Insurance Cover

AustSafe Super offers Death Cover along with Death and Total & Permanent Disablement [TPD] cover at very competitive rates to members. The level of cover is taken in 'units' and you can decide to take one 'unit' of Death and TPD Cover for as little as $1.13 per week or $1.10 per week for white collar workers.

Alternatively you can call our customer service hotline 1300 131 293 (or 07 3013 8767 for Brisbane metropolitan area).

The information provided below is effective from 1 January 2007. Terms and conditions applicable up until 1 January are as detailed in the 2005 Annual Report.

Insurance cover is now provided automatically to all eligible members. We recommend seeking financial advice when considering the appropriate level of cover for you. Austsafe Financial Advisers are available for this purpose. You are able to cancel cover at any time.

You are an eligible member if:

Note: Insurance cover is currently not available to Spouse or Allocated Pension members.

If you are not in active employment when you complete and sign the Member Application, you will be eligible to apply for insurance cover after you have completed sixty (60) consecutive working days in active employment. Active employment means that you are employed (including being on paid leave, except for reason of sickness or injury) by an AustSafe Super employer to carry out identifiable duties and in the insurers opinion you are not restricted by illness or injury from being capable of performing those duties on a full time basis (30 hours per week), even if not working on a full time basis.

If you are an eligible member and you are regularly working more than fifteen (15) hours per week for an employer who is contributing to the Fund, you may choose to take Death and Total & Permanent Disablement (TPD) insurance cover at a cost of $1.13 per unit per week or $1.10 per unit per week for white collar workers.

If you are an eligible member and you are working fifteen (15) or less hours per week for an employer who is contributing to the Fund, you may choose to take Death Only cover at a cost of $0.80 per unit per week.

The premium scale below is effective from 1.1.2007

  1 Unit 5 Units 10 Units 15 Units 17 Units
Cost per week Death and TPD Cover $1.13 $5.65 $11.30 $16.95 $19.21
Cost per week Death Cover Only $0.80 $4.00 $8.00 $12.00 $13.60

Example:
A member is 55 years old and is covered for 12 units of death only cover. What is his weekly premium if he is not a white collar employee?

12 x 1.13 (1 unit of cover) = $15.60 per week.

This member dies, what is the benefit payable?
At age 55, 1 unit of cover is $7,500. Therefore 12 units of cover is 12 x 7,500 =$ 90,000

Am I a white collar employee?

You can be classified as a white collar employee if you are employed to work solely in an office environment. Examples: professionals, office based managers, administration and office work, sales executives - with no manual work.

What is TPD?

Total and Permanent Disablement (TPD) is defined in the insurance policy 1 covering the fund as:-

You must also satisfy the definition of permanent incapacity contained in the Superannuation Industry (Supervision) legislation to enable the Fund to release your benefit.

How much cover can I have?

The level of cover depends on the number of units of cover you have and your age at the date of death or disablement. You can have up to 17 units of cover subject to maximum cover of $500,000 or $750,000 for white collar workers.

Examples of the amounts of cover available for 1, 5, 10, 15 and 17 units of cover are shown in the following table:

Age at Date
of Death or
Disablement
Cover
1 Unit
Cover
5 Units
Cover
10 Units
Cover
15 Units
Cover
17 Units
Age 40 or less30000150000300000450000500000
4128500142500285000427500484500
4227000135000270000405000459000
4325500127500255000382500433500
4424000120000240000360000408000
4522500112500225000337500382500
462100010500021000315000357000
471950097500195000292500331500
481800090000180000270000306000
491650082500165000247500280500
501500075000150000225000255000
511350067500135000202500229500
521200060000120000180000204000
5310500525001050001575000178500
5490004500090000135000153000
5575003750075000112500127500
566000300006000090000102000
57450022500450006750076500
58300015000300004500051000
59250012500250003750042500
60250012500250003750042500
61250012500250003750042500
62250012500250003750042500
63250012500250003750042500
64250012500250003750042500
65NilNil NilNilNil

Examples of the amounts of cover available for 1, 5, 10, 15 and 17 units of cover for white collar employees are shown in the following table:

Age at Date
of Death or
Disablement
Cover
1 Unit
Cover
5 Units
Cover
10 Units
Cover
15 Units
Cover
17 Units
Age 40 or less45000225000450000675000765000
4142750213750427500641250726750
4240500202500405000607500688500
4338250191250382500573750650250
4436000180000360000540000612000
4533750168750337500506250573750
4631500157500315000472500535500
4729250146250292500438750497250
4827000135000270000405000459000
4924750123750247500371250420750
5022500112500225000337500382500
5120250101250202500303750344250
521800090000180000270000306000
531575078750157500236250267750
541350067500135000202500229500
551125056250112500168750191250
5690004500090000135000153000
5767503375067500101250114750
58450022500450006750076500
59375018750375005625063750
60375018750375005625063750
61375018750375005625063750
62375018750375005625063750
63375018750375005625063750
64375018750375005625063750
65NilNil NilNilNil

What evidence of health do I have to provide if I want insurance cover?

No Evidence Required
You will not need to provide evidence of health if you request one (1) unit of insurance cover (Death and TPD or Death only) when you first join and you were in active employment.

Evidence Required
You will have to provide evidence of health if:

Transfer of Insurance Cover

You can transfer your cover from another fund (as long as this cover was provided as part of of a employer sponsored superannuation group arrangement) subject to providing evidence of such cover. The number of units of cover of cover you receive under the AustSafe Super fund will be closely matched to the cover transferred for death and TPD and equivalent fixed cover for salary continuance insurance.

Under these circumstances, you will not need to provide medical evidence in respect of any insurance transferred.

When does cover start?

Insurance premiums

Insurance premiums will start being deducted from your account once an "on-time" contribution has been received. Premiums will be deducted on a weekly basis from your account while you have a positive account balance. Premiums will continue to be deducted whilst you are employed and for 11 months after termination of employment. One month cover will be provided free of charge after your last premium deduction. If there is insufficient funds in your account, premiums will cease to be deducted, and insurance cover will stop.

You will be advised of this with your AustSafe Super Annual Member Statement or written to before you have insufficient funds.

When does cover stop?

If you have a positive account balance insurance cover will cease on the earliest of:

If you have Death and TPD cover and your hours of work drop to below an average of 15 hours per week over a 13 week period, you will no longer be eligible for TPD insurance cover. You must notify AustSafe Super so that your insurance premiums can be reduced accordingly.

Is continuation of Death Cover available after I leave AustSafe Super?

If you cease employment with a participating employer in AustSafeSuper, you may be able to take up a 'continuation' option to obtain a personal life insurance policy from the Fund's insurer. The policy is for death cover only and will be issued without having to supply medical evidence but will be subject to certain conditions.

To be eligible, you must:

Is cover available if I go on unpaid leave?

If you are given unpaid leave of absence from your job (includes maternity leave), you can continue your cover while on leave of absence provided you are not joining the armed forces. The maximum period of cover is 12 months. Premiums must continue to be paid for the period of leave.

Terminal Illness

If you have death cover insurance through AustSafe Super, and you are diagnosed as having a Terminal Illness, the Insurer will provide a lump sum payment, equal to your death cover amount. Terminal Illness means that you have been diagnosed as having a Terminal Illness which, in the opinion of the Insurer, will most likely lead to your death within twelve months.

Salary Continuance Insurance

AustSafe Super members are also able to apply for Salary Continuance Insurance cover, which has been arranged by AustSafe Super under a group insurance scheme, at discounted premium rates. This is optional for all Full Time or Permanent Part Time members (not seasonal workers) who work at least 15 hours per week for a participating AustSafe Super employer.

For a copy of the Salary Continuance Insurance Booklet please contact AustSafe Super or visit our website. The Salary Continuance Insurance Booklet comprises Part D of the AustSafe Super Product Disclosure Statement. You should read both the Salary Continuance Insurance Booklet and this Handbook if you wish to apply for Salary Continuance Insurance cover.