Superannuation Term Life Plus
Zurich Superannuation Term Life Plus is a risk-only superannuation product that pays a lump sum on your death, terminal illness or total and permanent disablement.
Zurich Superannuation Term Life Plus is issued under the Zurich Master Superannuation Fund (Fund) which is governed by the Fund trust deed. The Fund is a complying superannuation fund as defined in superannuation law.
When your client takes out cover under Zurich Superannuation Term Life Plus, they become a member of the Fund and the Policy will be issued by Zurich Australia Limited to the Trustee of the Fund, Zurich Australian Superannuation Pty Limited, a member of the Zurich Group. The following is a summary of the benefits available. For full details, please refer to the PDS and policy conditions.
Features & Benefits
Death benefit (if selected)
If the insured dies during the life of the policy, Zurich will pay the Death benefit.
Total and Permanent Disablement (TPD) benefit (if selected)
The life insured will meet our definition of total and permanent disablement if he or she is unlikely to ever engage in gainful employment in his/her profession, business or similar occupation or in any other occupation to which he/she is fitted by education, training or experience for the rest of his/her life solely as a result of sickness or injury.
The life insured will also meet our definition of TPD if he or she:
- suffers a specific loss (the entire and irrevocable loss of use of: a hand and sight in one eye/a foot and sight in one eye/sight in both eyes/one hand and one foot/both hands/both feet) or
- is unable to perform normal home duties (before 64th birthday) or
- is unable to perform at least two activities of daily living (bathing and showering/dressing and undressing/eating and drinking/using a toilet/moving from place to place by walking, wheelchair or with the assistance of a walking aid) or
- suffers cognitive impairment
and solely as a result, is unlikely to ever engage in gainful employment in his/her profession, business or similar occupation or in any other occupation to which he/she is fitted by education, training or experience for the rest of his/her life.
Terminal illness benefit
If the insured is diagnosed as terminally ill with 12 months or less to live, Zurich will advance 100 per cent of the Death benefit.
Buy back death benefit (TPD)
If TPD is selected, any Death benefit is reinstated 12 months after a TPD claim.
Advancement for funeral expenses
While a claim is being settled Zurich may advance up to $15,000 of the Death benefit towards the payment of funeral expenses, subject to superannuation laws.
Future insurability benefit
On certain specified occasions related to personal circumstances such as marriage or birth of a child, the owner is entitled to increase the cover within guidelines without any further assessment of health.
Zurich will offer to index the cover each year by the greater of the CPI and five per cent.
Financial planning advice benefit
Zurich will reimburse up to $3,000 toward the cost of financial planning advice after a benefit has been paid.
While Zurich is assessing the application, interim cover is provided for up to 90 days. The cover provided depends on the cover applied for.
Allows a 3, 6, 9, or 12 month break in cover (max 12 months over life of policy) to ease financial pressure.
You may add the following options to your policy for an additional premium:
Double TPD option
If Double TPD is selected, any Death benefit is reinstated 14 days after a TPD claim. All future premiums for reinstated Death cover are waived until the policy expiry date.
Premium waiver option
Premiums will be waived for all benefits under the policy if the insured is totally disabled prior to age 70.
Accidental death option
A nominated benefit amount is paid on accidental death prior to the policy anniversary following the insured's 75th birthday. Cover is available from $50,000 to $1,000,000.
Business future cover option
Cover can be increased each year without having to provide health evidence.
Ability to link covers inside and outside of super (tailored super structuring)
It is possible to have a Zurich Superannuation Term Life Plus policy which is related to a Zurich Protection Plus policy, allowing a mixture of super and ordinary benefits to be linked for a cost-effective package of cover overall. Related policies remain as two separate policies but will behave as if all linked benefits are combined on one policy, which means that a claim on one cover will impact the other/s. More information about tailored super structuring is set out in the PDS.
What is covered
Death cover pays a lump sum on your death or diagnosis of terminal illness. It’s one of the easiest products to understand and it’s usually the first one people think of. It may:
- Allow your family to repay debts including mortgage, personal loans, guarantees, credit cards and store cards
- Provide an adequate income for your dependants to pay for living expenses, school fees, child care and regular bills
- Protect your business if a key person or principal dies
- Provide a cash deposit to the estate, which may prevent other assets being sold.
TPD cover pays a lump sum if you become totally and permanently disabled and therefore are unlikely to ever work again. TPD is about ensuring that you retain as much quality of life as possible. It can:
- Provide funds to allow a family member to give up work to care for you or, alternatively, to fund other home care
- Allow you to repay debts including mortgage, personal loans, guarantees, credit cards and store cards
- Pay for any major renovations required to your home (eg to permit wheelchair access).
Get a quote or apply
You can apply for your client’s life insurance via Adviser Assist.
Adviser Assist is a secure online service offered to advisers. It's open to all advisers, and gives you access to Zurich LifeXpress (an online risk quoting tool).
Contact our Adviser Service Centre
For more information and help from our Business Development Managers, contact our Adviser Service Centre.
Tel: 1800 500 655
Fax: +61 2 9995 3797
Type: pdf (2.8Mb)
Issue date: 21 December 2015