MLC has recently implemeted a number of enhancements to the insurance component of its MasterKey Custom investment and superannuation platform.
Coinciding with the release of new disclosure documents for MLC’s entire MasterKey range on 18 May, the following insurance enhancements have been effected within MLC MasterKey Custom:
Death & TPD Insurance
- Maximum Death insurance increased to $10 million (previously $5 million)
- Maximum TPD insurance increased to $3 million (previously $2 million)
- Maximum Interim Accident insurance increased to $1 million (previously $500,000)
- Introduction of new Terminal Illness Benefit - maximum benefit $3 million
Income Protection Insurance
- Improved choice of benefit period - now two years or to age 65 (previously two years only)
- Maximum Rehabilitation Expenses benefit now up to 24 times the monthly benefit (previously up to three times monthly benefit)
- Bereavement Benefit now three times monthly benefit (previously two times benefit)
- New Returning to Work feature, where the insured can return to work less than five days before the waiting period is reset
Other Changes (All Insurance Options)
- Extended insurance period upon leaving MasterKey Custom or ceasing insurance - now 60 days for Death, TPD and Income Protection (previously 30 days for Death only)
- Extended Parental Leave or a Leave of Absence option (TPD and Income Protection Insurance only - 12 months, with the option of extending (previously limited to 12 months with no option to extend)
Also from 18 May 2009, MLC introduced a substantial change to the disclosure documents applying to its MasterKey range of products, with the key changes advised by the company as being:
- Information is divided into separate, shorter documents to support the customer’s decision-making process: from consideration, to application, to ongoing management
- According to their decision stage, customers now use the Product or Service Guide and investment menus, then the online or paper applications, and finally the How to Guide
- Technical jargon has been removed and information has been written in language customers can understand
- Bite size chunks of information are presented with increased use of ‘white space’ improving readability and visual appeal
- The MLC MasterKey Super and Pension disclosure documents have been combined, making it easier to transition from savings to retirement phase
