AGI Employee Benefits Corporate Plan Adviser Manual

Transcription

1 AGI Employee Benefits Corporate Plan Adviser Manual May 2017

2 Contents Section A Contacts... 1 Section B About the Australian Group Insurances Pty Ltd (AGI) Employee Benefits Corporate Plan... 2 Section C Quotation and installation process... 5 Section D Underwriting guidelines and process... 6 Section E Annual review process... 8 Section F Claims process... 9 Section G Continuation Option process for exiting members Section H Premium payments and adviser remuneration Section I AIA Group Risk Super Plan (AROSS No 2)... 12

3 Section A Contacts AGI Contacts New Business Quotes Phone Business Development Manager on a completed Adviser Quote Request Form and Membership Data Collection Form (in Excel) to: sales@agigroup.com.au Visit our website: to download the relevant forms. Existing Plan Queries/General Administration Queries Phone AGI Admin on admin@agigroup.com.au AIA Contacts Underwriting Active underwriting cases - Phone AIA on with your group plan/policy number, or alternatively AIA for a progress update: au.groupinsurance@aia.com Submission of Personal Statements and Underwriting Forms - direct to AIA: au.agi@aia.com Claims Active claims - phone AIA on with the members claim number. Initial claim forms for assessment - direct to AIA: au.claimsadministratorscorporate@aia.com and copy in au.admin.claims@aia.com and aiaa.mailroom@converga.com.au Commission Phone AIA on with group plan policy number. Continuation Options Phone AIA on or continuationoptions.aus@aia.com Visit our website /administration-forms-brochures to download forms and brochures for quotes, underwriting, claims and general administration. Page 1

4 Section B About the Australian Group Insurances Pty Ltd (AGI) Employee Benefits Corporate Plan Third party insurance administration and life insurance specialist Australian Group Insurances Pty Ltd (AGI) works closely with AIA Australia to deliver a bespoke group insurance offer to corporate groups with as few as fifteen (15) lives. The AGI Employee Benefits Corporate Plan is the ideal product for Employers who have 15 or more employees to be insured on a consistent basis. Background Group insurance is the fastest growing sector in the life insurance industry. Traditionally it has not been popular with advisers due to the administration burden and lack of life office resources coupled with the fact that small plan support was virtually non-existent. As a result, the market had been the domain of bigger brokers and super funds. AGI has the solution: Superior quoting and administration capability for plans from 15 members Competitive group insurance rates Automatic Acceptance Levels which means no underwriting for members up to pre-defined limits AGI relieves the adviser of the administration burden AGI provides training and support to advisers through their own dedicated Group Risk BDM For advisers, Group Insurance is an incredible nursery for retail insurance, continuation options, financial planning and is a great way for advisers to enhance their service offering Being a wholesale product, SOAs may not be mandatory (it is important to check with your Dealer group or Licensee). Services for advisers Group quotations (minimum 15 lives). Target market: Professionals, White-Collar, Mix of White & Blue Collar (on application) Tailored reports for your clients (underwriting, claims and reviews) Annual reviews (premium reconciliation) Tailored final membership schedule / report for client and adviser records Adviser sales training on group insurance Page 2

5 Product Summary Minimum policy size At least 15 lives to be insured - provided eligibility covers all employees within the company Products Group Life (GL) Death only Death and TPD Any Occupation Death and TPD Own Occupation (ordinary Group Life policy only) Group Salary Continuance (GSC) Benefit period - 2 year, 5 year, 10 year, to age 65, 2 years to age 70 Waiting periods - 30, 60 & 90 days Maximum benefit - $30,000 per month Standard contracts and contracts with the following optional benefits are available: Accommodation Benefit Family Care Benefit Home Care Benefit Nursing Care Benefit Overseas Assistance Benefit Specific Injury Benefit T rauma Benefit (40 conditions) Enhanced death benefit A minimum premium $17,000 applies (excluding commission and stamp duty). Product features Automatic Acceptance Levels (AAL) concessions When taking over an existing group insurance policy, if AIA Australia has offered a more competitive AAL than the previous policy, AIA Australia may apply the new AAL to all members (except for those who have previously been declined for additional cover). Underwriting loadings waived for plans with more than 100 lives (non voluntary, underwritten cover). W orldwide cover, 24/7 60 day continuation option with extended cover Page 3

6 Premium rates All rates quoted are annual rates per $1000 sum insured. Premiums are payable annually, quarterly or monthly. A premium frequency loading applies to quarterly or monthly payments. Rates are non-participating rates. Rates are applicable to white collar occupations only, for other occupations, the following loading/discount factors are applied: Occupation Class Death TPD Death TPD Professional 90% 85% White Collar 100% 100% Grey Collar 105% 112.5% Light Blue Collar 110% 125% Blue Collar 135% 175% Heavy Blue Collar 175% 300% Hazardous/Special Risk Not Insurable Not Insurable Occupation Class GSC Professional 90% White Collar 100% Grey Collar % Light Blue Collar 137.5% Blue Collar 230% Heavy Blue Collar 300% Hazardous/Special Risk Not Insurable Automatic Acceptance Levels Please contact AGI on or sales@agigroup.com.au for the latest AAL s available. Page 4

7 Section C Quotation and installation process 1 Firstly, ensure that your client fulfills the AGI Employee Benefits Corporate plan criteria: Minimum policy size minimum 15 lives provided that is all employees Covering all Permanent employees (cover is also available for casuals and contractors) Clearly defined benefit design 7 Commission - Commission payments are handled by AIA and cannot be processed until they have finalised the installation of the plan on their systems, this installation cannot occur until they have received the deposit premium and signed Proposal Form from your client. Generally we ask that you allow up to 8 weeks from the date the deposit and Proposal are returned in order for your first commission payment to be processed. 2 Once completed the Adviser Group Quote Request Form and Membership Data Collection Form for Quotes in Excel to the AGI New Business Team sales@agigroup.com.au. Advisers are encouraged to ensure that quote request forms are completed properly and membership data (in Excel) is complete and accurate as doing so will help to speed up the quote process and ensure the accuracy of the quotations AGI issue. 3 If your client would like to accept the quote, you will need to notify AGI via of their acceptance and the date the wish cover to commence: sales@ agigroup.com.au. AGI will issue you with an Installation Kit which will include the following: 1. Accepted quote for you to review. 2. Proposal Form This form is pre-populated by our admin team with the accepted quote details. Your client simply needs to review the details in this form and if all is correct, sign and date. 3. Provisional Premium Invoice AGI request the provisional premium based on the accepted quote amount. 4. Installation Membership Listing for confirmation We will provide you with a list of members as per the quote, we ask that you update this list with any changes necessary to ensure that the list is accurate as at the policy commencement date. 6 Policy Documents Please allow approximately 8 weeks from receipt of the signed Proposal form for AIA to issue the plans Policy Document. Once completed AIA will send the policy document via AGI, who will a copy to your office to forward to your client. 5 Upon receipt of the completed installation data AGI will finalise the installation review and issue this to your office to forward to your client. If the plan has an existing policy in place you will need to arrange the termination with the current insurer(s) and payment of any outstanding termination premiums. Please note that generally takeover terms will not be released by the other insurer until the termination review is completed and any outstanding balance paid. 4 Once the signed Proposal Form has been returned, AGI will issue the On Risk letter This is subject to receipt of the deposit premium within 30 days. Please ensure that your AIA Australia retail adviser code is on the Group Plan Proposal Form in order for AIA to pay your commission. The deposit premium is to be paid into the following account, or alternatively AGI does offer a direct debit facility, please request the authority form from our admin team (admin@agigroup.com.au) EFT Premium to: BSB: Account Number: Account Name: AGI AIA Premium Account Reference: Your Policy Number Please note that all forms and templates are available at our website: /administration-forms-brochures. Page 5

8 Section D Underwriting guidelines and process 1Upon installation of an adviser s group plan, AGI will provide the adviser with a Plan Installation Schedule (list of members insured as at policy commencement date as supplied by adviser). Members who need to be underwritten are identified in the column of the report marked Additional cover available subject to underwriting. Members with an amount under this column require underwriting to obtain their maximum benefit(s). Please note that it may take up to 6 weeks from the date AIA receive all documentation to install the plan on their system, underwriting cannot commence during this period. 5The underwriting process is handled directly between the adviser and AIA, however if you have any concerns throughout the process you are more than welcome to contact AGI s Group Admin Team via on admin@agigroup.com.au or via phone on For each member that requires underwriting the adviser will need to organise for the member to complete an AIA Personal Statement (available on AGI s website). The New Application Summary at the start of the Personal Statement is for the advisers office to complete on the members behalf, this summary ensures that AIA are aware of the exact member/plan details and cover levels that they are expected to underwrite. 4It is the adviser's responsibility to notify a member of AIA s underwriting decision and to arrange all underwriting requirements. Please see next page for AIA s Underwriting Guide which outlines the standard requirements for various levels of cover. 3Once this Summary page and Personal Statement are completed you can it direct to AIA at: au.agi@aia.com. When an application is assessed you will be notified via from AIA of all outstanding requirements or details or their decision. You can phone AIA s admin team at any time to discuss a members application on or alternatively your query to: au.groupinsurance@aia.com. Please note that all forms and templates are available at our website: /administration-forms-brochures. Page 6

9 Underwriting Requirements by AIA Australia refer to the key below for explanation of medical requirements Death/TPD Insurance for applicants up to age 45 next birthday Sum Insured Forward Underwriting Limit Requirement Up to $1,250,000 $1,250,000 Short Personal Statement $1,250,001 $2,500,000 $2,500,000 Full Personal Statement $2,500,001 $5,000,000 $5,000,000 Personal Statement, Blood Tests, Short Medical Examination $5,000,001 plan max. Individual Consideration Refer to AIA Australia Underwriting for requirements Death/TPD Insurance for applicants age 46 next birthday and over Sum Insured Forward Underwriting Limit Requirement Up to $1,250,000 $1,250,000 Short Personal Statement (Full Personal Statement if over age 55) $1,250,001 $1,500,000 $1,500,000 Full Personal Statement, Blood Tests $1,500,001 $5,000,000 $5,000,000 Personal Statement, Blood Tests, Short Medical Examination $5,000,001 plan max. Individual Consideration Refer to AIA Australia Underwriting for requirements Group Salary Continuance/Salary Continuance Insurance Monthly Benefit Forward Underwriting Limit Requirement Up to $10,000 $10,000 Short Personal Statement (Full Personal Statement if over age 55) $10,001 $12,500 $12,500 Full Personal Statement, Blood Tests $12,501 $20,000 $20,000 Full Personal Statement, Blood Tests, PMAR $20,001 $30,000 (plan max.) $30,000 Full Personal Statement, Blood Tests, Short Medical Examination, PMAR Underwriting requirements listed above for Sum Insured and Monthly Benefit insurance bands include elements of existing cover and any automatic cover with AIA Australia. Key: Blood Tests consist of HIV, Hepatitis B & C and MBA 20. Short Medical Examination consists only of blood pressure, height/weight details and urine specimen. Completion of AIA Australia s full application is required including the Personal History and Medical History sections. Personal Medical Attendants Report (PMAR) is a report completed by a doctor from their records. PMARs may be requested on a discretionary basis. Page 7

10 Section E Annual review process AGI will contact your office 30 days prior to the plans annual review date to request updated membership information in order for us to conduct the yearly policy renewal. We require your client to provide the following information: New entrants for the period since the last annual review Terminations for the period since the last annual review Updated income and Occupations for all members at the annual review date Any other details that may be relevant. i.e. Change of name, maternity leave, decreased working hours etc. Once the renewal calculations are completed we will provide you with an annual review report which outlines the benefit and associated premium for each member of the plan. This report will also include details of any member who is eligible for cover above their current FUL and the estimated premium for this increase in benefit. It is important to note that it is the advisers responsibility to inform all eligible employees that they are entitled to increase their benefit above their existing FUL. As membership movements from the previous period are to be updated on the schedule provided at annual review time we do not require you to submit updates throughout the year. It is suggested that advisers continue to obtain information on membership changes from their client throughout the year to ensure that members are notified of the option to increase their cover in excess of the AAL or for those who are leaving and would like to consider exercising their continuation option (see Section G of this guide). All forms, templates and guides are available on AGI s website: /administration-forms-brochures. Page 8

11 Section F Claims process 1Upon notification of a claim, advisers should download the necessary forms from our website: The following items need to be provided to AIA Australia: For Salary Continuance Claims: SCI Member Statement SCI Treating Doctor s Statement SCI Employer s Statement Certified copy of Birth Certificate or other acceptable proof of age Certified copy of the Marriage Certificate (if applicable) Payslip/leave slips and/or other medical documentation For TPD Claims: TPD Member Statement TPD Employer s Statement Certified copy of Birth Certificate or other acceptable proof of age Certified copy of Marriage Certificate (if applicable) For Death Claims: Death Employer s Member Statement Certified copy of Death Certificate Once completed forms are to be ed directly to AIA so that they can begin their assessment process: au.claimsadministratorscorporate@aia.com and copy in au.admin.claims@aia.com and aiaa.mailroom@converga.com.au 2AIA Australia will further claim requirements to the adviser directly. It is the adviser s responsibility to arrange for the member to meet additional claim requirements as advised by AIA Australia. AIA Australia will issue claims acceptance letters and decline letters to the adviser via along with ongoing claims correspondence and payment advice notices. Page 9

12 Section G Continuation Option process for exiting members When a member leaves their employer for reasons other than injury or illness they are entitled to apply for a Continuation Option to take this cover with them via an AIA Retail product. What are the terms and conditions?* 1. Members must apply for the continuation option within 60 days of leaving their employer. 2. The individual retail policy offered is subject to the same premium loadings and exclusions that applied under the group policy and it is also subject to the terms and conditions that apply to all retail policies at the time of application. A satisfactory Australian Citizen or Residence Declaration and Smoker Declaration will need to be completed by the applicant. 3. Salary continuance continuation option policies are indemnity-based, however agreed value policies are available subject to the following: Applicant is a permanent employee working at least 25 hours per week who is not self-employed (sole trader, partnership, employee of own company); Applicant provides confirmation of income; and Applicant completes standard financial requirements for benefits greater than $20,000 per month (e.g. assets and liabilities will be required) * Please note that these terms and conditions may be subject to change. See the latest AIA Australia Group Insurance Product Information Booklet for full details. What is the process? To assist your clients in exercising their continuation option, simply provide the following information to AIA Australia staff via continuationoptions.aus@aia.com: 1. Plan name and number 2. Termination date of the member 3. Smoking status 4. Occupation going forward 5. Your address so that the continuation option quote(s) and forms can be ed to you. Alternatively, you can phone AIA Australia on if you require further assistance with this process. Page 10

13 Section H Premium payments and adviser remuneration Premiums Premium payments may be made: Monthly Quarterly Annually Please note that all payments other than annual incur a frequency loading. AGI now offers a direct debit facility for clients who wish to pay their premium either monthly or quarterly, please contact AGI s admin team for further details (admin@agigroup.com.au) Remuneration Commission is paid by AIA Australia on a bi-monthly basis. You should contact the AIA Australia Adviser Services Team directly on for these dates and for any other commission related queries. Please be aware that new plans, commission payments can take up to 8 weeks from the date AIA receive all documentation to install the plan. AIA Australia can only pay remuneration to advisers with an AIA Australia Adviser Code. When lodging a new group plan application, you must include your AIA Australia adviser code on the Group Plan Proposal Form. For advisers who belong to a dealer group without a distribution agreement with AIA Australia, please ensure your licensee completes the AIA Australia Dealership Application Form available on AGI s website: /administration-formsbrochures. If your dealer group has a distribution agreement with AIA Australia, you should have an adviser code check with your licensee if you do not know your adviser code. Commission levels Advisers are able to select their own commission level during the quotation stage, the maximum commission rate available is 30%. All commission is paid as level commission, no upfront or hybrid commission structures are available. AIA Australia does not pay remuneration on stamp duty and member fee if applicable. Page 11

14 Section I AIA Group Risk Super Plan (AROSS No 2) About AROSS No 2 AROSS No 2 is designed to provide insurance benefits to employees of Participating Employers within a superannuation environment. The insurance cover available under AROSS No 2 is Death cover (including Terminal Illness) and if chosen by the Participating Employer, Death and Total and Permanent Disablement (any occupation) cover. As benefits relate to insurance only, there is no investment component in the Plan and Members cannot make any contributions or rollovers into the Fund for accumulation purposes. Important things to note prior to implementing an AROSS No 2 plan with AIA: A member fee of $0.65 per member per week will apply; Adviser commission is no longer available on AROSS No 2 plans; If your client chooses to proceed with an AROSS No 2 plan they will be required to provide home addresses and Tax File Numbers for each life insured; Your client will be required to provide AGI with details of any new or terminated members on a monthly basis in order for statements to be issued within the legislated timeframe. New and Terminating Members Upon joining the AROSS No 2 plan each member will receive a Welcome Kit from the Fund Administrator which includes: Welcome Letter Benefit Statement Product Disclosure Statement (PDS) Nomination of Beneficiary Form which is attached to the back of the PDS This form is to be returned to the Fund Administrator only (details below) All terminating members will receive an Exit Statement upon departure from the plan. This Welcome Kit and Termination letter will be issued to each member who joins or terminates from the AROSS No 2 plan within 90 days of the event date (provided AGI has been notified of this occurring). These statements will only refer to the Group Life cover held with AROSS No 2, if your client also holds a Salary Continuance policy with AIA these statements will not include details of this cover. Annual Statements Some time after 30th November each year (the fund s annual review date), members of the AROSS No 2 plan will receive the fund Annual Report and Annual Member Statement. The Annual Member statement will show details of member cover held as at 30th November and individual contributions for the year ended 30th November. In addition, after 30th June each year, members will receive a statement showing all individual contributions for the financial year ended 30th June. Page 12

15 Member Updates and Queries If a member needs to update their personal details (this includes their home address, or nomination of beneficiary, or enquire above their level of cover), they are to contact the Fund Administrator directly: Insurance and Superannuation Administration Services (IASAS) Phone: (03) enquires@iasas.com.au Plan Level Queries You should contact AGI if you or your client has any questions relating to the annual review, member adjustments, invoices or changes required to the policy. AGI do not have any contact with your client or the members. admin@agigroup.com.au Page 13