Income Protection Insurance

Here you can find answers to the most common questions we’re asked about our Income Protection.

For anything else, call us on 13 77 87 or download the Income Protection Insurance Combined Product Disclosure Statement (PDS) and Financial Services Guide (FSG).

• What is the difference between Rate Saver and Time Saver?

  Rate Saver is available for those who are happy to answer some health and lifestyle questions in return for more great features, including a higher cover amount, shorter Waiting Periods and longer Benefit Periods.

  
  Time Saver is generally available for those who aren't eligible for Rate Saver due to their health, lifestyle or occupation. It is usually a fast and easy application process. Conditions and exclusions apply including Pre-Existing Medical Conditions and Dangerous Occupations and Pastimes. See the Product Disclosure Statement for full details of what’s not covered.
  

  
  

• If I make a claim, how much will I get?

  Your monthly payouts are based upon either your cover amount (that you have applied for successfully), or 85% of your pre-claim monthly income – we’ll pay you whatever amount is lower.
  
  Generally, we calculate monthly income as a before-tax average over the last 12 months before you became sick or injured. If you’re self-employed, we’ll deduct business expenses to calculate this amount.
  
  We’ll also reduce your payouts if you receive other income while you’re not working – for example, a payout from another Income Protection policy, workers’ compensation or social security. If this extra income plus your cover payments add up to more than 85% of your pre-claim monthly income, we’ll reduce your payouts proportionally.
  
  Remember that while your premiums are tax-deductible, your monthly payouts are assessable for tax. 
  

  
  

• When would my payouts start?

  Once your claim has been approved, and after the waiting period has finished, we pay Income Protection payouts one month in arrears. So if your waiting period is 28 days, and you become eligible to claim on 1st September, you’ll see out your waiting period, and receive your payment at the end of October – all claims are paid at the end of the first claimable month. After this, you’ll receive your payout at the end of each month, until your payout period runs out or you’re able to return to work. For Rate Saver, you can choose a waiting period of 14, 28, 60 or 90 days for Sickness or Injury claims. For our Time Saver Cover there is a fixed 28 day waiting period.

• For how long will I get payouts?

  Once your claim has been approved, and after the waiting period has finished, we pay income protection payouts one month in arrears. So if your waiting period is 28 days, and you become eligible to claim on 1st September, you’ll see out your waiting period, and receive your payment at the end of October – all claims are paid at the end of the first claimable month. After this, you’ll receive your payout at the end of each month, until your payout period runs out or you’re able to return to work. 
  
  Benefit payments will continue until the payout period you’ve chosen runs out, or you’re able to return to work. With Rate Saver, you can choose a payout period of 6 months, 12 months, 24 months or 5 years. Time Saver cover offers benefit payout periods of 6, 12 & 24 months only.

  
  

• What’s not covered?

  As with all insurance policies, there are some things that are excluded. Both Rate Saver and Time Saver exclude:

  • Mental health disorders, including anxiety disorders, depression and stress, disorders related to fatigue, drug or alcohol abuse.
  • Disorders related to fatigue.
  • Drug and alcohol related Sickness or Injury.
  • Cancer, stroke or heart attack in the first six months after your cover starts.
  • Normal and uncomplicated pregnancy.
  • War and terrorism.
  • Any intentional self-inflicted act, including exposing yourself to risk of sickness or injury for any reason.
  • Committing, or attempting to commit, a criminal offence.
  • We may also apply other specific exclusions to your policy. These will be agreed with you when you take out your policy.

   

  Under the Time Saver Option, there are additional exclusions for sickness or injuries caused by:

  • A known or pre-existing medical condition.
  • Aviation: If your Sickness or Injury is related to being involved in any form of aviation apart from being a paying passenger on a commercial flight.
  • A dangerous occupation or pastime.
  • Football related injuries that result in you being off work or unable to perform your usual duties for less than 90 days.
  • Back injuries that result in you being off work or unable to perform your usual duties for less than 90 days.

  
  

  If you were not able to, or only partially able to, perform your regular daily activities before you started your policy, a benefit may not be payable.

  Involuntary Unemployment, Kids Injury and Permanent Disability Cover also have specific cover terms and exclusions.

  For more details about what isn’t covered, see the Combined Product Disclosure Statement (PDS) & Financial Services Guide (FSG).

  
  

  Involuntary Unemployment Cover 

  If you take out optional Involuntary Unemployment Cover, please be aware that you’re not covered where you became aware of, or you were notified of, redundancy within the 6 months immediately following the start of your cover. Also, you’re not covered if your Involuntary Unemployment is a result of any of the following:

  • Sickness or injury.
  • Voluntary redundancy or resignation, or abandonment of employment, retirement or early retirement.
  • Unemployment as a result of circumstances known to you, or where an employer has announced to the public or publicised in mainstream media, prior to the Cover Commencement Date, an intention to reduce staff numbers by way of redundancies.
  • An employer terminating the Life Insured’s employment during a probationary period.
  • Being personally insolvent or under any form of personal insolvency administration, including bankruptcy, due to personal debts.
  • Your business being unable to pay its debts, or you or your business being served with any document to commence proceedings or process for you or your business to be placed in any form of insolvency administration for business-related debts, at any time prior to or within the first six months from your Cover Commencement Date.
  • The end of employment in a family business controlled by you or an immediate family member.
  • Misconduct, dishonesty, or engaging in criminal activities, or illegal acts, or drug and/or alcohol abuse or intoxication.
  • Poor performance in carrying out your occupation including dismissal following formal disciplinary procedures.
  • Your refusal of any offer of reasonable alternative employment by your employer linked to your education training and experience.
  • Any strike or labour dispute or labour disturbance involving you or your employer.
  • The loss of, or not maintaining the currency of any licence, authorisation or permit required to operate the business, including the loss of a driver’s licence, trade or professional certification.
  • You cease work due to the seasonal, casual or temporary nature of employment, or a contract (including a fixed term contract), is terminated early or completed.
  • Involuntary Unemployment occurring outside Australia.
  • If you’re in jail or otherwise lawfully detained.
  • No Involuntary Unemployment Cover Benefit is payable if you’re not actively seeking work or are not registered with Centrelink or a Recruitment Agency approved by us to seek work.
  • For more details about what isn’t covered, see the Combined Product Disclosure Statement (PDS) & Financial Services Guide (FSG).
    
    

• What happens if I leave information out when I apply?

  You must give us the information we request when you apply for Income Protection, and answer all of our questions honestly and completely. That’s because if you do make a claim, we’ll need to check your medical, employment and financial records. If it turns out you didn’t reveal something important, we may have to refuse your claim.

• When does my cover end?

  As long as your premiums are paid when due, your Sickness, Injury and Permanent Disability cover will continue right up until the renewal date after you turn 75. On that date, your policy will end. Your Involuntary Unemployment Cover ends at age of 65 or earlier if cancelled. Kids Injury Cover ends when the insured child turns 18.

• Will my premiums go up?

  Premiums generally increase with age each year at the anniversary of your insurance, or if you increase cover. Unless otherwise requested, premiums also increase each year for the automatic adjustment for inflation (your level of cover will also increase by the same percentage).
  
  The underlying premium rates are not guaranteed, but once your Policy has started, you will never be singled out for a premium increase. Any increase will be applied to all policyholders to whom the same premium rate table applies, with 30 days written notice.

• If I cancel my policy, will I get a refund?

  When you take out Income Protection, we give you a 30 day money back guarantee - so if you cancel your policy in the first 30 days, we’ll give you a complete refund.

  After that, there are no refunds. Your policy simply gives you Income Protection Insurance cover - it is not a savings plan.

  
  

• What happens if I can’t pay my premiums?

  If you think there will be a problem with paying your premiums because your budget has run over that month or you're unsure you'll have the money, please give us a call on 1300 880 750 at least 3 business days before your payment is due and we can help you with an alternative payment arrangement.

• Who will I be dealing with during my claim?

  You will be given a dedicated Claims Manager whose details will be on the accompanying cover letter that we’ll send in the event of a claim. He or she will personally oversee your case and help you work through the details of your claim.

  
  You can contact your dedicated Claims Manager while you’re settling your claim. They will explain anything that is not covered here or talk through any concerns you might have.

  Want to know more about our Income Protection? Get a quote and apply online or call 13 77 87 today.