- Entry age is from age 16 to 64 (stand alone) or 69 (accelerated).
- You are covered for life (accelerated) or to age 70 (stand alone).
- Payable fortnightly, monthly, half-yearly or yearly.
- Premiums are fixed for one year at a time and will normally increase annually in line with age.
Level of cover
- The maximum stand-alone cover is $2 million. If you choose the accelerated benefit, the maximum cover is the level of your life insurance to a maximum of $2 million.
- You can ‘inflation proof’ your cover by increasing it each year in line with the CPI.
- For a stand-alone policy, you must survive for at least 14 days after suffering a trauma condition.
- Angioplasty, aorta surgery, cancer, cerebrovascular accident (stroke), myocardial infarction (heart attack), coronary artery bypass surgery and heart valve surgery are not covered if they occur within the first three months of the policy.
- If you buy this cover as stand-alone then the cover ends with the payment of the benefit (except in the case of angioplasty to 1 or 2 vessels or a partial payment under a diagnosis benefit).
- If you add this cover to a life insurance policy, you can select it as either an accelerated benefit or a stand alone benefit.
- If a claim is paid on an accelerated benefit, the claim amount will be deducted from the life cover of your policy.
- If a claim is paid on a stand alone benefit, the payment will not reduce the life cover under the policy.
Life Cover buy-back – accelerated benefit
Following the payment of an accelerated trauma benefit you have the opportunity to “buy-back” the Life Cover amount paid, one-third every year for three years, without having to provide any evidence of insurability. After three years you will have your original level of life cover. You will pay the premiums appropriate to the level of cover.
At no additional cost, all of your children (either by birth or legal adoption) aged between 2 and 18 years are covered for the lesser of $20,000 or 20% of the parent’s Trauma sum assured should they be diagnosed as having one of the Trauma conditions. The child must survive for a period of 14 days.
Financial planning benefit
If a benefit greater than $100,000 is paid, a further benefit of up to $2,000 may also be payable. We will reimburse the reasonable costs of a fully documented financial plan prepared by a qualified financial adviser.
You can increase your Trauma cover without further medical evidence by
- 25% of original cover up to $250,000 on marriage, birth or adoption of a child; or
- if you take out or increase a mortgage on your own home, the lesser of 50% of original cover, or the increase in the value of an existing mortgage or a new first mortgage, or $250,000
To ensure your benefit keeps pace with inflation, you can choose to have your policy cover increase each year in line with the Consumer Price Index, regardless of health. Each year we will advise the level of indexation, which you can choose to accept or decline. There is no limit on the number of times you decline this option. If you accept the indexation offer, premiums will be increased to reflect any adjustment.
Additional future insurability option
This option allows you to increase cover by up to 10% of the initial sum insured each year from the first anniversary on, for up to 10 years, so long as the insured has not ceased work due to total & permanent disablement. No further medical evidence will be required though financial evidence may be required. Conditions apply. This option requires the payment of an additional premium.
Life cover buy-back
Following the payment of an accelerated trauma benefit, you have the opportunity to buy back the life cover amount paid after one year without having to provide any health evidence. You will pay the premiums appropriate to the level of cover.
The buy back option may be available after six months for certain events.
This option requires an additional premium.
Waiver of premium
For an additional premium, any future premiums are waived during a period of disability. Following the occurrence and continuation of your disability, you will be paid your premiums until your disability stops.
Total and Permanent Disability extension
Provides financial protection against long-term disability, with a lump sum payment. “Own occupation” and “any occupation” definitions are available. An additional premium applies.
Trauma Cover reinstatement option
This option allows you to reinstate trauma cover (stand-alone or accelerated) 12 months after a trauma claim. The reinstated trauma cover is restricted to new conditions (i.e. you cannot claim twice for the same condition) and any pre-existing conditions will be excluded. Other conditions also apply. This option requires payment of an additional premium. A discount may apply on the reinstated cover.
Trauma Cover condition
|Accidentally acquired HIV
Adult onset diabete
Benign brain tumour
Cancer – refer to policy wording*
Cerebrovascular accident (stroke)*
Chronic liver failure
Chronic lung failure
Chronic renal (kidney) failure
Coronary artery bypass surgery*
Heart valve surgery*
Loss of independent existence
Loss of limbs and/or eyes
Loss of speech
Major head trauma
Major organ transplant
Motor neurone disease
Open heart surgery
Out of hospital cardiac arrest*
Primary pulmonary hypertension
Severe rheumatoid arthritis
Key costs of serious illness include:
- Medical treatment and hospitalisation
- Overseas travel or treatment
- Time off work with no income
- Early retirement from the workforce
- Mounting debts and mortgage repayments
- Supporting a business even though you can’t work
- A partner having to stay home to nurse you.
Interesting claims facts:
Recent claim statistics showed:
- 61 Critical Care claims totalling $3,603,813
- Reinsurance recoveries of $1,698,688
- The average claimant is aged 50. The youngest age 23 and the oldest 64.