07.09.09 - AustralianSuper addresses underinsurance with significant improvements for members

Author: AustralianSuper

AustralianSuper has negotiated significant increases in the level of cover for death, disablement and income protection insurance for our members.

 

According to AustralianSuper CEO, Ian Silk, as Australia’s population ages, insurance adequacy is increasingly important. Industry experts tell us many people are inadequately or totally underinsured . ‘We wanted to address this issue.’

 

Following a rigorous tender process, TOWER has been appointed, ensuring significant increases in the level of cover for all insured members. The new arrangements include, but are not limited to, a range of significant improvements;

• Increase in death and disablement cover by 8%-31% for the same premium.
• Up to ten times more death and disablement cover under the Automatic Acceptance Levels (AALs) up to $1.5 million
• Halved waiting period for total and permanent disablement claims (from six months to three months)
• Reduced waiting period for income protection (from 90 days to 60 days with a choice of 30 days) both options at much cheaper rates
• Default cover includes a 2 year income protection benefit The new arrangements will come into effect early in 2010.

Details of the new arrangements and a special offer will be sent to members in the new year.