Frequently Asked Questions

Contrary to popular belief, insurers will NOT automatically decline your application if you have a pre-existing medical condition. While your health and medical history affects your application, insurers review each application on a case-by-case basis and will adjust the terms of your policy accordingly.

Generally, a pre-existing medical condition refers to historical illnesses or injuries you have received medical attention for over a prolonged period. As each insurer has their own definition for these conditions, it is best to check with the relevant insurer ’s Product Disclosure Statement to understand what their exact definition is with regards to your policy or application. Some examples of pre-existing medical conditions can include: Heart Disease Diabetes Asthma Cancer Depression, or other mental health conditions After you’ve submitted your application, the insurer will consider a wide range of lifestyle and personal circumstances, including pre-existing medical conditions, age, height, weight, occupation, family health history and smoker status among others to finalise the terms offered to you

Underwriting refers to the process that insurance companies use to assess the eligibility of a customer to receive their products. It’s the underwriter’s job to assess a person’s situation and then offer terms based on the risks. There are different types of underwriting. The two that mainly concern life insurance are medical underwriting and financial underwriting. Most comprehensive products will require you to complete a series of questions regarding your health and financial history during the application process. Insurance companies will also require information about your work and any sports and pastimes that you might participate in. Medical underwriting Medical underwriting is the process of assessing your medical history. For example, if you disclosed that you had a history of high blood pressure, the underwriter at the insurance company might request a report from your doctor. All medical information gathered is strictly confidential and this is only viewed by those who have a direct role in assessing your application. Financial underwriting The purpose of financial underwriting is to make sure that the cover amount which you apply for is appropriate for your financial situation. It makes sure you dont over insure yourself and keeps your premiums down. Once all the information required has been gathered the insurance company process the application.

The amount you are covered for depends on a range of factors. For example: Your age Your age at the policy commencement date is factored into the calculation of your level of cover. Your and your family’s medical history Do you smoke or drink alcohol? Are you generally in good physical and mental health? What illnesses have affected your family in the past? Your occupation and salary Does the nature of your work make you susceptible to injury, such as working in mining or military and police organisation? How much can you afford to pay in premiums? Number of dependants How many children do you have? Are they old enough to financially support themselves? Do you need a level of cover which will enable them to pay for school or university fees? Debts and liabilities Do you have a mortgage or other outstanding debts (e.g. car loans)? Our intuitive online insurance cover calculator enables you to compare different levels of cover to allow you to determine which one is best suited to your circumstances. By asking you a few basic questions, we can get a reasonable assessment of your life insurance needs and what level of cover insurers will be able to offer you. Still not sure? Chat to one of our consultants by calling 02 7228 3905 during business hours or email us anytime on info@angelicinsurance.com.au.

We are often asked the difference between life insurance and income protection — is one sufficient or should you be taking out both? There are some very clear differences between the two types of insurance and one or both may be suitable depending on your personal circumstances. When you have a life insurance policy, your beneficiary (the person chosen by you to receive the benefit) will receive a lump sum payment should you die or become terminally ill. This payment can help cover funeral costs, mortgage repayments, debts, and everyday expenses. It can help your family cope financially during a difficult time.Income protection insurance provides you with up to 75 percent of your income if you become unable to work due to illness or injury for an extended period of time. It provides you, and your loved ones, with peace of mind that you can continue to cover your ongoing costs if you are not able to earn an income.

The tax treatment of life insurance, income protection and TPD insurance differ depending on the policy and cover you have taken out. Income protection premiums are tax deductible in Australia as they are treated as assessable income when you claim a benefit. However, this may vary depending on the structure of your policy, for example, if your policy is held through superannuation. Life insurance can be a bit more complicated when it comes to tax time. Depending on your policy, and whether it’s held privately or through your superannuation fund, your premiums may or may not be tax deductible. The same applies to TPD and trauma insurance. It is best that you read your Product Disclosure Statement carefully and speak to a tax specialist to get a better understanding.

Depending on your individual circumstances, it is possible to get cover after recovering from cancer. Each case is different, and the insurance provider will assess each application individually to get an understanding of what cover could be offered to the person applying. When applying for life insurance with a history of cancer, there are a few possible outcomes depending on your situation: A loading may be applied: If chemotherapy or radiotherapy was required during your treatment, it is likely to be a percentage increase to your premium for the life of the policy. In the form of a loading per thousand dollars insured. This would be determined by how recently the cancer was experienced and would be applied for a set number of years, and then automatically removed. A combination of a percentage loading and a loading for every thousand dollars insured may be applied to the policy. In some cases, acceptance at standard rates can occur, where no loadings or exclusions are applied to your policy. If there is a possibility that your application might be declined, however, our insurance consultants understand the potential of the decline prior to your application submission and help you to understand the reason with a pre-assessment. Although a pre-assessment will not guarantee the outcome you can expect, it could provide you with better options that service your insurance needs more effectively. To learn more about your options from our life insurance partners, please contact an Angelic Insurance consultant today on 02 7228 3905

While many people will try and decide between life and health insurance when comparing their options, it is important to note that they offer very different services. They differ in: What you are covered for When you are covered How much you can be covered for Health insurance Health Insurance can be used for standard procedures like a general doctors visit or a pregnancy, but it can also be used to cover procedures such as cosmetic surgery. Taking out private health insurance can allow you to have your choice of a private room in hospital and your choice of doctor. Life insurance Conversely, life insurance is an amount of money to cover your debts and take care of your loved ones when you pass away. People take into account debts such as your mortgage or rent, personal loans, credit cards, and future education costs for children. As each situation is unique, it is best to evaluate your circumstances and assess which products are right for you

Trauma insurance provides a lump sum pay-out if you are diagnosed with a specified illness or injury. These include major illnesses or injuries that will have a significant impact on your life, such as cancer, heart attacks or a stroke. There are many different individual trauma incidents that can be covered through trauma insurance. Each policy will have a specific list of covered medical conditions and the specific definition of each condition may differ between each insurer. The outlined list of conditions and their associated definitions are used when assessing a claim, so it’s important to review the Product Disclosure Statement to understand what you will be covered for before you apply.

If you have the misfortune of undergoing two different medical conditions covered under your policy, you may have the option of making individual claims for each condition. If you have the reinstatement option in conjunction with your trauma policy, you may be able to buy-back your trauma insurance plan after 12 months. Therefore, after 12 months of the previous claim being paid, you will be covered in the event you need to make another claim.

Total and Permanent Disability Insurance provides a benefit should you become permanently disabled and unlikely to return to work. Having the right amount of cover for your needs is crucial: too little can leave you and your family out of pocket if you need to claim, while too much means you could be paying more than you need to. To determine the right level of cover for you, you should evaluate the following: Your income What is your current income? Are you the primary earner in your household? How would your lifestyle change if you were unable to return to work? Your responsibilities Even if you are not an income earner for your household, your total and permanent disability can have a major impact on your loved ones. Having a TPD policy in place can provide your family options and choices if you are no longer able to perform domestic duties such as cooking, cleaning and driving. Mortgage and debts What outstanding mortgage payments do you have? What debts do you have (eg. car loans, credit cards etc)? Number of dependants How many children do you have? Are they old enough to financially support themselves? Do you need a level of cover which will enable them to pay for school or university fees? Costs of rehabilitation In situations of Total and Permanent Disability, home modifications and rehabilitative care are often costs to consider. This may seem like a lot to juggle; however, our comprehensive Life Insurance calculator can recommend a level of TPD cover to suit your circumstances and compares offers from all major Australian insurers to guarantee you get the best deal possible. Still unsure? Contact our friendly team of specialists on 02 8015 5507 to discuss your insurance needs in further detail.

TPD buy-back is an added benefit that can be purchased in conjunction with a TPD policy that is linked to a life insurance policy. If you have been paid a claim under your TPD policy, this option allows you to buy back the amount that has been deducted from your life benefit. This ensures your loved ones are still looked after if you pass away. Some insurers include this as a standard option; however, others charge extra for it. Thus, it is important to speak to one of our advisors when comparing cover to understand your buy-back options. If your TPD cover is stand-alone, any claim will not affect your life insurance cover, so you will not need to consider this option.

The Any Occupation definition means that you have to be totally and permanently disabled and unlikely to work in any occupation or capacity for a period of six consecutive months. This means that you would have to be unable to work in any occupation to be eligible to claim. For example, if you are permanently disabled and unable to go back to your manual labour job on a work site, you may still be able to work in an administrative role at head office. However, if you are unable to return to any type of work you may be eligible to claim on your TPD Any Occupation cover. The Own Occupation definition means that you would be able to claim on the insurance if you were totally and permanently unable to work in your own occupation again; that is, an occupation that you’re suited to by qualification, training or experience. This definition tends to be more expensive than the ‘any occupation’ option.

A key person insurance policy is owned by an organisation to insure a key member of their business/company. Key person insurance exists to cover the company’s losses as a result of death of other specified condition, while Life Insurance exists to cover the individual person’s costs of living and their family.

Business expense cover ensures your business can continue to sustain operation, if you are unable to work due to sickness or injury. This is achieved by covering expenses such as: Premises expenses Office/warehouse/shop rent Rates and taxes Security costs Cleaning and administration costs Insurance Mortgage repayments Repairs and maintenance Utilities Electricity Phone and internet Postage Water and plumbing Business vehicle expenses Leasing Depreciation Insurance Registration Repairs and maintenance Salaries of employees NOT involved in generating income directly (including payroll tax and superannuation) E.g. Reception and admin staff

We understand that business owners have additional responsibilities that are beyond the scope of policies such as Income Protection Insurance. While these policies are a great start in protecting your livelihood in the event that you are unable to work, Business Expense Cover is an important add-on, allowing you to cover your business’ fixed expenses to a specified amount and period.

Child Cover is available for any Australian aged between two and 17 years old. Cover lasts until the policy’s anniversary following the child’s 21st birthday. As the cover is attached to your own life insurance policy, the insured person must be your own child.

Child cover operates similarly to life insurance for adults and is priced according to your individual needs and circumstances. The premiums are, however, recalculated annually to ensure they stay relevant to your family’s situation.You have the option of paying your premiums fortnightly, monthly or annually, ensuring that you can have a payment structure that best accommodates your individual circumstances.

Your mortgage premiums can be influenced by a variety of factors, including: - Your age How old you are at the commencement date of the policy - Loan and Repayment amount How much you borrowed and how much you owe - Policy type If you hold a single policy, your income dictates the amount of your premium, whereas with a joint policy, your partners income will also be assessed and they will be insured accordingly

Each insurer has their own guidelines as to what is excluded in your coverage, so it is crucial to read through the wording of your policy as well as the insurer’s PDS. Typical exclusions can include: Responsibilities to injured workers. (Covered by workers’ compensation insurance) Punitive damages (extra damages awarded by a court if a firm’s conduct is deemed particularly reprimandable Product recalls and withdrawals Asbestos (Covered by Asbestos Liability Insurance) Aircraft products

Public liability insurance covers you when your business’ day-to-day activities cause injury or damage to a third party, while professional indemnity covers claims for loss or damage that occur due to bad advice or mistakes in your service.

Absolutely! Anyone in business can get public liability insurance. Being self-employed brings with it a whole host of costs and having insurance in place to cover you for mistakes and unforeseen accidents is a great way to avoid piling on even more unnecessary costs.

Each insurer has their own guidelines as to what is excluded in your coverage, so it is crucial to read through the wording of your policy as well as the insurer’s PDS. Typical exclusions can include: Illegal acts Punitive damages (extra damages awarded by a court if a firm’s conduct is deemed particularly reprimandable Intentional damage (any acts or advice which intended or could reasonably foresee loss, injury, or damage) Asbestos Responsibilities to injured workers. (Covered by workers’ compensation insurance)

Each insurer has their own guidelines as to what is excluded in your coverage, so it is crucial to read through the wording of your policy as well as the insurer’s PDS. Typical exclusions can include: dishonesty or criminal activity conduct by management business insolvency bodily injury or damage to property – although other business insurance policies may protect your company in these situations.

Each insurer has their own guidelines as to what is excluded in your coverage, so it is crucial to read through the wording of your policy as well as the insurer’s PDS. Typical exclusions can include: Equipment replacement costs If facts were known before the cyber incident happened (e.g. if you knew there was a vulnerability in your systems before an attacker took advantage of it) Damage to physical property