Sunsuper for life Insurance guide

Transcription

1 Sunsuper for life Insurance guide for former Kinetic Super members Preparation date: 20 February 2018 Issue date: 12 March 2018 The information in this document forms part of the Sunsuper for life Product Disclosure Statement for former Kinetic Super members dated 12 May pa

2 Contents Insurance in your super 1 Your insurance options 1 2 Automatic cover 2 3 Life Event options 6 4 Personalised Cover 8 General Death and Total & Permanent 5 Disability insurance information 10 6 Income Protection insurance 13 7 General Income Protection insurance information 18 8 Facts about making a claim 22 9 Other important information Definitions General Terms Definitions Total & Permanent Disablement Definitions Income Protection 32 Important information This is the Sunsuper for life Insurance guide for former Kinetic Super members. The information in this guide forms part of the Sunsuper for life Product Disclosure Statement (PDS) for former Kinetic Super members issued 12 May The PDS references important information contained in this guide by!. This guide may reference important information contained in the Sunsuper for life Investment guide and Sunsuper for life guide. The PDS, this guide, Sunsuper for life Investment guide and Sunsuper for life guide should be read in their entirety before making a decision to acquire or continue to hold an interest in Sunsuper. General advice disclaimer The information in the PDS and guides is general information only and doesn t take into account your personal objectives, financial situation or needs. You should consider the appropriateness of any general information in the PDS and guides having regard to your own personal objectives, financial situation and needs. You should obtain financial advice tailored to your personal circumstances. Call us if you would like to speak to a qualified financial adviser. Protecting your privacy Sunsuper respects the privacy of the information you give us. If you require a copy of our Privacy Policy visit sunsuper.com.au/privacy or call Financial Services Guide (FSG) Visit sunsuper.com.au/fsg or call us on for a copy of the FSG. The FSG provides you with information about the financial services Sunsuper Pty Ltd provides and will help you decide whether to use these services. pb The insurer Insurance cover is provided through group life policies for Death and Total & Permanent Disability, and Income Protection, issued by Colonial Mutual Life Assurance Society Limited (CMLA) ABN to the Trustee of the Sunsuper Superannuation Fund. CMLA is a wholly owned but non-guaranteed subsidiary of Commonwealth Bank. In the event of a dispute the policy will override the information in the PDS and this guide. Please note: Commonwealth Bank and the AIA Group have agreed that the AIA Group will purchase CMLA. The sale is expected to complete during The insurance arrangements outlined in this guide and the relevant insurance policies will otherwise remain unchanged until the next scheduled policy review. We will contact you to advise you of any changes as a result of the policy review. Privacy CMLA also respects your privacy. CMLA s handling and exchange of your personal and sensitive information is outlined in the Privacy Policy which can be found in the relevant insurance form when you complete it, or by calling

3 1 Your Insurance options You have a number of insurance options to protect you and your family should the unexpected occur, for example, if illness or injury prevents you from working or if you die. This document provides information about the types of insurance cover available and the terms and conditions applicable. Please note this document is no more than a summary of the actual insurance policy issued by Colonial Mutual Life Assurance Society Limited. The policy sets out the full terms and conditions and will govern your insurance cover. Your insurance options include: Automatic Death and Total & Permanent Disability cover Automatically provided to eligible members, and includes Terminal Illness cover. On joining the Fund, eligible members will automatically receive Starter Pack cover. On the last day of the month following your Super-savings account balance reaching $3,000 you will automatically receive Booster Pack cover. There are also new member options for you to choose. Personalised Death and Total & Permanent Disability cover If you are ineligible for Automatic Death and Total & Permanent Disability cover, or you need more cover, you can apply for Personalised Death and Total & Permanent Disability cover to meet your individual needs. Income Protection cover You may apply for Income Protection cover which pays you a replacement income if you become ill or injured and cannot work as a result. There are two types of cover available: New Member Income Protection cover within 120 days from when your Kinetic Super or Sunsuper welcome communication was issued (whichever you received first) you can apply for cover without completing complicated forms and providing evidence of health, or you can apply for Personalised Income Protection cover which allows you to tailor cover to suit your individual circumstances and needs. Applications for Personalised Death, Total & Permanent Disability and/or Income Protection cover are subject to acceptance by the insurer, and satisfactory evidence of health may be required. Guaranteed renewal of cover Once your insurance cover commences we guarantee to renew your insurance every year regardless of changes in your health, occupation or pastimes. Continuation of cover is subject to there being sufficient funds available in your Super-savings account to pay the weekly premium. For full details on when cover ceases, please refer to When does Death and Total & Permanent Disability cover stop? on page 10 and When does Income Protection cover stop? on page 20. p1

4 2 Automatic cover There are two types of membership available in Kinetic super. Employer sponsored employees nominated by their employer to be a member or who have employer contributions made to their Kinetic Super account because they have exercised choice through their employer. Employer sponsored members may be eligible to receive automatic Death and Total & Permanent Disability cover, and apply for Personalised cover if additional cover is required. Personal - individuals who aren t employer sponsored members, including the self-employed. Personal members are ineligible for automatic cover, they however can apply for Personalised cover. Applications for cover are subject to acceptance by the insurer, and satisfactory evidence of health may be required. Insurance cover start date Assuming you re an eligible employer sponsored member, automatic Death and Total & Permanent Disability cover will commence from the later of, the date you joined your employer, or the start of the period to which your first Superannuation Guarantee (SG) contribution relates. If you satisfy the eligibility criteria, automatic Death and Total & Permanent Disability cover will be provided without the need for you to provide evidence of health. Exclusions and restrictions Limited Cover applies if you aren t in Active Employment on the day your automatic Death and Total & Permanent Disability cover commences. In addition, Death, Total and Permanent Disability or Terminal Illness benefits will not be paid where caused by suicide or any intentional self-inflicted act within 13 months of your insurance cover start date. Any Limited Cover restrictions will cease after you have been in Active Employment for 60 consecutive days. If we do not receive a contribution from your employer within 180 days after you ve started employment, your automatic cover will be subject to Limited Cover conditions. In addition a Death, Total and Permanent Disability or Terminal Illness benefit will not be paid where caused by suicide or any intentional selfinflicted act within 13 months of your insurance cover start date. Limited Cover will apply until you satisfy the Active Employment requirements for 30 consecutive days after an initial 24 month period. Limited Cover generally means that you are only covered for claims arising from an illness that first becomes apparent or an injury that first occurs after your cover commences, restarts or increases due to a Life Event. p2

5 Starter Pack cover On joining the Fund, eligible members will automatically receive Starter Pack Death and Total & Permanent Disability cover. The amount and cost of Starter Pack cover changes with your age and is outlined on page 4. Booster Pack cover Following your account balance reaching $3,000, we will automatically increase your Starter Pack cover to Booster Pack cover (except if you have cancelled or reduced your cover) on the last Friday of the month. The amount and cost of Booster Pack cover changes with your age and is outlined on page 5. At any time if you want to reduce your cover you can let us know in writing or by calling us on The change will be effective from the date your instruction is received. Special arrangements for new members Eligible new members with Starter Pack cover may apply within 120 days from when your Kinetic Super or Sunsuper welcome communication was issued (whichever you received first) to increase your Death and Total & Permanent Disability cover. Additional costs apply. Call us on to apply or download the New member options form available at sunsuper.com.au/kinetic-super. Option 1 Increase your Starter Pack cover to Booster Pack cover before your balance reaches $3,000, without evidence of health. Option 2 Apply for up to 12 units of Death and Total & Permanent Disability cover you can do this by satisfactorily completing some short health questions within your New member options form. You may be asked to provide further health evidence depending on your circumstances. You are not eligible for additional cover under these options if: you have previously submitted a claim or eligible to claim, you have received, or are entitled to receive a Terminal Illness or Total & Permanent Disability claim payment from any source at the time of your application; or you have previously applied to increase your cover up to 12 units under this option. Your cover cannot exceed 12 units of Death and Total & Permanent Disability cover under this option. Your increased cover will start on the date the insurer accepts your completed application, and issues you written confirmation. If when your additional cover commences you are not in Active Employment, your additional cover will be Limited Cover until you have been in Active Employment for 60 consecutive days. A request to increase cover outside of 120 days of joining the Fund will require an application for Personalised Cover to be completed. Occupational categories The amount you pay for your cover is based on the type of work you do, because there are different risks involved. For cost purposes, there are two occupational categories: White Collar where the duties of your occupation are 100% limited to professional, managerial, administrative, clerical, secretarial or similar White Collar natured tasks that does not involve manual work and is undertaken entirely within an office environment (excluding reasonable travel time of no more than 10% from one office environment to another). Standard members who do not meet the criteria of what is considered White Collar or do not nominate an occupation at the time they receive cover. All new members are classed as Standard and will remain so until we receive a completed Insurance variation form and this is accepted by the insurer. Your new occupational category will apply from the date the insurer accepts your application. If accepted, a White Collar occupation will entitle you to cover at a reduced cost. You can request a change to your occupational category by completing the Insurance variation form available at sunsuper.com.au/kinetic-super. You can also request a change to your occupational category over the phone. Intention behind Total & Permanent Disability The intention of Total & Permanent Disability insurance cover is to provide a benefit should you suffer an injury or illness that prevents you from working to retirement age. Total & Permanent Disability insurance cover is available to members regardless of their working hours or employment status. Members who are employed on a permanent, part-time, contract or casual basis will be covered if they were eligible when joining the Fund. Your capacity to work is determined by your inability to perform any suitable occupation based on all of your education, training or experience, not just your usual occupation or the job you were performing when you become injured or ill. When reviewing your education, training or experience, we may consider for example the level of schooling you completed, further studies undertaken since then and any subsequent qualifications or certifications you have obtained, the skills and abilities you have acquired through any work you have undertaken (both paid and unpaid) as well as any of your hobbies and interests. If you are not working in any capacity for 12 months before becoming injured or ill, or aged 65 or older a different Total and Permanent Disability definition may apply. If we determine you are eligible for a Total & Permanent Disability benefit, this will be paid to you as a single lump sum payment. p3

6 Amount and cost of automatic cover The cost of automatic Death and Total & Permanent Disability cover (Starter Pack and Booster Pack) is set out in the following tables. The cost of your cover depends on your occupational category (i.e. White Collar or Standard ) and your age. Premiums are calculated weekly and generally deducted from your Super-savings account each month. Amount and cost per unit of cover Your Age One Unit of Death Cover Weekly cost Standard Weekly cost White Collar One Unit of TPD 1 Cover Weekly cost Standard Weekly cost White Collar $8,500 $0.06 $0.03 $29,600 $0.05 $ $10,600 $0.08 $0.05 $39,800 $0.09 $ $20,000 $0.19 $0.13 $55,500 $0.24 $ $27,900 $0.33 $0.21 $60,300 $0.47 $ $30,400 $0.52 $0.32 $54,900 $0.82 $ $29,500 $0.84 $0.49 $46,600 $1.30 $ $27,000 $1.01 $0.58 $37,300 $1.34 $ $22,500 $1.14 $0.66 $24,400 $1.15 $ $15,500 $1.11 $0.65 $14,600 $0.95 $ $6,300 $0.65 $0.38 $4,200 $0.41 $ $1,600 $0.22 $0.13 $1,000 $0.02 $ TPD means Total & Permanent Disability. 2. The definitions of Total & Permanent Disability that apply to this age group are different, refer to 11. Definitions - Total & Permanent Disablement for more details. Amount and cost of Starter Pack cover Your Age Automatic level of Death Cover Weekly cost Standard Weekly cost White Collar Automatic level of TPD 1 Cover Weekly cost Standard Weekly cost White Collar $8,500 (1 unit) $0.06 $0.03 $29,600 (1 unit) $0.05 $ $53,000 (5 units) $0.40 $0.25 $39,800 (1 unit) $0.09 $ $60,000 (3 units) $0.57 $0.39 $55,500 (1 unit) $0.24 $ $55,800 (2 units) $0.66 $0.42 $60,300 (1 unit) $0.47 $ $60,800 (2 units) $1.04 $0.64 $54,900 (1 unit) $0.82 $ $29,500 (1 unit) $0.84 $0.49 $46,600 (1 unit) $1.30 $ $27,000 (1 unit) $1.01 $0.58 $37,300 (1 unit) $1.34 $ $22,500 (1 unit) $1.14 $0.66 $24,400 (1 unit) $1.15 $ $15,500 (1 unit) $1.11 $0.65 $14,600 (1 unit) $0.95 $ $6,300 (1 unit) $0.65 $0.38 $4,200 (1 unit) $0.41 $ $1,600 (1 unit) $0.22 $0.13 $1,000 (1 unit) $0.02 $ TPD means Total & Permanent Disability. 2. The definitions of Total & Permanent Disability that apply to this age group are different, refer to 11. Definitions - Total & Permanent Disablement for more details. p4

7 Amount and cost of Booster Pack cover Your Age 6 Units of Death Cover Weekly cost Standard Weekly cost White Collar 6 Units of TPD 1 Cover Weekly cost Standard Weekly cost White Collar $51,000 $0.36 $0.18 $177,600 $0.30 $ $63,600 $0.48 $0.30 $238,800 $0.54 $ $120,000 $1.14 $0.78 $333,000 $1.44 $ $167,400 $1.98 $1.26 $361,800 $2.82 $ $182,400 $3.12 $1.92 $329,400 $4.92 $ $177,000 $5.04 $2.94 $279,600 $7.80 $ $162,000 $6.06 $3.48 $223,800 $8.04 $ $135,000 $6.84 $3.96 $146,400 $6.90 $ $93,000 $6.66 $3.90 $87,600 $5.70 $ $37,800 $3.90 $2.28 $25,200 $2.46 $ $9,600 $1.32 $0.78 $6,000 $0.12 $ TPD means Total & Permanent Disability. 2. The definitions of Total & Permanent Disability that apply to this age group are different, refer to 11. Definitions - Total & Permanent Disablement for more details. Eligibility for automatic Death and Total & Permanent Disability cover You will be eligible for automatic Death and Total & Permanent Disability cover if you are a member of the Fund and: you are a former Kinetic Super member and you had insurance with Kinetic Super immediately prior to 12 May 2018, or you are aged 14 to 69, your employer has elected Sunsuper as their superannuation provider or you choose Sunsuper to have your Superannuation Guarantee (SG) contributions paid to, an initial SG contribution from your employer is received by the Fund within 180 days from the date you commenced work (if known) or the beginning of the period to which your employer s SG contribution relates (whichever is the later date). If the SG contribution from your employer is received outside of 180 days you will have Limited Cover; and you haven t previously cancelled, opted out of your insurance cover or had cover lapse. If you have received, had a claim admitted or are eligible to receive a Total & Permanent Disability benefit from Sunsuper or from any other fund or life insurance policy at the time cover commences, your automatic cover will be Death only cover. You will need to let us know if this applies to you. If we don t receive a contribution or payment for you, we may treat it as if your Super-savings account was never opened and insurance cover as never commencing. Not eligible for automatic cover If you re not eligible for automatic Death and Total & Permanent Disability cover (e.g. you have previously cancelled your cover or you are a self-employed member), you can apply for Personalised Cover tailored to your specific needs. Applications for cover are subject to acceptance by the insurer, and satisfactory evidence of health may be required. Please call us on for more information. Limited Cover Limited Cover means that you are only covered for Death (including Terminal Illness) or Total & Permanent Disability arising only from an illness that first becomes apparent or an injury that first occurs after your cover commences, restarts or increases due to a Life Event. Limited Cover applies if you aren t in Active Employment on the day your Starter Pack cover commences or is upgraded to Booster Pack cover (in relation to the increased amount of cover only). Limited Cover conditions cease when you are been in Active Employment for 60 consecutive days after the date cover commences or is upgraded. See 10. Definitions general terms for the Active Employment defintion. Limited Cover also applies if we do not receive a contribution from your employer within 180 days of commencing work with that employer. If Limited Cover applies, no Death (including Terminal illness) or Total & Permanent Disability benefit will be payable in the following circumstances: your death is a result of suicide, within the first 13 months of your cover starting, or your illness or injury is as a result of self-inflicted injury, illness or an attempt to take your own life. p5

8 3 Life Event options When your life changes, the Life Event option gives you the opportunity to increase your Death and Total & Permanent Disability cover without providing any evidence of health. You can apply to increase your automatic Death and Total & Permanent Disability cover by one additional unit 1 at each Event by completing a Life events form without having to provide evidence of good health. You can apply up to four times for Life Events. To increase your cover you must apply within 180 days following one of the Life Events occurring. Life Event options Marriage, Divorce, the birth or adoption of a child, your child commencing their first day at primary or secondary school, death of a spouse, or effecting a mortgage 2 on the initial purchase of a primary residence (excluding refinancing or effecting a mortgage on an investment property). For the Life Event option(s) you are applying for, you ll need to provide to us proof of the Life Event. Life Event Marriage Divorce Birth or adoption of a child Child commencing primary or secondary school Death of your spouse Mortgage 2 to purchase my home Certified document (s) Copy of marriage certificate Copy of Decree Nisi/Absolute or Certificate of Divorce Copy of child s birth certificate or adoption papers Letter from school (on school letterhead) confirming the start date, name of the student and information detailing that the student is starting either Primary (e.g. kindergarten) or Secondary (e.g. year 7) school Copy of your spouse s death certificate Stamped front page of the Contract of Sale, and Letter from the bank (on bank letterhead) detailing the loan arrangement 1. The amount you can apply for is equal to one unit of the Death and Total & Permanent Disability cover you are eligible for at the age you are accepted for the increase. 2. The mortgage must be with a financial institution. p6

9 Eligibility conditions To be eligible to obtain additional Death and/or Total & Permanent Disability cover without evidence of good health should a Life Event occur, the following must be satisfied: at the date of the application you must not have received an increase in cover for any Life Event within the previous 12-month period, if you ve previously exercised the option, you must not have exercised the option four times or more since your cover commenced, you must apply within 180 days of the date upon which a Life Event occurred, we receive proof, satisfactory to the insurer, that the Life Event has taken place and the date it took place, you haven t previously had an application for cover, or an increase in cover declined by the insurer, and the application must relate to a type of cover you have in force. If you ve previously cancelled a type of cover you cannot reinstate that cover under this condition. When would cover commence? If an application for a Life Event is accepted by the insurer, then the additional cover will commence from the date the insurer received the completed Life events form. This cover ceases in certain circumstances. Refer to page 10. Exclusions and restrictions Any additional cover will be subject to the same conditions and restrictions as apply to your existing cover, if any. Limited Cover applies if you aren t in Active Employment on the day your additional cover commences. This means the increased amount of cover will only be payable in respect of an illness that first becomes apparent or an injury that first occurs after the cover last started or restarted for 60 consecutive days. See 10. Definitions - general terms for Active Employment and Limited Cover. The additional cover cannot exceed one unit of Death and Total & Permanent Disability cover. Premium payable as a result of increased cover Upon the acceptance of your cover under this option, the amount of the premium payable in respect of your cover will be recalculated to reflect the increase in cover according to the premium rates current at the time. Have you had a Life Event? Visit sunsuper.com.au/kinetic-super to find out how to increase your cover and obtain a Life events form. For further information please call us on p7

10 4 Personalised Cover Personalised Cover lets you apply for Death and Total & Permanent Disability insurance cover to suit your needs. Personalised Cover is available on a fixed cover basis. This means your amount of cover stays the same but your premiums will generally increase as you get older. The cost of Personalised Cover depends on your age, your health and your occupational category and is calculated in accordance with the Cost of Personalised Cover table shown on page 9. Personalised Cover is available to members ineligible for automatic Death and Total & Permanent Disability cover. Applications for Personalised Death and Total & Permanent Disability cover are subject to acceptance by the insurer, and satisfactory evidence of health may be required. You can apply for cover up to the following maximum cover amounts: Death cover: $5 million Total & Permanent Disability cover: $3 million The insurer may apply exclusions, loadings or other special conditions on Personalised Cover. Note: Former Kinetic Super members who had Personalised Death and TPD insurance immediately prior to 12 May 2018 will receive equivalent cover upon transition. How to I apply for Personalised cover? It s simple, you can apply for Personalised Cover anytime. Complete and return the Personalised cover application form available at sunsuper.com.au/kinetic-super or by calling us on to request a copy. Depending on the details you provide, the insurer may request more information about your health. Personalised Cover won t commence until the insurer approves your application. You ll be advised of the outcome in writing. The assessment process, known as underwriting, usually takes some time especially where additional medical information is required. The underwriting process depends on your level of cover and the amount of health evidence required. There must be sufficient money in your Super-savings account to pay for the Personalised Cover premiums, otherwise cover won t commence until another application is made, and accepted by the insurer. Personalised Cover ceases in certain circumstances. Refer to page 10. Interim Accident cover If you apply for Personalised Cover, interim accident cover will apply from the date we receive your fully completed application form. The interim cover ends on the earlier of acceptance of cover, rejection of your application or 120 days from receipt of your application. Interim accident cover provides a benefit if you die or you become totally and permanently disabled within 120 days of an Accident that occurs during that period. In either case, the death or disability must arise from a bodily injury caused solely and directly by accidental, external and visible means. The amount of the interim accident benefit is the lesser of the amount you are applying for and $2 million. If an interim accident benefit is payable to you or you make a claim, your application for cover will automatically be cancelled. p8

11 Cost of Personalised Cover The cost of Personalised Cover is based on your amount of cover, occupational category (i.e. White Collar or Standard ), health and age. The premium is recalculated on your birthday each year. Premiums are calculated weekly and generally deducted from your Super-savings account each month. Annual premiums for each $1,000 insured benefit Your age Standard Occupation White Collar Occupation Death TPD Death TPD Rounding variations may occur when calculating premiums. p9

12 5 General Death and Total & Permanent Disability Insurance Information When does Death and Total & Permanent Disability cover stop? Any Death and Total & Permanent Disability cover you have will end when the first of any of the following events occur: you die, you are paid a Total & Permanent Disability benefit, you are paid a Terminal Illness benefit where the full Death benefit is paid, you turn 70 years of age, you cease to be a member of the Fund, you tell us you want to cancel your cover, you join the armed forces other than the Australian Armed Forces Reserve, as soon as your Super-savings account balance has insufficient funds to meet the premium required, when the insurance policy is terminated, or your Super-savings account balance is below $6,000 and we haven t received an eligible contribution for 10 months or more (unless you provide suitable documentation from your employer confirming you are on approved extended leave of up to 24 months). We will send you a notification advising you that your insurance cover will cease and when it will cease (unless you take certain steps). For further information about the steps you can take (including the documentation required from an employer to confirm you are on approved extended leave) contact us on It is your responsibility to check there is always enough money in your Super-savings account to pay insurance premiums. Cancelling or reducing cover You can cancel all of your Death and Total & Permanent Disability cover, request Death only over, or reduce the amount of your cover at any time. However, you should be aware that by doing this you won t be able to reinstate your insurance cover without providing evidence of health. If you don t want Death and Total & Permanent Disability cover, or you just want to reduce or modify your cover, you need to let us know in writing or by calling us on , otherwise the premiums will normally be deducted from your Super-savings account each month. The cancellation or reduction will be effective from the date your instruction is received. Recommencing cover Where insurance cover has stopped because: there was insufficient money in your Super-savings account to pay the premiums, and/or the balance is below $6,000 and no eligible contributions have been received for 10 months or more. The receipt of an SG contribution will restart automatic Death and Total & Permanent Disability cover from the date of receipt of the contribution, even if your cover was Personalised Cover before the recommencement. Death and Total & Permanent Disability cover (Starter Pack or Booster Pack) will restart as per the cover levels on pages 4 and 5. Cover levels are based on your current age. Limited Cover will apply until you satisfy the Active Employment requirements for 30 consecutive days. Any special conditions that applied to your cover prior to ceasing will continue to apply to your cover upon recommencement. If you cancelled your cover or have cover in excess of the automatic Death and Total & Permanent Disability cover (i.e. Personalised Death and Total & Permanent Disability cover), satisfactory evidence of health will be required to restart cover in excess of the Booster Pack level. p10

13 Transferring other insurance If you have other Death or Total & Permanent Disability cover (e.g. through another super fund) and you re under the age of 60 at the date of transfer, you can request to transfer this cover to Sunsuper. An application to transfer cover is subject to the insurer s acceptance. Any cover transferred will be Personalised Cover and will be fixed cover and added to any existing insurance cover in Sunsuper. Additional premiums will apply. These will normally be deducted from your Super-savings account monthly. You may not be eligible to transfer your cover if: you have been paid, submitted or eligible to lodge a Total & Permanent Disability or Terminal Illness claim, at the date of transfer you are terminally ill with a life expectancy of less than 12 months, you must be in Active Employment immediately before the date of transfer, you can only transfer the same type of cover as available in Sunsuper (Death and Total & Permanent Disability cover), transferred cover together with other cover you have cannot exceed $2 million without evidence of health being required, your total Death cover cannot exceed $5 million and your total Total & Permanent Disability cover cannot exceed $3 million. You must also transfer your account balance in your previous fund to Sunsuper and have sufficient money in your Super-savings account to pay applicable premiums. It s important you include all required documentation, which will include: an up-to-date statement from your former fund detailing your current insurance cover, details of any loadings, exclusions and restrictions applicable to that cover, and the statement must have been issued within 30 days of your application. If your application is accepted by the insurer: you will be subject to the terms and conditions outlined in the insurance policy provided by Colonial Mutual Life Assurance Society Limited, any premium loadings or exclusions that applied to your transferred cover will continue to apply, the transferred cover will be additional to any existing insurance cover you have, and will be Personalised Cover, you will need to cancel the cover you had under your previous fund. The commencement of your transferred cover is subject to you cancelling your previous insurance cover and having sufficient money in your Super-savings account to pay applicable premiums. Once your request to transfer cover is accepted, you should cancel your previous insurance cover and have sufficient money in your Super-savings account to pay the applicable premiums. If you don t cancel your previous cover, you may not be entitled to any insured benefit (based on the transferred cover) from Sunsuper. Call us on to obtain the Transfer of insurance form or visit sunsuper.com.au/kinetic-super to download the Transfer of insurance form. What happens during Unpaid Leave or parental leave? Your Death and Total & Permanent Disability cover will continue. During the first 12 months of leave, the Total & Permanent Disability definition that will generally apply will be the definition that applied while you were working. If your period of leave continues past 12 months you may be assessed under a different part of the Total & Permanent Disability definition - refer to 11. Definitions Total & Permanent Disablement. Premiums will continue to be deducted from your Super-savings account during the period of leave. You need to ensure you have sufficient money in your Super-savings account during the period of leave to pay your premiums. Worldwide cover Your cover will provide you with insurance cover if you travel outside Australia. However, you should note if you make a claim for Terminal Illness or Total & Permanent Disability, the insurer may require you to return to Australia at your own expense to enable your claim to be assessed and to secure the payment of any Terminal Illness or Total & Permanent Disability benefit. What happens if I die? If you die while you re an insured member under age 70, a Death benefit may be paid to your nominated beneficiaries (subject to Trustee discretion unless you have elected a binding death benefit nomination). Your Death benefit is the amount of your Sunsuper for life Super-savings account balance plus the total amount of your Death cover. Any benefit payment for your Death cover is subject to acceptance of the claim by the insurer. It is important that in the event of your death, Sunsuper is notified by a relative or legal personal representative to enable the claims process to begin. Once we receive formal notification of your death, your Super-savings account will normally be transferred to the Cash investment option. Any insurance benefit paid into your Super-savings account will also be invested in the Cash investment option, and will remain invested there until the Trustee finalises payment of your Death benefit. In limited circumstances you will not be eligible to claim on the Death cover through Sunsuper. See Eligibility for automatic Death and Total & Permanent Disability Cover on page 5. Within 13 months of when your automatic Death cover commenced or increased and you were not in Active Employment, or where your initial employer contribution was more than 180 days after the date you joined your employer, you will not be eligible to claim where your death results from suicide or from an intentional self-inflicted injury. p11

14 When happens if I am totally and permanently disabled? A Total & Permanent Disability benefit may be payable if you re an insured member under age 70 and satisfy the definition of Total and Permanent Disablement. The Total & Permanent Disability definition is on page 30, along with explanations on how the Total & Permanent Disability definition is applied. These terms are defined in further detail in the insurance policy and may have different meanings to their commonly held definitions. Contact us on if you need more information. In most cases, the Date of Disablement will be deemed to be the later of the date on which a Medical Practitioner certifies you suffered the illness/injury (which is the principal cause of your total and permanent disablement) and the date you ceased all employment. The Date of Disablement must occur while you re insured for Total & Permanent Disability cover. In limited circumstances you may not be eligible to claim on the Total & Permanent Disability cover through Sunsuper. See Eligibility for automatic Death and Total & Permanent Disability cover on page 5. Before a Total & Permanent Disability insured benefit can be paid to you, the Trustee must also be satisfied that it is payable under superannuation legislation. What happens if I am terminally ill? A Terminal Illness benefit may be payable if you re an insured member and satisfy the definition of Terminally Illness. You ll be considered to have a Terminal Illness if: two registered Medical Practitioners have certified in writing that, despite reasonable medical treatment, your illness will lead to death within 24 months of the date of the certification, and at least one of the registered Medical Practitioners is a specialist practicing in your illness. The insurer must also be satisfied you re terminally ill by completing all necessary claim forms and providing other evidence as requested. The illness and date of certification must take place while you re insured for Death cover. If there are two different dates of certification, the later of the dates is considered the date of certification. Before a Terminal Illness insured benefit can be paid to you, the Trustee must also be satisfied that it is payable under superannuation legislation. The benefit may be free from tax if it meets the definition of a Terminal Medical Condition under taxation legislation. If you have Death cover and the insurer accepts your claim for Terminal Illness, the benefit paid is the amount of your Supersavings account balance plus the amount of your Death cover in force at the most recent certification (up to a maximum of $1 million). The remaining amount of Death cover (if any) is then your total Death cover, less the amount of insurance cover paid by the insurer on account of your Terminal Illness benefit. Your premiums will be adjusted to allow for the reduction in the amount of any continuing cover. Let us help you At Sunsuper, we understand that making a claim can sometimes be a stressful and difficult process. We understand that the circumstances of every claim are as different as the individuals making them. To help you and your family through this difficult time, we have experienced Claims Representatives that can help guide you through the claims process from start to finish. All of our Claims Representatives are trained to understand and explain our claims process. Once you make the initial contact with us to commence a claim, you will be assigned an individual Claims Representative to help you through the rest of the process and answer your questions. p12

15 6 Income Protection Insurance The insurance policy contains important provisions defining an insured member s ability to claim a benefit payment and the restrictions or exclusions that apply. These are summarised in this section. Intention behind Income Protection The intention of income protection insurance cover is to provide you with an income and financial support, should you become temporarily unable to work due to an injury or illness. It can give you the peace of mind that you can pay your expenses while you focus on your health and recovery. Members who are employed on a permanent, part-time, contract or casual basis will be covered if they were eligible when they applied for cover. You may be able to claim a Total Disability benefit if you are unable to work due to injury or illness. To be considered disabled, you must be unable to generate at least 20% of your overall income, from one of your major duties of your regular occupation. You will be covered for up to 75% of the income you were earning before becoming Totally or Partially Disabled; this is known as your monthly benefit. You may receive up to an additional 10% superannuation guarantee contributions paid into your superannuation account, ensuring you continue to save for retirement. Where you are working in a reduced capacity and earning less, due to injury or illness, you may be able to claim a partial disability benefit to help with your transition back to work in a full capacity. We will support you through this process. If you are paid a monthly benefit it will be reduced where you receive other disability benefits, such as workers compensation or benefits from other income protection policies. This prevents you from receiving more income than you earned before you were injured or ill. We provide various Waiting Periods and Benefit Periods in order to offer you flexibility to suit your personal needs. The Waiting Period is the length of time you must be injured or ill before you can claim a benefit. The Benefit Period is the maximum period you can claim benefits whilst you are disabled. p13

16 Income Protection options There are two types of Income Protection cover available to you: 1. New Member Income Protection - must be selected by you within 120 days from when your Kinetic Super or Sunsuper welcome communication was issued (whichever you received first), 2. Personalised Income Protection - this can be applied for at any time. Comparing our Income Protection options Feature New Member Income Protection Personalised Income Protection Cover obtained Opt in 1 By application Benefit Period 2 years 2 years, 5 years, to age 65 Waiting Period 90 days 30, 60, 90 days Cover up to age 65 Covers Self-Employed members X Partial disablement payments Indexation of claim benefits X 3 Occupational Rehabilitation support Cover during paid & Unpaid leave 2 Cover during overseas employment Limited cover Maximum cover per month Premium waiver when on claim 24 months and 30 day Active Employment requirement $3,000 ($5,000 if you have a White Collar occupation) X $25, Within 120 days from when your Kinetic Super or Sunsuper welcome communication was issued (whichever you received first) you can apply to add New Member Income Protection cover. 2. Income Protection cover will stop where your period of Unpaid Leave or parental leave exceeds 24 months. 3. Indexation applies to Benefit Periods greater than 2 years. How to apply for New Member Income Protection cover? When you join the Fund, you have 120 days from when your Kinetic Super or Sunsuper welcome communication was issued (whichever you received first) in which you can add optional Income Protection cover without complicated forms and providing medical information. You are eligible for New Member Income Protection cover if you are, aged 14 to 64, you are Actively Employed, and your employer has elected Kinetic as their superannuation provider and your employer is paying superannuation guarantee (SG) contributions to the fund. You can apply for Income Protection cover by: completing the New Member options form available at sunsuper.com.au/kinetic-super, the application must be made within 120 days from when your Kinetic Super or Sunsuper welcome communication was issued. Note: Former Kinetic Super members who had Income Protection insurance immediately prior to 12 May 2018 will receive equivalent cover upon transition. Applications are limited to $5,000 p.m. cover for White Collar occupations and $3,000 p.m. cover for Standard occupations. Applications for New Member Income Protection cover are also limited to a maximum 2-year Benefit Period and a 90-day Waiting Period. If you apply within 120 days your Income Protection cover will commence from the date we receive your completed application. If you re not in Active Employment at the time cover commences, the cover will be Limited Cover only. Limited Cover generally means that you are only covered for claims arising from an illness that first becomes apparent or an injury that first occurs after your cover commences, restarts or increases. Limited Cover will apply until you satisfy the Active Employment requirements for 60 consecutive days. Active Employment means performing or being able to perform your work duties for at least 35 hours per week without restriction due to illness or injury, whether or not you actually work those hours. p14

17 How to apply for Personalised Income Protection cover? If you are not eligible for New Member Income Protection cover or want to change your cover you can apply for Personalised cover if, you wish to select a different Benefit Period or Waiting Period, or you have previously cancelled your cover and want to reapply, or you simply want to increase your level of cover. You can apply for Personalised Income Protection cover by: completing the Personalised cover application form available at sunsuper.com.au/kinetic-super, or call us on to request a copy. Depending on the details you provide, the insurer may request more information about your health. Any application for cover is subject to acceptance by the insurer. Sunsuper reserves the right to limit the amount of Personalised Income Protection cover provided. When does cover commence? If accepted by the insurer, New Member Income Protection cover for eligible persons will commence on the date the completed application form is received by the insurer. Personalised Income Protection cover won t commence until the insurer approves your application. You ll be advised of the outcome in writing. The insurer may apply exclusions, loadings or special conditions to any Personalised Income Protection cover. There must be sufficient money in your Super-savings account to pay for the premiums, otherwise cover won t commence until another application is made, and accepted by the insurer. Maximum amount of Personalised cover You can apply for an amount of cover up to 85% of your Income (75% of your Income plus 10% superannuation contribution) but not more than $25,000 per month. Occupational categories The amount you pay for your cover is based on the type of work you do, because there are different risks involved. For cost purposes, there are two occupational categories: White Collar where the duties of your occupation are 100% limited to professional, managerial, administrative, clerical, secretarial or similar white collar natured tasks that does not involve manual work and is undertaken entirely within an office environment (excluding reasonable travel time (no more than 10%) from one office environment to another). Standard members who do not meet the White Collar definition or do not nominate an occupation at the time they receive cover. All new members are classed as Standard and will remain so until we receive from you a completed White Collar form and the insurer accepts your status. Your new occupational category will apply from the date the insurer accepts your application. If accepted, a White Collar occupation will entitle you to cover at a reduced cost. You can request a change to your occupational category by completing the Insurance variation form at sunsuper.com.au/kinetic-super. You can also request a change to your occupational category over the phone. Interim accident cover If you apply to increase your existing Income Protection cover, interim accident cover will apply from the date your fully completed application form is received. The interim cover ends on the earlier of acceptance, rejection of your application or 120 days from receipt of your application. Interim accident cover provides a benefit if you become Totally Disabled within 120 days of an Accident that occurs during the interim accident cover period. Your Total Disability must arise from a bodily injury caused solely and directly by accidental, external and visible means. The amount of the interim accident benefit is the lesser of the amount (or additional amount) you are applying for and $15,000 per month. Cover is limited to a two-year benefit payment period and a 90-day Waiting Period (unless you have existing cover with a Waiting Period that differs). If an interim accident benefit is payable to you or you make a claim, your application for cover will automatically be cancelled. p15

18 Cost of cover p16 The cost of Income Protection cover is based on your amount of cover, Benefit Period, Waiting Period, occupation category (i.e. White Collar or Standard ) and your age. You can choose a 30, 60 or 90-day Waiting Period, and a Benefit Period of 2 years, 5 years or to age 65. The cost of cover will be calculated weekly and generally deducted directly from your Super-savings account each month. Premiums are waived for an insured member while in receipt of benefit payments. Standard Occupation - Income Protection premium rates Cost of cover per annum per $1,000 of cover Waiting period (days) Benefit period 2 years 2 years 2 years 5 years 5 years 5 years to age 65 to age 65 to age 65 Your age 14 $9.99 $6.01 $2.35 $13.73 $8.25 $3.26 $27.15 $16.28 $ $9.99 $6.01 $2.35 $13.73 $8.25 $3.26 $27.15 $16.28 $ $9.97 $5.96 $2.35 $13.68 $8.21 $3.26 $27.65 $16.59 $ $9.92 $5.94 $2.38 $13.62 $8.18 $3.26 $28.14 $16.87 $ $9.90 $5.94 $2.35 $13.60 $8.16 $3.23 $28.60 $17.16 $ $9.86 $5.92 $2.35 $13.53 $8.12 $3.23 $29.11 $17.47 $ $9.81 $5.90 $2.35 $13.95 $8.36 $3.34 $29.61 $17.78 $ $9.79 $5.87 $2.35 $13.90 $8.32 $3.37 $30.10 $18.06 $ $9.75 $5.85 $2.35 $13.86 $8.32 $3.37 $30.58 $18.35 $ $9.79 $5.85 $2.38 $13.86 $8.32 $3.39 $31.26 $18.77 $ $9.79 $5.85 $2.42 $13.90 $8.32 $3.39 $31.92 $19.16 $ $9.81 $5.87 $2.42 $14.39 $8.65 $3.56 $32.63 $19.58 $ $9.81 $5.90 $2.44 $14.41 $8.67 $3.59 $33.31 $19.98 $ $9.83 $5.90 $2.46 $14.45 $8.67 $3.63 $33.99 $20.37 $ $9.90 $5.94 $2.46 $14.56 $8.73 $3.65 $34.74 $20.83 $ $9.99 $5.98 $2.49 $14.65 $8.80 $3.65 $35.49 $21.30 $ $10.05 $6.03 $2.49 $15.25 $9.13 $3.76 $36.23 $21.74 $ $10.14 $6.09 $2.49 $15.36 $9.20 $3.76 $36.98 $22.20 $ $10.23 $6.12 $2.51 $15.47 $9.28 $3.78 $37.73 $22.66 $ $10.67 $6.38 $2.60 $16.15 $9.70 $3.94 $39.73 $23.83 $ $11.11 $6.67 $2.73 $16.81 $10.08 $4.11 $41.69 $25.01 $ $11.55 $6.91 $2.82 $17.97 $10.78 $4.38 $43.69 $26.22 $ $12.01 $7.19 $2.93 $18.68 $11.22 $4.55 $45.67 $27.41 $ $12.45 $7.46 $3.04 $19.36 $11.62 $4.71 $47.65 $28.60 $ $13.24 $7.96 $3.30 $20.61 $12.36 $5.15 $50.84 $30.49 $ $14.06 $8.45 $3.56 $21.87 $13.11 $5.54 $54.03 $32.43 $ $14.85 $8.93 $3.83 $23.72 $14.23 $6.09 $57.20 $34.32 $ $15.69 $9.42 $4.09 $25.01 $15.00 $6.51 $60.37 $36.21 $ $16.50 $9.90 $4.36 $26.31 $15.77 $6.93 $63.54 $38.13 $ $17.75 $10.65 $4.86 $28.36 $17.03 $7.77 $67.94 $40.77 $ $19.05 $11.42 $5.39 $30.40 $18.26 $8.58 $72.34 $43.41 $ $20.37 $12.19 $5.87 $33.24 $19.95 $9.64 $76.71 $46.02 $ $21.63 $12.98 $6.38 $35.35 $21.23 $10.47 $81.09 $48.66 $ $22.92 $13.75 $6.91 $37.47 $22.48 $11.31 $85.49 $51.28 $ $24.88 $14.94 $7.79 $40.70 $24.42 $12.72 $90.51 $54.32 $ $26.84 $16.10 $8.60 $43.91 $26.36 $14.10 $95.52 $57.33 $ $28.82 $17.29 $9.46 $48.18 $28.91 $15.84 $ $60.30 $ $30.78 $18.48 $10.32 $51.46 $30.87 $17.25 $ $63.32 $ $32.76 $19.65 $11.18 $54.74 $32.87 $18.68 $ $66.33 $ $37.27 $22.40 $12.98 $62.33 $37.40 $21.69 $ $70.62 $ $41.84 $25.10 $14.78 $69.92 $41.93 $24.73 $ $74.91 $ $46.38 $27.83 $16.59 $78.98 $47.39 $28.29 $ $79.20 $ $50.91 $30.56 $18.41 $86.68 $52.03 $31.33 $ $83.47 $ $55.46 $33.26 $20.22 $94.42 $56.65 $34.43 $ $87.78 $ $58.39 $35.02 $20.83 $99.44 $59.66 $35.51 $ $81.64 $ $61.34 $36.81 $21.47 $ $62.68 $36.56 $ $75.55 $ $64.26 $38.59 $22.11 $ $69.45 $41.38 $ $69.45 $ $67.21 $40.35 $22.73 $ $63.32 $36.56 $ $63.32 $ $70.14 $42.11 $23.36 $95.35 $57.22 $31.75 $95.35 $57.22 $ $62.66 $37.60 $19.84 $62.66 $37.60 $19.84 $62.66 $37.60 $ $27.59 $16.57 $8.14 $27.59 $16.57 $8.14 $27.59 $16.57 $ Rounding variations may occur when calculating premiums.

19 White Collar Occupation - Income Protection premium rates Cost of cover per annum per $1,000 of cover Waiting period (days) Benefit period 2 years 2 years 2 years 5 years 5 years 5 years to age 65 to age 65 to age 65 Your age 14 $4.54 $2.73 $1.07 $6.24 $3.75 $1.48 $12.34 $7.40 $ $4.54 $2.73 $1.07 $6.24 $3.75 $1.48 $12.34 $7.40 $ $4.53 $2.71 $1.07 $6.22 $3.73 $1.48 $12.57 $7.54 $ $4.51 $2.70 $1.08 $6.19 $3.72 $1.48 $12.79 $7.67 $ $4.50 $2.70 $1.07 $6.18 $3.71 $1.47 $13.00 $7.80 $ $4.48 $2.69 $1.07 $6.15 $3.69 $1.47 $13.23 $7.94 $ $4.46 $2.68 $1.07 $6.34 $3.80 $1.52 $13.46 $8.08 $ $4.45 $2.67 $1.07 $6.32 $3.78 $1.53 $13.68 $8.21 $ $4.43 $2.66 $1.07 $6.30 $3.78 $1.53 $13.90 $8.34 $ $4.45 $2.66 $1.08 $6.30 $3.78 $1.54 $14.21 $8.53 $ $4.45 $2.66 $1.10 $6.32 $3.78 $1.54 $14.51 $8.71 $ $4.46 $2.67 $1.10 $6.54 $3.93 $1.62 $14.83 $8.90 $ $4.46 $2.68 $1.11 $6.55 $3.94 $1.63 $15.14 $9.08 $ $4.47 $2.68 $1.12 $6.57 $3.94 $1.65 $15.45 $9.26 $ $4.50 $2.70 $1.12 $6.62 $3.97 $1.66 $15.79 $9.47 $ $4.54 $2.72 $1.13 $6.66 $4.00 $1.66 $16.13 $9.68 $ $4.57 $2.74 $1.13 $6.93 $4.15 $1.71 $16.47 $9.88 $ $4.61 $2.77 $1.13 $6.98 $4.18 $1.71 $16.81 $10.09 $ $4.65 $2.78 $1.14 $7.03 $4.22 $1.72 $17.15 $10.30 $ $4.85 $2.90 $1.18 $7.34 $4.41 $1.79 $18.06 $10.83 $ $5.05 $3.03 $1.24 $7.64 $4.58 $1.87 $18.95 $11.37 $ $5.25 $3.14 $1.28 $8.17 $4.90 $1.99 $19.86 $11.92 $ $5.46 $3.27 $1.33 $8.49 $5.10 $2.07 $20.76 $12.46 $ $5.66 $3.39 $1.38 $8.80 $5.28 $2.14 $21.66 $13.00 $ $6.02 $3.62 $1.50 $9.37 $5.62 $2.34 $23.11 $13.86 $ $6.39 $3.84 $1.62 $9.94 $5.96 $2.52 $24.56 $14.74 $ $6.75 $4.06 $1.74 $10.78 $6.47 $2.77 $26.00 $15.60 $ $7.13 $4.28 $1.86 $11.37 $6.82 $2.96 $27.44 $16.46 $ $7.50 $4.50 $1.98 $11.96 $7.17 $3.15 $28.88 $17.33 $ $8.07 $4.84 $2.21 $12.89 $7.74 $3.53 $30.88 $18.53 $ $8.66 $5.19 $2.45 $13.82 $8.30 $3.90 $32.88 $19.73 $ $9.26 $5.54 $2.67 $15.11 $9.07 $4.38 $34.87 $20.92 $ $9.83 $5.90 $2.90 $16.07 $9.65 $4.76 $36.86 $22.12 $ $10.42 $6.25 $3.14 $17.03 $10.22 $5.14 $38.86 $23.31 $ $11.31 $6.79 $3.54 $18.50 $11.10 $5.78 $41.14 $24.69 $ $12.20 $7.32 $3.91 $19.96 $11.98 $6.41 $43.42 $26.06 $ $13.10 $7.86 $4.30 $21.90 $13.14 $7.20 $45.70 $27.41 $ $13.99 $8.40 $4.69 $23.39 $14.03 $7.84 $47.97 $28.78 $ $14.89 $8.93 $5.08 $24.88 $14.94 $8.49 $50.25 $30.15 $ $16.94 $10.18 $5.90 $28.33 $17.00 $9.86 $53.50 $32.10 $ $19.02 $11.41 $6.72 $31.78 $19.06 $11.24 $56.74 $34.05 $ $21.08 $12.65 $7.54 $35.90 $21.54 $12.86 $59.99 $36.00 $ $23.14 $13.89 $8.37 $39.40 $23.65 $14.24 $63.23 $37.94 $ $25.21 $15.12 $9.19 $42.92 $25.75 $15.65 $66.49 $39.90 $ $26.54 $15.92 $9.47 $45.20 $27.12 $16.14 $61.86 $37.11 $ $27.88 $16.73 $9.76 $47.47 $28.49 $16.62 $57.23 $34.34 $ $29.21 $17.54 $10.05 $52.61 $31.57 $18.81 $52.61 $31.57 $ $30.55 $18.34 $10.33 $47.97 $28.78 $16.62 $47.97 $28.78 $ $31.88 $19.14 $10.62 $43.34 $26.01 $14.43 $43.34 $26.01 $ $28.48 $17.09 $9.02 $28.48 $17.09 $9.02 $28.48 $17.09 $ $12.54 $7.53 $3.70 $12.54 $7.53 $3.70 $12.54 $7.53 $ Rounding variations may occur when calculating premiums. p17

20 7 General Income Protection Insurance Information We are here to assist The road to recovery can be a difficult path both financially and emotionally. As your ability to earn an income is the cornerstone to your standard of living, it s important to regain your capability to earn. If you have an injury, disability or health condition we can arrange work related rehabilitation to assist you back to suitable work. Our insurer s occupational rehabilitation consultants will collaborate with you, your treating health professionals, rehabilitation provider and employer to assist you in returning to work. Disability criteria (total and partial disability) If you re an insured member, an Income Protection benefit may be paid if you re unable to work due to Total Disability or Partial Disability, after the Waiting Period has ended. Income Protection benefits are only payable for one disability at a time. You ll be considered Totally Disabled if, in the opinion of the insurer, because of illness or injury, you have ceased to be Gainfully Employed and are unable to perform at least one income-producing duty of your own occupation (which produces at least 20% of your income) and, not working in any occupation (paid or unpaid). You ll be considered Partially Disabled if, in the opinion of the insurer, you ve been totally disabled for at least 14 days, are unable to work in your own occupation at full capacity immediately after becoming Totally Disabled because of the illness or injury that caused your Total Disability, are working in your own occupation or working in another occupation in a reduced capacity and earn a monthly income that is less than your Pre-disability income. In both cases, you must be under the regular care of and following the advice of a Medical Practitioner. The relevant definitions in the policy are summarised here in simpler language, but ultimately your ability to claim a Total or Partial Disability benefit depends on you meeting the exact terms of the policy. Call us on for more information. Payment of benefits Subject to the insurer s assessment of your claim, benefit payments are effective from the day after the applicable Waiting Period ends (see Waiting periods on page 20 for more information). Benefit payments are paid monthly in arrears with adjustments made for partial months. In the event of an approved claim, Income Protection provides you a monthly benefit payment of up to a maximum amount of $25,000 per month and will cease on the expiry of your chosen Benefit Period or at such time the insurer determines that you no longer meet the definition of Total Disability or Partial Disability. The monthly benefit payments will be the lower of: the level of cover selected by you less any offsets, and 75% of your Pre-disability income less any offsets. You ll also receive an additional Super Monthly Benefit (which is the lesser of 10% of your Pre-disability income or the monthly compulsory superannuation contribution from your employer averaged over the last 12 months). The Super Monthly Benefit will be paid to your Super-savings account. The benefit paid to you is taxable income and attracts PAYG tax (the same as salary and wages) which will be deducted from the benefit before it is paid to you. Updating your Income Protection cover It is important you keep your level of cover up to date. You should ensure you have sufficient cover in place on an ongoing basis (e.g. if you have a salary increase or decrease) as you ll only be paid benefits based on the level of cover you have in place when you become injured or ill. As benefit payments are limited to 85% of your Pre-disability income if your income decreases you may need to amend your level of cover. An increase in cover must be applied for and accepted by the insurer. p18

21 Partial disability benefit A reduced monthly benefit may be payable in the event of Partial Disability. Where you are unable to work due to illness or injury, and following a period of Total Disability for at least 14 days of the Waiting Period, and your ongoing disablement during the remainder of the Waiting Period, and you are unable to work in your own or alternative occupation at full capacity, and your monthly income is less than your Pre-disability income, and your are under the care of, and complying with the reasonable advice given by a Medical Practitioner. We will pay a partial disablement monthly benefit. The benefit payable is calculated in accordance with the following formula. Current Income Pre Disability Income A partial Super Monthly Benefit is also payable. The measure of income used for benefit purposes If you re employed on a permanent basis, your income is your annual salary from working for your employer on the last working day prior to the date of disability (as specified in your employment contract). Special rules apply to the calculation of income if you are employed on a permanent basis but are on leave without pay. If you re not employed on a permanent basis, your income is the average remuneration you have received over the most recent 12 months from all regular occupations. For Income Protection purposes, the following are considered income, cash salary, bonuses, overtime and shift allowances (the last three being averaged over the last three years), and any packaged elements not received directly as taxable earnings. For self-employed members, income is defined as the annual income generated by the member s business or practice directly due to the member s own personal exertion or his or her usualoccupation activities less the member s annual share of business expenses (but before the deduction of income tax). Proof of income X Monthly Benefit In the event of a claim, proof of Income is required to ensure your benefit does not exceed 85% of your income at the first day of absence from Active Employment due to illness or injury resulting in Total Disability. Will there be offsets to my benefit payment? An offset means that the benefit payable may be reduced if you receive other income while you re unable to work due to injury or illness. Your Income Protection benefit payment may be reduced by the following payments, any paid sick leave from your employer, any amounts payable under workers compensation or motor accident compensation, any benefits payable under other Income Protection insurance policies (including to replace compulsory superannuation entitlements), any income which, in the insurer s opinion, you could reasonably be expected to earn in your occupation while disabled, and any other lump sum payment which relates to loss of income due to illness or injury. Income received in a lump sum form will be treated as the monthly equivalent of 1/60th of the lump sum over a period of 60 months. The part of your benefit that is payable as a Super Monthly Benefit to your Super-savings account will also be reduced by payments under other income protection policies that replace compulsory employer superannuation contributions. Recurrent disability Following a claim, if you suffer a recurrence of Total Disability or Partial Disability arising from the same or related cause as the first claim within six months of last receiving a benefit payment, the further claim will be: a) the subsequent period of disablement will be treated as a continuation of the prior period, b) the Waiting Period will be waived but also the benefit payment periods will be added together to determine when the benefit payment period ends. Benefit indexation of Personalised Income benefit payments Where on claim, benefit payment amounts will be indexed where your chosen benefit payment exceeds two years. Your benefit payments will be indexed by the lesser of the Consumer Price Index (CPI) or 5% on each anniversary of the commencement of your continuing Personalised Income Protection claim. Death Benefit while on claim We will pay a Death Benefit equal to two times the monthly benefit payment amount if you die while in receipt of Total Disability or Partial Disability income protection benefit payments. Payment of this benefit does not impact any existing Death cover. p19

22 Period of benefit payments The payment period is the maximum length of time you ll receive payments in the event you re Total Disabled or Partial Disabled, from the time you re first entitled to benefits (i.e. at the end of the waiting period). You can choose a Benefit period of 2 years, 5-years or to age 65. The longer the Benefit period, the higher your insurance premium. The shorter the Benefit period, the lower the insurance premium. Waiting periods Income Protection cover has a waiting period that determines how long you need to wait from when you stop working due to illness or injury before a benefit will be payable to you. There are three waiting periods from which you can choose: 30, 60 or 90 days. The longer the waiting period before you commence receiving benefits, the lower your insurance premium. The shorter the waiting period, the higher the insurance premium. The waiting period starts on the date a Medical Practitioner examines you and certifies you are Totally Disabled or Partially Disabled. You must be Totally Disabled for at least 14 out of the first 19 consecutive days of the waiting period to qualify for a Partial Disability payment. If you return to work at full capacity during the waiting period, the waiting period starts again unless the return to work happens once and is for no longer than five consecutive days. If this happens, the waiting period will be extended by the additional number of days of work. A benefit may not start immediately after the end of the waiting period if your disability occurs while on employer approved leave without pay. The waiting period doesn t apply if you re disabled again from the same or a related cause within six months of last receiving a disability benefit. However, the insurer will treat this as a continuation of the original claim for the purpose of determining the maximum benefit payment period. See Recurrent disability on page 19. When does Income Protection cover stop? Income Protection cover will end on the earliest of the following events: you die, you turn 65 years of age, you cancel the cover, you cease to be a member of the fund, you join any armed forces other than the Australian Armed Forces Reserve, your period of Unpaid leave or parental leave exceeds 24 months and you provide suitable documentation from your employer confirming you are on approved extended leave of up to 24 months, as soon as your Super-savings account balance has insufficient funds to meet the premium required, the date the insurance policy terminates, or your Super-savings account balance is below $6,000 and we haven t received an eligible contribution for 10 months or more, unless you provide suitable documentation from your employer confirming you are on approved extended leave of up to 24 months. We will send you a notification advising you that your insurance cover will cease and when it will cease (unless you take certain steps). For further information about the steps you can take (including the documentation required from an employer to confirm you are on approved extended leave) call us on If your Income Protection cover has ceased satisfactory evidence of health will be required to restart cover. It is your responsibility to check there is always enough money in your Super-savings account to pay insurance premiums. What happens if I want to reduce or cancel my cover? If you don t want Income Protection cover, or you just want to reduce or modify your cover, you need to let us know in writing or by calling us on , otherwise the premiums will normally be deducted from your Super-savings account each month. The cancellation or reduction will be effective from the date your instruction is received. p20

23 Worldwide cover If you travel outside of Australia you will continue to be covered for Income Protection cover. However, you should note if you become disabled while overseas and make a claim, the insurer may require you to return to Australia at your own expense to enable your claim to be assessed and accepted. Note: the maximum time the insurer will pay benefits while you re overseas is generally six months. Cover while on leave without pay If you re on leave without pay at the date of becoming disabled while insured, benefit payments will not commence until after the date you were due to return to work prior to the commencement of leave (as approved by your employer). Members will be able to be unemployed for up to 90 days and remain eligible to claim their Income Protection benefit. When does payment of the benefit stop? Benefit payments start after the end of the Waiting Period, and will cease upon the earliest of any of the following events: you no longer satisfy the definition of Total Disability or Partial Disability, as assessed by the insurer, the end of the benefit payment period, for a Partial Disability benefit, the date you earn, or become capable of earning, a monthly salary equal to or greater than your Pre-Disability income, you are no longer under the care of, and or complying with the reasonable advice given by a Medical Practitioner, you reside overseas and have received six months of benefit payments, unless in the insurers opinion it is not medically possible for you to return to Australia, you reach age 65, or your death. The benefit will be paid even if the insurer assesses you to be Totally and Permanently Disabled. Providing you were an insured member of Sunsuper at the time you finished work due to the injury or sickness that gave rise to a claim, monthly income benefits will be payable or continue to be paid, regardless of whether you continue to be a member of Sunsuper. Restrictions and exclusions Income Protection benefits will not be payable if an illness, injury or medical condition is directly or indirectly caused by: war (whether declared or not), revolution, invasion, rebellion or civil unrest, a self-inflicted injury or illness or attempt to take your own life, whether or not you re sane at the time, or normal pregnancy or child birth (as defined in the insurance policy). Transferring other insurance If you have other Income Protection cover (e.g. through another super fund) and you re under the age of 60 at the date of transfer, you can request to transfer cover up to $20,000 per month to Sunsuper. An application to transfer cover is subject to the insurer s acceptance. Any cover transferred will be Personalised Income Protection Cover. Additional premiums will apply. These will normally be deducted from your Super-savings account monthly. You may not be eligible to transfer your cover if: you have been paid, submitted or eligible to lodge a Total & Permanent Disability, disability benefit or Terminal Illness claim, at the date of transfer you are terminally ill with a life expectancy of less than 12 months, or you are not in Active Employment immediately before the date of transfer, You must also transfer your account balance in your previous fund to Sunsuper and have sufficient money in your Super-savings account to pay applicable premiums. It s important you include all required documentation, which will include: an up-to-date statement from your former fund detailing your current insurance cover, details of any loadings, exclusions and restrictions applicable to that cover, and the statement must have been issued within 30 days of your application. If your application is accepted by the insurer: you will be subject to the terms and conditions outlined in the insurance policy provided by Colonial Mutual Life Assurance Society Limited, the Waiting Period and Benefit Period you had will be transferred where they are offered under the policy, or where not available under the policy, the Waiting Period will be the next longest period and the Benefit Period the next shortest period offered by the policy, any premium loadings or exclusions that applied to your transferred cover will continue to apply, the transferred cover will be additional to any existing cover you have subject to your total Income Protection cover not exceeding 85% of your Income. The maximum benefit limit is $20,000 per month, you will need to cancel the cover you had under your previous fund. The commencement of your transferred cover is subject to you cancelling your previous insurance cover and having sufficient money in your Super-savings account to pay applicable premiums. Once your request to transfer cover is accepted, you should cancel your previous insurance cover and have sufficient money in your Super-savings account to pay the applicable premiums. If you don t cancel your previous cover, you may not be entitled to any insured benefit (based on the transferred cover) from Sunsuper. Call us on to obtain the Transfer of insurance form or visit sunsuper.com.au/kinetic-super to download the Transfer of insurance form. p21

24 8 Facts about making a claim Let us help you At Sunsuper, we understand that making a claim can sometimes be a stressful and difficult process. We understand that the circumstances of every claim are as different as the individuals making them. To help you and your family through this difficult time, we have experienced Claims Representatives that can help guide you through the claims process from start to finish. All of our Claims Representatives are trained to understand and explain our claims process. Once you make the initial contact with us to commence a claim, you will be assigned an individual Claims Representative to help you through the rest of the process and answer your questions. Sunsuper insurance claims guide Want to know more about: Making a claim How a claim is assessed We have developed a guide to help step you through the various claims processes. Visit sunsuper.com.au/makeaclaim for more information on making a claim. Do you need a lawyer to assist with your claim? Every insurance claim is different. Our claim process has been designed so that in most cases you or your family should not need the assistance of a lawyer when making a claim with Sunsuper. Our experienced Claims Representatives are here to assist you with your claim throughout the whole process. However, if you wish to engage the services of a lawyer to assist with your claim you can do so at any time. Remember, we are here to help, so call us on if you have any questions about how to make a claim. How to make a claim While we do hope that you never need to, the following information may assist you in understanding the claim process in the event that you do need to make a claim. Any claim process will involve: notification to us, gathering information and providing it to us, assessment of the insurance claim by the insurer, assessment by the Sunsuper Trustee, including determination of the beneficiary(ies), decision by the Sunsuper Trustee, payment of the claim, if approved. These steps do take some time, although our experienced Claims Representatives will help you at every stage of the process. Further information may be requested at different stages of the process, and with disablement claims you may be required to undergo an examination by a Medical Practitioner or professional of the insurer s choice. The insurer will usually meet the costs associated with any additional information requests. Disablement claims (Total & Permanent Disability, Income Protection and Terminal Illness) Sunsuper should be notified as soon as reasonably possible after an event that is likely to give rise to a disablement or Terminal Illness claim. Please note that there is a 3-month Waiting Period before a Total & Permanent Disablement claim becomes assessable, and a Waiting Period applicable to you in the event of an Income Protection claim. If you don t have insurance with us, you may still be able to claim your super balance under a Permanent Incapacity benefit. If you are suffering from a Terminal Medical Condition you may also be able to access your super balance. Please contact Sunsuper on to discuss these options. p22

25 If your claim is declined If your claim is declined by the insurer, your claim will be referred to the Sunsuper Trustee for independent assessment. If the Sunsuper Trustee declines your claim and you disagree with this decision you may lodge a complaint, in writing, with Sunsuper. Your complaint will be investigated, and if the decision to decline your claim is confirmed by the Fund, you may ask the Superannuation Complaints Tribunal (SCT) whether you are eligible to submit a complaint. There are time limits on when you can make a complaint to the SCT about a TPD claim. Call the SCT on or visit their website for more information about these time limits. Incorrect information and eligibility for cover If your recorded age is incorrect, the insurer has the right to adjust the premium or the benefit based on correct information. As a general rule, your eligibility for cover will not be assessed until you make a claim. Please refer to Eligibility for automatic Death and Total & Permanent Disability cover on page 5. Claims after your cover has stopped If an event occurs before the date your cover stops or is terminated, and that event entitles you to make an insurance claim, you may still be eligible for that payment even after your cover has stopped. Claim investigation If you make a claim, the insurer reserves the right to investigate the claim including but not limited to conducting surveillance and requesting information and medical examinations. Occupational Rehabilitation in Sunsuper - Work is Good Medicine At Sunsuper we work with our insurer to offer you access to experienced rehabilitation teams. If you are on an income protection claim due to an injury, disability or health condition we can arrange work related rehabilitation to assist you back to meaningful work. We work in partnership with you, your treating health professionals and employer to assist you back to suitable work as part of your recovery plan. If you are unemployed, we can assist you to improve your fitness for work. Returning to work restores more than your income. It helps to restore your identity and self-esteem. Rehabilitation services may include: initial meetings with a rehabilitation provider to identify your return to work needs, work place visits to identify solutions in your return to work plan, equipment to ensure you maintain your job, career guidance to explore alternative work options if you can t work in your usual role, improving your skills and capabilities so that your return to work is sustainable. Rehabilitation is not appropriate for everyone, and you will work in with your claims assessor if it is appropriate for you. p23

26 9 Other important information Death, Terminal Illness and Total & Permanent Disability Policy If you have multiple accounts in Sunsuper with insurance through Colonial Mutual Life Assurance Society Limited and a claim arises, only one benefit is payable to you in relation to the claim. Cover won t start if you were previously insured under the Fund s insurance policy and that cover ended unless you have been reinstated. Notification of any claims must be made as soon as possible, otherwise acceptance, or the amount of the claim may be affected. To process a claim the insurer can seek medical evidence or require you to undergo medical examinations or tests. The insurer may not pay a benefit arising from war or pandemic illness in certain circumstances. In some circumstances benefits may be adjusted, e.g. to take into account of a misstatement of age. You have a duty of disclosure when you apply for cover. Incorrect or incomplete information may result in the insurer refusing or delaying payment of a benefit. Once we receive formal notification of your death, your Super-savings account will normally be transferred to the Cash investment option. Whether or not you have made an investment choice, any insurance proceeds received from the insurer as a result of a Death, Terminal Illness or Total & Permanent Disability insurance claim will be invested in the Cash investment option in your Super-savings account and will remain invested there until the Trustee finalises payment of your benefit. For information about the Cash investment option refer to the Sunsuper for life Investment guide. Income Protection Policy You have a duty of disclosure when you apply for cover. Incorrect or incomplete information may result in the insurer refusing or delaying payment of a benefit. You are subject to certain obligations when making a claim. If these obligations are not met, the insurer may cancel the insurance or reduce its liability in respect of a claim as permitted by law. As soon as possible after an injury or illness occurs, you must obtain and follow proper medical advice. Claims should be lodged as soon as reasonably possible after the relevant event. When making a claim you must provide information or other evidence required by the insurer. This includes advising the insurer whether you have any other insurance which may cover the lost earnings. You may also be required to undergo medical examinations as required by the insurer. More information There are other terms and conditions in the insurance policies including defined terms that are important when determining whether you have insurance cover or are entitled to be paid an insured benefit. This is a summary only of the terms and conditions. If there is any inconsistency between the summary and the content of the insurance policy, the content of the insurance policy prevails. You can ask us for a copy of the insurance policies by calling us on It is also important to remember the insurer s acceptance of a claim for an insured benefit doesn t automatically mean the benefit can be paid to you by the Trustee. The Trustee must also be satisfied the insured benefit can be paid under superannuation legislation and the Trust Deed. The Trustee cannot pay an insured benefit to you if the insurer rejects a claim or reduces or restricts the amount of benefit under the insurance policy. For more information, please call us on Post Sunsuper Reply Paid GPO Box 2924 Brisbane QLD 4001 T E insurance@sunsuper.com.au p24