As the market absorbs the news this week of the acquisition of Aviva Australia by NAB/MLC, business continues for Aviva with the insurer advising details of rates changes for certain in force income protection contracts.
From September 2009, base premiums will increase by up to 3.0% for income protection contracts that commenced between August 1992 and April 2001.
The company points out that these contracts have not had an increase in premium base rates since 2001 when the base rates changed to reflect the introduction of the GST and the review of business taxation reforms.
The changes advised are:
- Contracts that commenced between August 1992 and July 1999 will incur an increase in the base premium rates of up to 3.0%
- Contracts that commenced between July 1999 and April 2001 will incur an increase in the base premium rates of up to 1.5%
Aviva has also told advisers that rates are under review for other income protection contracts, with increases also expected from September 2009.
