NEOS Life has announced a series of updates for its NEOS Protection flagship offer, applying to both new and existing policyholders, effective from 6 December 2024.
Updates to Critical Illness and Medical Definitions – New and Existing Plan Holders
NEOS has revised several critical illness medical definitions, which will be retroactively applied to existing policyholders.
These changes are applicable only to future claims and do not affect current claims or those arising from conditions diagnosed prior to the implementation date.
Six definitions have been renamed including:
- Benign brain tumour (resulting in irreversible neurological deficit) is now Benign brain or spinal cord tumour (resulting in irreversible neurological deficit)
- Loss of hearing (total and irrecoverable) is now Loss of hearing (profound and irrecoverable)
- Pulmonary arterial hypertension (idiopathic and familial) is now Pulmonary arterial hypertension (idiopathic and familial with significant permanent impairment)
Meanwhile, 34 definitions have been updated including:
- Cancer (of specified criteria)
- Carcinoma in situ
- Coronary artery angioplasty
- Early stage melanoma (excluding melanoma in situ)
- Triple vessel angioplasty
New Premium Labels – New Plan Holders Only
For new policyholders, NEOS has introduced updated premium labels to provide clearer information regarding premium structures. These changes are applicable to policies issued from December 6 2024, onwards.
- The existing label “stepped premiums” is now “variable age-stepped premiums”
- The existing label “Level premiums to age 65” is now “variable premiums to age 65”
- The existing label “Level premiums to age 70” is now “variable premiums to age 70”
For all policies issued under the NEOS Protection PDS dated 1 June 2024 or prior, existing premium labels will continue to apply.
Updates to Income Support Cover – New Plan Holders Only
Two changes have been made to Income Support Cover:
- Clients can now apply for 70% of the first $300,000 of annual income ($25,000 per month), up from the previous limit of $240,000 ($20,000 per month),
- with an adjustment to the next tier being 50% of the next $200,000 per annum (previously 50% of the next $240,000 per annum)
- There is no change to the third tier being 20% of the remainder of the client’s income.
- For Income Support Cover with 5-year benefits periods, the definition of ‘suitable work” will remain based on the life insured’s ‘regular occupation’ for the whole benefit period.
For further information refer to the NEOS product changes summary, the NEOS Protection Product Disclosure Statement or contact your BDM.
