Niche player, PPS Mutual, has launched what it refers to as a unique income protection underwriting offer to the Australian market.
Available for newly qualified professionals at the beginning of their career, the new ‘Professional Choice‘ offer is intended to increase the insured life’s monthly income protection benefit by a maximum of 50% in any two-year period, without the need for additional health or medical underwriting.
While evidence of the insured’s increased income will still be required, the main feature of this offer revolves around the absence of the need for any additional health or medical underwriting.
…having to undertake several time-consuming medical assessments within a short period of time is not the best use of that time
Emphasising the related efficiencies underlying this point, PPS Mutual National Underwriting Manager, Gabi Varnier, reflected: “For professionals, time is – quite literally – money, and having to undertake several time-consuming medical assessments within a short period of time is not the best use of that time.”
In order to be eligible for this offer, the insurer says newly qualified professionals need to:
- Have registered or received their qualification within the last three years
- Be working a minimum of 20 hours per week
- Be generating an income
PPS Mutual notes this offering is intended to fill a gap in the market left by the requirement on life insurers to cease offering new agreed value income protection policies in 2020. It also notes this offer represents an “…opportunity to engage and incentivise professionals to take out insurance cover at the beginning of their professional careers, in turn helping to combat underinsurance amongst an age cohort where it remains prevalent.”
The Professional Choice offer expires either five years after its commencement or when the insured reaches age 45, whichever is earlier. Click here for more details.