October 24, 2017
MLC Life Insurance has extended the eligibility criteria for discounts that apply to clients holding multiple policies with the insurer and has also enhanced some benefits relating to certain trauma definitions.
The insurer stated the discounts would apply to more retail advice clients accessing multi-cover discounts through the MLC Insurance and MLC Insurance (Super) product lines under changes to eligibility criteria.
These changes include:
- Lowering the minimum sum insured amounts under MLC Insurance (Super) when Income Protection insurance is bundled with Life Cover and TPD insurance;
- Removing the minimum account balance on MLC MasterKey funding arrangements;
- Simplifying the discount bands and removing the additional discount band when bundled with Critical Illness cover; and
- Extending the offer of a platform discount to all E-rollover accounts
MLC Life Insurance also stated that it had made ‘significant changes’ to some benefits, including medical definitions, also within the MLC Insurance and MLC Insurance (Super) product lines, that would not impact premiums but would ensure policies were affordable with the best cover possible.
The new enhancements are:
- The terminal illness benefit may be payable when the Terminal Illness will lead to death within 24 months, changing from 12 months;
- The evidence accepted for proof of a heart attack is expanded to include signs and symptoms as evidence that a Heart Attack has happened;
- There are no set time limits for benefits to be paid for subsequent angioplasty procedures;
- Benefits can be paid when Triple Vessel surgery is completed in multiple operations within a two month period. Previously the surgery needed to be completed in one operation; and
- Partial benefits are now payable for new conditions of Early Stage Brain Tumour or Intracranial Brain Tumour under the Extra Benefits Option.
“…by making it easier to access further discounts we are making life insurance even more affordable…”
Commenting on the changes to eligibility criteria for discounts MLC Life Insurance Chief Customer Officer, Retail Advised Insurance, Melissa Heyhoe said, “We want to reward customers for making an important financial commitment with us, so ensuring we make our policies as affordable as we can is paramount”.
“We have been able to keep our premiums low in recent times, and by making it easier to access further discounts we are making life insurance even more affordable for our customers,” Heyhoe added.
Addressing the changes to medical definitions, Heyhoe said, “We regularly review and update our medical definitions in line with industry best practice to ensure are customers have the best cover possible. We look forward to making further enhancements to our definitions in future”.
Both changes follows the recent announcement it will halt premium increases for 12 months (see: MLC Life Halts Premium Increases for One Year) across a wide range of product lines and limit future premium rate increases to 10% until the start of 2022.
MLC Life Insurance has produced a Supplementary PDS with further details of the eligibility criteria and definition enhancements.