Reap the benefits of income cover through superannuation with AMP Group Salary Continuance Insurance
Group Salary Continuance Insurance is also known as income protection insurance, available through superannuation. It is a type of insurance which provides you with a steady stream of income if you are unable to work due to a lingering sickness or injury.
One of the insurance providers which offer this type of insurance is the AMP Group through their AMP Group Salary Continuance Insurance. Under this policy, the insured is given coverage up to 75% of his total monthly salary in the event of illness or injury that goes beyond the waiting period.
The AMP Group Salary Continuance Insurance has a number of flexible options which can be tailored to your needs and financial capacity. There are two types of cover you can choose from – economy and premier. Both covers have the same benefit period which can range from 5 years or extend until you are 60 or 65 years old. Furthermore, you can also choose a waiting period from 1 month up to 6 months.
What does the AMP Group Salary Continuance Policy cover?
- Total disability benefit: AMP Group Salary Continuance Insurance provides an ongoing monthly benefit to act as a replacement income for an insured employee who suffers a temporary illness or injury and is unable to work. The benefit can be used to cover day-to-day living expenses including food, rent or mortgage payments, utility bills and other home maintenance costs.
- Replaces 75 per cent of income: AMP Group Salary Continuance Insurance offers the insured person a replacement income to cover 75 per cent of their pre-disability salary, up to a maximum of $480,000 per year.
- Employer superannuation contribution benefit: This benefit is also available to ensure that the insured person continues to receive super contributions while they are temporarily unable to work.
- Partial disability benefit: If the insured person is only able to work in a reduced capacity following 14 consecutive days of total disablement due to sickness or injury, the policy pays a partial disability benefit.
- Death benefit: The policy also pays a lump sum benefit upon the insured person’s death.
- Recurrent disability benefit: If the insured person returns to work and the disability reoccurs, AMP Group Salary Continuance Insurance will continue to pay a benefit.
- Interim cover: The policy provides a level of interim cover while a person insured or eligible applicant is being underwritten.
- Guaranteed renewable: As long as the insurance premiums are paid each year and all the terms and conditions of the policy are met, AMP guarantees to renew the insurance contract each year.
- 24-hour worldwide cover: Insured persons are covered 24 hours a day anywhere in the world, depending on the circumstances surrounding any overseas travel.
- Choice of waiting periods: This group insurance policy offers a choice of four waiting periods: 30, 60, 90 or 180 days.
- For employees or members: This type of cover is designed to suit employers and super fund trustees looking for affordable cover for their employees or members. Group Salary Continuance can be used to improve the package of employee or member benefits offered.
AMP Group Salary Continuance Policy additional options to consider
- Continuation option allows people who leave employment and are no longer eligible for cover under the group insurance policy to continue their insurance cover under a personal AMP Income Protection policy.
- Escalation benefit is the monthly benefit amount an insured person is entitled to receive will increase each year by the lower of the Consumer Price Index (CPI) or the nominated policy escalation percentage (5% or 7.5%).
- Nursing care benefit means a daily benefit is paid for up to the length of the waiting period (90 days) to cover nursing expenses when the insured person requires continuous full-time care from a registered nurse.
- Family carer benefit ensures that if a family member stops working to provide care for the injured or sick employee who is totally injured, the policy will provide a replacement benefit to cover that family carer’s lost income.
- Trauma benefit ensures that if someone insured under the policy suffers a specific sickness or injury, this AMP Group Salary Continuance option provides an ongoing benefit with no waiting period. The maximum benefit period varies depending on the type of sickness or injury suffered.
AMP Group Salary Continuance Policy exclusions to be aware of
An AMP Group Salary Continuance Insurance policy claim will not be paid if:
- The person insured has reached the cover expiry age of 65
- It is caused by uncomplicated pregnancy, childbirth or miscarriage
- It is a result of attempted suicide or intentional self-inflicted injury
- It is a result of an act of war
- It is a result of the insured person’s service in the armed forces of any country or international organisation
- The person insured makes a fraudulent claim
- The person insured refuses to return to Australia from overseas to undergo medical treatment or assessment
- The person insured refuses to undertake treatment or rehabilitation which could, in the insurer’s opinion, help them return to their own occupation or any occupation on any basis
Who is eligible for AMP Group Salary Continuance Policy?
In order to qualify for cover under AMP Group Salary Continuance Insurance, a person will have to satisfy any eligibility criteria set out by the employer or super fund that purchases the policy. They will also need to be:
- A full-time permanent employee; or
- A contractor
A contractor must have worked at least 15 hours per week over three consecutive months or more in order to qualify for a benefit. However, even if they do not meet this criteria they will still be eligible for a benefit if they worked an average of 15 hours or more per week from the date the contract with the employer commenced to the date they became sick or injured.
- In addition, the person must be aged between 15 and 65 years when they apply for cover, and must also be an Australian resident.