Insurance is designed to give you peace of mind – knowing that you and your family are protected when life doesn’t go as planned. Many Australians insure their home, their car, their health and even their pets, but we don’t always consider how we or our family might be impacted financially if we were to suffer a serious injury – or worse.
Most super funds offer different types of life insurance, and premiums are often cheaper as the super fund negotiates discounted bulk insurance rates for members. With insurance through super, you won’t have the admin that can come with managing separate policies and you won’t have to worry about out-of-pocket expenses as your premiums are deducted from your account balance.
Vision Super Saver members are entitled to default insurance cover if they meet eligibility criteria or opt in to cover, including these options:
- Income protection (IP)
You’ll receive a regular benefit of up to 75% of your income (plus up to 10% super contributions) if you’re temporarily unable to work due to illness or injury. This can continue to contribute to your retirement savings and help to fund your everyday living costs, like your mortgage, utility bills or car repayments, while you’re off work.
- Death
Death cover pays a lump sum to your dependants, estate or legal representative if you die or to you if you’re diagnosed with a terminal illness. This money can be used to help with ongoing living expenses, pay down debt, or in the case of terminal illness, pay for a funeral.
- Total permanent disability (TPD)
TPD is a one-off payment if you become totally and permanently disabled and are no longer able to work as a result. This can help protect you and your family’s lifestyle and provide funds to help with medical costs and ongoing care.
Default cover will start without individual underwriting and without you needing to provide us with any health information, but you’re free to apply to change the cover to suit your needs at any time.
All default cover provided by Vision Super is subject to a two-year Pre-existing Condition (PEC) exclusion. This means that no benefit will be paid if you are totally and permanently disabled, terminally ill or die as a direct or indirect result of a pre-existing medical condition in the first two years of your insurance cover.
Like you, your cover is flexible
As circumstances change, so do insurance needs. It’s important to regularly review your policies as the level of cover you got when your insurance started may not necessarily still meet your needs.
Here are some examples of key life events that might prompt you to change your cover:
- Getting married or divorced
- Starting or ending a de facto relationship
- Taking out a mortgage to buy or build your primary home
- A change in job or salary
- Having a baby or adopting a child
- The death of your spouse or de facto spouse.
The amount of insurance you have should suit your personal circumstances, offering peace of mind if you ever need to make a claim. Consider whether the level of cover you currently hold is adequate or if your current health, lifestyle, working status and financial commitments mean you should take another look.
Whenever you make changes to your cover, it’s a good idea to factor in the cost of your insurance and the impact on your account balance. As premiums are automatically deducted from your super, it reduces your savings for retirement.
You can reduce or cancel your insurance if your lifestyle changes*, but it’s important to understand that once your insurance is cancelled, you won’t be able to claim for any events or conditions that happen after the cancellation takes effect. If you cancel and then decide you want cover again, you will need apply, and the insurer may require medical evidence.
The easiest way to manage your insurance is to log into the Vision Super website. If you have any questions or need a little extra help, call our Member Services team on 1300 300 820, Monday to Friday 8:30am to 6pm, or email memberservices@visionsuper.com.au. Before you make any changes to your cover, please consider seeking financial advice. You may wish to request an appointment with a Vision Super Financial Planner here or call 1300 300 820.
*This information is general advice which does not take into account your personal financial objectives, situation or needs. Before making a decision about Vision Super, you should think about your financial requirements and consider the relevant Product Disclosure Statement and Target Market Determination. Issued by Vision Super Pty Ltd ABN 50 082 924 561 AFSL 225054.
