In the final, Taylor was lapped by Australia's gold medallist Emily Petricola, but the 33-year-old Para cyclist from Cambridge was rewarded thanks to a brilliant ride in qualification after she sliced more than six seconds from her national record, recording 3:42.137.
Taylor made a scintillating start in the gold medal race blasting out to a sizeable early lead and held a narrow advantage at 1000m. However, Petricola - the defending champion who had set a world record of 3:35.856 in the qualification - took control in the second kilometre. The Australian caught Taylor around 2500m to signal the end of the race but the Kiwi would not be denied a stunning silver medal.
Raised in Taupō and later boarding at St Peter's School in Cambridge, Taylor, as a non-disabled athlete, later took up a rowing scholarship at Oregon State University in the USA. Overcoming thyroid cancer during her time there, she went on to secure medals at the US national club championships as she carved out an impressive rowing CV.
While harbouring dreams of one day appearing as an Olympic rower, she overcame a hip labral tear in 2015 that required surgery and eight months rehab, followed closely by a severe disc prolapse which compressed the spinal cord in 2016. Taylor underwent emergency decompression disc surgery for an acute presentation of Cauda Equina Ssyndrome - which has caused neurological weakness below the point of injury.
Taylor made her Paralympic debut at the Tokyo 2020 Paralympic Games, and despite dealing with a medical issue she claimed fifth in the women's C4 3000m individual pursuit and eighth in the C4 500m time trial.
Facing her health challenges since Tokyo 2020 Taylor said: "To even come back for a second Paralympic Games (is amazing) but then to podium, I am overjoyed. It is unreal, like living a dream.
"The game plan was to give everything I have to get in the gold medal race, and it was a huge PB. I am glad it worked out that way.
"I am just grateful that all the work I have put in has paid off because that is not always the case. I am glad everything held together. My family being here means everything to me. They've supported me regardless, been my champion through some tough and dark times.
"It is very hard to pick yourself back up after you get knocked down many times, although sometimes that is what is life is all about. Just being part of the New Zealand Paralympic team, I am part of something bigger than any hardware I have got today."
Day 2 results
In other results from day two of the Paralympics, New Zealand flagbearer and Para swimmer Cameron Leslie came seventh in the men's S4 100m freestyle.
Gabriella Smith came seventh in the women's SB9 100m breaststroke final.
In Para shooting, Michael Johnson came fifth in the final of the R4 mixed 10m air rifle standing SH2.
