiver.
Change in care arrangements
If the change of caregiver is long term, and the caregiver no longer meets the definition of principal caregiver or principal temporary caregiver, the benefit should stop.
The new caregiver should be invited to apply for Orphan's Benefit or Unsupported Child's Benefit in their own right.
Note if a caregiver is a principal caregiver (i.e. expected to care for the child for at least 12 months) and the child leaves the caregiver's care before the year, do not take any action to establish a debt. If there is any evidence to suggest that the principal caregiver intended to deliberately defraud MSD, refer the case to your local Fraud Investigation unit for further investigation.
Date of review
Generally, when a dependent child leaves the caregiver's care Orphan's Benefit or Unsupported Child's Benefit, and Clothing Allowance for the child should stop from the start of the pay period following the date of event.
However, there is discretion to continue payment for up to 28 days following the event to allow for a period of financial adjustment, generally to avoid hardship for the client.
Mandatory Reviews
Generally, caregivers getting Orphan's Benefit or Unsupported Child's Benefit must respond to the Mandatory Review before their review date or their payments will suspend.
If a child no longer qualifies, but the Orphan's Benefit or Unsupported Child's Benefit will continue at a different rate because a caregiver gets this payment for more than one child, the caregiver may be able to get an extension if they need more time to respond to the Mandatory Review.
If the caregiver is unable to respond to the review (even if they had more time) based on their individual circumstances, they may qualify for an exemption.
Generally, when the Mandatory Review is only for Orphan's Benefit or Unsupported Child's Benefit and the benefit will stop at the end of the continuation period, and the review is due, an exemption will apply.
The caregiver must contact MSD before their review date to discuss their situation if they need an extension or exemption.
Child turns 18
Generally, caregivers getting Orphan's Benefit or Unsupported Child's Benefit must respond to their notice before the child's 18th birthday or Orphan's Benefit or Unsupported Child's Benefit for the child will stop.
If Orphan's Benefit or Unsupported Child's Benefit is continuing for up to 28 days because a child no longer qualifies, and that child turns 18 during that period, the caregiver is not required to respond to the notice and Orphan's Benefit or Unsupported Child's Benefit will not stop during that period.
However, if Orphan's Benefit or Unsupported Child's Benefit is continuing for up to 28 days because a child no longer qualifies, and a different child in their care (that Orphan's Benefit or Unsupported Child's Benefit is also paid for) turns 18, the caregiver must respond to the notice or Orphan's Benefit or Unsupported Child's Benefit for the 18-year-old will stop.
Care and protection concerns
If MSD believes any child has been, or is likely to be harmed (physically, emotionally or sexually), ill-treated, abused, neglected, deprived or MSD has concerns about the wellbeing of the child, the case must be referred to Oranga Tamariki.
For more information see:
- Eligible caregiver
- Additional care arrangements
- New caregiver applies for benefit
- When an extension or exemption can be given
- Core policy Child turns 18
- Core policy Care and protection concerns for a child or young person
For Unsupported Child's Benefit only, also see:
Legislation
- Other specified provisions not limited section 310M Social Security Act 2018
- If child ceases to be entitled to orphan's benefit or unsupported child's benefit section 329 Social Security Act 2018
- exception (definition) section 103A Social Security Act 2018
