UPDATED 4.15pm: The elderly woman who was rescued from her burning home last night has been discharged from hospital, her daughter has confirmed.
One of her two daughters told the Bay of Plenty Times that her mother had been discharged and would be living with her in the meantime until the family made further decisions.
The house had working smoke alarms and was insured, she said.
EARLIER 2.31pm: The elderly woman who was saved by a policeman pulling her out of her burning home has told of her electric blanket switch igniting in her hand, sparking the fire that nearly claimed her life.
The 77-year-old woman, who did not want to be named, said she wanted to thank Senior Constable Oldham for saving her life last night.
"He was just absolutely amazing. I could not have wished for anybody better. If I had passed out and nobody had been there I wouldn't be here now. He saved my life and it was my lucky day. I think God said we don't want her to leave just yet," she said.
The Papamoa woman also thanked friends and neighbours who had come to her assistance since the fire.
Reliving the event from Tauranga Hospital today, she said the speed of the fire had overwhelmed her.
"I was just turning the electric blanket off and I flicked the control and it ignited in my hand. I hurried into the bathroom and put a towel in some water to try and douse the flames but by the time I got back it had already spread too far. The whole bed was alight.
"I went to the bedroom window and saw the policeman coming over. I don't think he was on duty or anything he wasn't in his uniform. The smoke was getting thicker and next thing I was on my back overcome by it and must've passed out.
"That's the last I remember until I heard somebody saying: 'Here's the ambulance, we're taking you to hospital'."
The two police officers who rescued the woman were this afternoon praised by the New Zealand Police Commissioner Mike Bush.
Senior Constable Adrian Oldham was patrolling in Mount Maunganui last night when he saw a house engulfed in flames.
Constable Shane McCarthy arrived shortly after and helped Mr Oldham get the elderly woman to safety through the window.
Read more about the dramatic rescue here.