July 18, 2017

July 18, 2017 | Risk Pulse

Important updates to our Trauma definitions

We are proud of our excellent reputation at Zurich in providing the highest standards of service to our valued advisers and their customers, and are committed to our goal to become Australia’s most trusted life insurer.

This is why – as a member of the Financial Services Council (FSC) – we are proud to commit to the Life Insurance Code of Practice (the Code). The Code outlines customer service standards which have been carefully crafted to provide even better service and stronger protections for end customers.

The Code took effect on 1 July 2017 and detailed information can be found at www.fsc.org.au.

The following information is an update to the Zurich Wealth Protection, Zurich Active and Zurich Sumo PDSs (dated 15 May 2017), as well as the Zurich FutureWise PDS (dated 1 October 2016).

However, please note that changes are only in relation to the eligible products outlined below.

Minimum standard trauma definitions for policies issued from 1 July 2017

As part of our commitment to the Code, Zurich is pleased to be able to provide policyholders with even greater certainty about the strength of their trauma insurance definitions.

In order to create a minimum standard across the market for the most commonly claimed trauma conditions, the Code now sets out minimum standard trauma definitions for the following three conditions:

  • Cancer – excluding specified early stage cancers
  • Heart attack – with evidence of severe heart muscle damage
  • Stroke – in the brain resulting in specified permanent impairment

At claim time, where there is a minimum standard trauma definition in the Code for your trauma condition, we will assess your claim against:

  • the applicable definition in our PDS; and
  • the corresponding minimum standard medical definition in the Code that is current at the time of the insured event, so that you get the better of the two definitions

The definitions for these conditions have been incorporated into the Code, and can be found on the FSC website www.fsc.org.au. The definitions will be regularly reviewed and updated as necessary to ensure that any required tests, treatments and grading systems are aligned with up-to-date medical practice in Australia. Any updated definitions will automatically apply once they are adopted into the Code.


Minimum standard trauma definitions apply to the first $2 million of any trauma cover issued under Zurich Protection Plus and Zurich Child Cover (Wealth Protection), Zurich Child Cover (Active), Zurich Life Insurance (Sumo) and Zurich Trauma Insurance (FutureWise) on or after 1 July 2017.

They specifically do not apply to health events cover issued under Zurich Active, which provides tiered benefits for health events and is structured differently to trauma cover.

Minimum standard trauma definitions also do not apply to any trauma cover issued as part of an income protection policy.

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