Death and disability benefits & insurance options

Defined benefit superannuation funds offer death and disability benefits within the fund at no extra cost, but do vary in their offerings and how they are paid out. Regular superannuation accounts, like ESSSuper’s Accumulation Plan, offer optional insurances that come with a premium. 

In this episode of ESSSuper's Exploring Super podcast, we discuss the differences so you can ensure you're adequately covered.

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This podcast is of a general nature only and does not consider your personal circumstances, financial needs or objectives. Before acting on any advice contained in this podcast, please download and read the relevant Product Disclosure Statement and target market determination, found on our website: esssuper.com.au, The Board recommends that you seek financial advice before acting upon this information. Benefits in ESSSuper's Accumulation Plan, Income Streams and Beneficiary Account products are not guaranteed or underwritten by the Victorian Government or ESSSuper.

The insurance for Death, TPD, and Income Protection in the Accumulation Plan is provided by AIA Australia Limited ABN 79 004 837 861 AFSL 230043 through group insurance policies that the Board holds with the Insurer. The information in this podcast is only a summary and is subject to policy terms which may change. A copy of the Insurance guide is on ESSSuper's website and a copy of the Insurer’s Policy is available upon request. 

Transcript

00:00:02 

You're listening to Exploring Super, the exclusive podcast for ESS Super members. 

00:00:10 

Welcome to Exploring Super, the exclusive podcast for ESS Super members. 

00:00:15 

I'm Felicity Brasher and I'm the Group Executive of Member Engagement. 

00:00:20 

And I'm Christian Kueng and I'm the Manager of Member Education. 

00:00:22 

So welcome to today's episode where we explore the often overlooked aspect of death and disability benefits 

00:00:28 

Within defined benefit superannuation schemes, while defined benefits is typically associated with retirement income, many schemes also include built-in protection for members who pass away, become permanently disabled. 

00:00:40 

or leave work due to ill health reasons. 

00:00:42 

These benefits are also formula driven, like a retirement outcome, so are not adjustable easily for the member. 

00:00:48 

Additionally, our accumulation plan is underwritten and has optional insurances by an external insurer and comes with flexibility and adjustability for the member, but also comes with a premium. 

00:01:00 

In this episode, we'll break down how defined benefit schemes handle death and disability differently, what members need to know about eligibility and coverage, and how these benefits 

00:01:10 

built in protections compared to standalone insurance options. 

00:01:14 

So to help us today, we welcome back Tom Crandall, our Digital Education Specialist. 

00:01:18 

Welcome Tom. 

00:01:19 

Thank you Christian. 

00:01:19 

Thank you Felicity. 

00:01:20 

It's great to have you here. 

00:01:22 

So Tom, can you tell us what ill health benefits come with our defined benefit fund here at *** Super? 

00:01:29 

Of course. 

00:01:29 

Ideally, a member resigns in good health, but this is not always the case. 

00:01:35 

If a member is confirmed to be inflicted to have a physical or mental illness, 

00:01:40 

there are ill health benefits built into the defined benefit funds. 

00:01:44 

And they're at no extra cost, which is a little different to insurances. 

00:01:48 

So they're inbuilt into the funds. 

00:01:50 

So we're going to go through them a little bit today. 

00:01:52 

And what I'll start with is the emergency services defined benefit, because we do administer different defined benefits from half the state government. 

00:01:59 

Of course. 

00:01:59 

So I'll start off with emergency services. 

00:02:01 

So there are types of benefits, essentially 3 tiers for ill health benefits with emergency services. 

00:02:08 

At top you've got a permanent disability pension. 

00:02:10 

And this is payable for life if the member is eligible and would like it paid for life on a permanent basis. 

00:02:18 

There's also a temporary disability pension. 

00:02:20 

And this can be paid on a limited time period based on medical opinion if the member is temporarily unable to work. 

00:02:28 

And then the third of those tiers is a ill health lump sum, which may be offered in some cases instead of a pension. 

00:02:36 

So there's a couple of caveats with the 

00:02:38 

pensions if you're going to apply for them and you have to be under age 55 essentially. 

00:02:44 

Right. 

00:02:44 

The ill health lump sums are available under age 55 but also above age 55. 

00:02:51 

Okay. 

00:02:51 

So it's a little bit different to if you were to resign in health versus ill health. 

00:02:55 

Right. 

00:02:56 

It's still a lump sum and they're formula driven as you mentioned before. 

00:03:00 

What we do for the pensions it is a percentage of a member's final average salary. 

00:03:05 

Okay. 

00:03:06 

And the maximum that the mathematics 

00:03:08 

allow is 70% of a member's final average salary before tax. 

00:03:13 

Right, okay. 

00:03:14 

And Tom, can you clarify final average salary? 

00:03:16 

So the final average salary is the average of the member's superable salary, which is for most people with their base gross wage, and it's averaged over 2 years. 

00:03:27 

So A superable salary is what their defined benefit is based on. 

00:03:30 

So it won't include overtime and maybe some allowances, maybe not. 

00:03:34 

It's up to the employer. 

00:03:35 

But generally it's the base gross wage for you. 

00:03:39 

And so with that maximum 70% achievable, that is the mathematical highest. 

00:03:45 

Now if you're someone who joined after the age of 25, you couldn't have a maximum 70%. 

00:03:51 

and it is links to your contribution rate. 

00:03:53 

A member's contribution rate directly influences the payout for the pensions and the ill health lump sums in the formula. 

00:04:02 

So their service and the history that the member would have and why they pay into the fund is also for these ill health benefits. 

00:04:10 

Sure, yeah. 

00:04:11 

In terms of eligibility and timing, as I said before, 

00:04:14 

A pension is something that they must apply for and cease work before the age of 55. 

00:04:19 

Okay, that's important. 

00:04:20 

Definitely, sorry. 

00:04:21 

And so when they get to that close to age 55, they do also have to think about a three-month application process. 

00:04:29 

So we need to medically confirm whether they are eligible for a permanent pension or a temporary pension or the ill health lump sum based on medical advice. 

00:04:38 

Right. 

00:04:39 

That application process takes up to three months. 

00:04:42 

So remember, ideally would have that time before their 55th birthday if they're going to apply for it. 

00:04:48 

Yeah, that makes sense. 

00:04:49 

Thanks. 

00:04:49 

And I did say before, it is a lifetime pension. 

00:04:52 

We do actually offer cash out opportunities for members who are on a permanent pension. 

00:04:56 

They get offered that at age 60. 

00:04:58 

Yes. 

00:04:58 

And if not taken then, 

00:04:59 

at age 65. 

00:05:01 

But that's the final chance to do that. 

00:05:04 

That's it. 

00:05:05 

Age 65 is that final offer. 

00:05:07 

And that's when we would ask the member to come back and actually seek further clarification about their options for them. 

00:05:13 

Great. 

00:05:13 

So that's emergency services. 

00:05:14 

Now, we also administer some state super schemes. 

00:05:18 

Essentially, there's four main ones that we administer for the state government. 

00:05:22 

We've got the revised scheme or the CERB scheme and the transport scheme and the new scheme. 

00:05:27 

Now, these are 

00:05:28 

different, a little bit to each other. 

00:05:30 

So I'm going to just paraphrase a little bit, but the main difference between these state super schemes and the emergency services defined benefit is the disability pension that exists in state super, you can apply for that up to age 60. 

00:05:44 

Okay, right. 

00:05:45 

That's a big difference. 

00:05:46 

It is, it is. 

00:05:47 

Written by different governments at different times, and so if they are deemed up until age 60, they can apply for it. 

00:05:54 

So there's different pension, temporary pension and permanent pensions are both available for them. 

00:05:58 

to claim on. 

00:06:00 

So, and then we've got slightly different rules on the disability definitions, which is why we've got a brochure which goes through all of those. 

00:06:08 

Right. 

00:06:09 

So again, they're all formula driven, those pensions. 

00:06:13 

So it depends on their service and their history and what they've been contributing into the fund. 

00:06:17 

So for our defined benefit... 

00:06:19 

listeners, if you're reviewing all your insurances and coverage for your funds, you start looking at what the fine benefit already has. 

00:06:27 

Because it's built into the product, you're not paying additional costs for it. 

00:06:31 

It's part of the fund there for you. 

00:06:33 

We'll go through insurances later on. 

00:06:35 

For our new scheme, transport scheme and emergency service defined benefit listeners, you review your contribution rate. 

00:06:42 

Because your contribution rate is built into the formula that dictates how much that payment is. 

00:06:47 

So essentially, as you can choose your 

00:06:49 

distribution rate into the fund, it will impact not just your retirement benefit, but the other ill health benefits that come with it. 

00:06:56 

Okay. 

00:06:56 

All right. 

00:06:57 

Thanks, Tom. 

00:06:58 

So let's look at the death benefits for members in an active defined benefit. 

00:07:01 

So firstly, what are they? 

00:07:03 

And then how do they differ from a resignation or retirement benefit? 

00:07:06 

Yeah, no problem. 

00:07:06 

So all our defined benefit products include a built-in death benefit, all of them. 

00:07:12 

This means that if a member passes away in service, there is a formula-driven payout, and in some funds, a lifetime pension eligible as well for beneficiaries or dependents, which we'll get to later. 

00:07:25 

So they do vary between funds. 

00:07:27 

So it's a different payout compared to the circumstance in which a member resigns or retires. 

00:07:32 

So if they die in service, it's a death benefit. 

00:07:34 

So it's different to death insurance because it's built into the defined benefit at no extra cost, like I was talking to your health benefits before. 

00:07:43 

The value and structure of this death benefit can vary depending on the specific product. 

00:07:48 

So for example, schemes like the emergency services to find benefit in our state super funds that include new scheme, revised scheme, transport scheme, and serb scheme, they each have different rules in the payout calculation. 

00:08:00 

Just to make it nice and easy. 

00:08:01 

Yeah, that's right. 

00:08:02 

Makes our job so much easier. 

00:08:03 

So it's. 

00:08:04 

Essential for listeners of this podcast, when you're finished with it, go and check firstly what products you have. 

00:08:11 

And then you can run a quote in Members Online, which will include death benefits and resignation or retirement benefits based on your age there for you and you'll see the difference. 

00:08:21 

And if it offers a lifetime pension like some of our state super members do with death benefits, it'll give those fortnightly figures as well. 

00:08:29 

Okay. 

00:08:30 

These benefits are an important part of the overall value of a defined benefit scheme. 

00:08:34 

It's not just for retirement, it's also a fund that provides cover. 

00:08:39 

So it's not just important for your retirement, it's also going to impact your dependents or your loved ones. 

00:08:45 

Yes, of course. 

00:08:46 

Very important. 

00:08:47 

Correct. 

00:08:47 

So a defined benefit scheme is based on a formula that determines the payout a member receives, typically upon retirement or in the event of disability. 

00:08:56 

In an active defined benefit scheme, such as the Emergency Services Scheme, a lump sum payout is generally higher 

00:09:03 

if the member dies compared to whether they resign in service. 

00:09:07 

And this is driven by an underlying formula, which considers factors like age, service, and salary in their contributions. 

00:09:15 

So again, for the major services. 

00:09:17 

if a member passes away under the age of 55, the death benefit is actually projected to age 55, what we expect a lump sum to be at that point. 

00:09:27 

Even if I was 35, Tom. 

00:09:28 

That is correct. 

00:09:29 

Wow, okay, right. 

00:09:31 

So it's a projection to age 55, and it's calculated on the untaxed multiple. 

00:09:37 

So that generally results in a higher payout compared to if the member resigned in good health, the tax multiple. 

00:09:44 

And a member's current service and contribution rate are 

00:09:47 

directly affect the value of the death benefit. 

00:09:50 

For schemes that offer lifetime pensions as part of the retirement benefits, such as the CERB and revised schemes, the death benefit being paid is a lifetime pension to a surviving partner or dependent, commonly called the partner pension. 

00:10:03 

The definition of dependent varies a little bit and may include children or next of kin who are financially supported by the member as well, so they can be a child's pension. 

00:10:12 

These definitions are governed by the relevant acts that guide those state super 

00:10:17 

Sure. 

00:10:17 

Funds and death benefits are built into the product. 

00:10:20 

So again, members do not need to pay extra for them. 

00:10:23 

Right. 

00:10:24 

The formula generally looks at the member's years of service and their contribution rate and also the final average salary as we went through earlier. 

00:10:32 

Excellent. 

00:10:33 

So before we even get to insurance options, it's worth noting that a defined benefit scheme is not just a retirement fund. 

00:10:41 

It's a fund that provides cover built in with death benefits. 

00:10:45 

So when a member contributes into a fund, ideally they're contributing for a healthy retirement, but they are also contributing towards maintaining and building death and disability benefits. 

00:10:56 

Okay, so what if I'm already getting a pension, Tom? 

00:11:00 

What if I'm either getting a lifetime pension or I'm getting a disability pension? 

00:11:05 

What's the go there? 

00:11:06 

Good question, Felicity, because this actually depends on what fund you're in, as with the 

00:11:11 

A lot of our products that we have, so first of all, we'll go through the lifetime pensions for state super. 

00:11:17 

So, if you're on a pension, you're retired and you're receiving a lifetime pension, the revised scheme or the SERB scheme offers that as a retirement, okay, in health retirement, and so there are built-in death benefits for those. 

00:11:30 

members. 

00:11:31 

Okay. 

00:11:32 

For the emergency services, they would be on a disability pension. 

00:11:36 

And so there is death benefits inbuilt into that too as well under age 65. 

00:11:41 

So I'm just going to go through those first. 

00:11:44 

So first of all, for the emergency services listeners, they would be on a disability pension. 

00:11:49 

They actually have a lump sum death benefit available if a member passes away before age 65. 

00:11:55 

However, this death benefit ceases once the member turns 65 and remains on the lifetime pension. 

00:12:03 

That's a really important thing to note. 

00:12:04 

Most definitely. 

00:12:05 

So we actually send letters out to members approaching age 65. 

00:12:08 

Yeah. 

00:12:09 

And so they can review their options and come speak to us in those circumstances. 

00:12:13 

Sure. 

00:12:13 

Yeah, good. 

00:12:14 

So for our state super members on a disability pension, first I'll look at the new scheme and the transport scheme. 

00:12:21 

So if you want a disability pension for those two products, there is no reversionary or partner pension. 

00:12:27 

So essentially, that's the end of the product. 

00:12:30 

There can be a lump sum death benefit payable. 

00:12:34 

if the member has been receiving a disability pension for less than 12 years and the member is under age 65. 

00:12:40 

Okay, so a couple of circumstances have to be met. 

00:12:43 

But so the death of a disability pension for the new scheme and transport scheme usually means that's the end of the product. 

00:12:49 

Okay. 

00:12:49 

Yeah. 

00:12:50 

Now the CERB scheme and revised scheme, they offer a pension for retirement, so in health, and they've got those disability pensions, so ill health. 

00:13:01 

So they can be on either of those. 

00:13:03 

They both offer lifetime pensions to a surviving partner and child. 

00:13:09 

So if a member passes away on a disability or retirement pension from the revised or the CERB, they actually offer lifetime pensions. 

00:13:17 

for a surviving partner. 

00:13:18 

Do they get the full pension, Tom? 

00:13:21 

It is a reduced rate. 

00:13:22 

Good question. 

00:13:23 

So generally speaking, it's a percentage of it. 

00:13:27 

Yes. 

00:13:27 

Most of them are actually two-thirds and a child's pension is different depending on the funds. 

00:13:32 

So this is again where I say to members, look. 

00:13:34 

We're just speaking a little bit generally. 

00:13:36 

Have a look at the products that you're at. 

00:13:38 

Come back to us if you've got any questions. 

00:13:40 

And we're going to finish up today with the other resources to help you out. 

00:13:44 

Great. 

00:13:44 

Perfect. 

00:13:45 

Thank you. 

00:13:45 

Again, like all defined benefits, they are formula driven or are automatically included in the fund the members are in, so they don't need to pay anything extra for them. 

00:13:55 

Okay. 

00:13:56 

Yep. 

00:13:56 

However, if a member retires in good health and chooses like a lump sum, 

00:14:01 

So you ask before these ones are on the pensioners. 

00:14:04 

If you choose that lump sum, what's the death benefit? 

00:14:07 

They've taken the lump sum. 

00:14:09 

So they're not actually available for any other death benefits because they chose the lump sum. 

00:14:14 

Right. 

00:14:14 

Yep. 

00:14:14 

So they would just get that lump sum as a beneficiary. 

00:14:17 

That's exactly it. 

00:14:18 

Whatever's left over. 

00:14:19 

Yep. 

00:14:19 

That's exactly it because it's actually not a defined benefit anymore. 

00:14:23 

Essentially. 

00:14:23 

They cashed out their lump sum. 

00:14:25 

So it's important for retirees and active members to understand how their defined benefit product works. 

00:14:31 

now, but also for death benefit payments later on in their decision making in the meantime. 

00:14:38 

And so their retirement choices and circumstances should dictate what they choose, of course. 

00:14:43 

So you look at your product disclosure statement or your handbook for each of the accounts, but of course you reach out to us for further assistance. 

00:14:50 

Yep, excellent. 

00:14:51 

Okay, so there's a bit to take in there and really good advice to get members to check on their own individual circumstances. 

00:14:57 

Yeah. 

00:14:57 

So let's start talking about insurances through the accumulation plan. 

00:15:00 

Can you give us a bit of detail on that? 

00:15:02 

Yes, of course. 

00:15:02 

So as I said before, defined benefit members look at what you've got in the defined benefit. 

00:15:07 

But if that's something that you want more of, insurances wise, we offer insurances through the accumulation plan. 

00:15:14 

So we offer death cover. 

00:15:17 

This insurance provides A lump sum payment to your beneficiaries if you pass away. 

00:15:21 

It's designed to ease the financial burden on your loved ones. 

00:15:25 

helping cover debts, funeral costs, future living expenses, things like that. 

00:15:30 

Sure, yeah. 

00:15:30 

The premiums that you pay for it get deducted from the balance of the accumulation plan. 

00:15:36 

So a member must ensure that they have enough money in the accounts to cover the costs of their insurances. 

00:15:42 

Yes, that's important. 

00:15:43 

Very much so. 

00:15:44 

Yeah, so the death cover actually also covers terminal illness as well. 

00:15:49 

Okay, so there's criteria to be met for that if the member's unfortunately in that situation, but of course they 

00:15:55 

can bring that payment forward. 

00:15:57 

So that's definitely something they can have a look at. 

00:15:59 

We also offer TPD, otherwise called Total Impairment Disablement Insurance, so disability cover, which pays a lump sum. 

00:16:08 

If you become what's defined as totally and permanently disabled and unlikely to ever work again, you can have a lump sum paid to you. 

00:16:16 

This benefit can help cover medical expenses, rehabilitation, and long-term care. 

00:16:22 

The definitions of TBD can vary slightly between funds. 

00:16:26 

So understanding the criteria, like whether you're assessed for your ability to work in any occupation or just your own, is crucial. 

00:16:33 

And so we've got information in our insurance guide about that, which I'll reference later on. 

00:16:39 

When a member is going for an application for insurances, they can tailor the fixed 

00:16:44 

versus unitized cover? 

00:16:45 

Okay, what do you mean by that? 

00:16:47 

Well, essentially, as we get older, Christian, insurance gets more expensive. 

00:16:51 

Okay, just as a general rule. 

00:16:52 

Yes, true. 

00:16:53 

So we can tailor the insurances in two different ways. 

00:16:57 

So fixed cover is where, as you get older, the payout value, the cover value, stays the same. 

00:17:03 

but the premium increases. 

00:17:05 

Yeah. 

00:17:06 

As it gets more expensive. 

00:17:07 

Now, unit ties is the opposite of that. 

00:17:10 

Flip the coin. 

00:17:11 

As you're getting older, you're paying the same premium. 

00:17:15 

But the cover value is going down. 

00:17:17 

Right. 

00:17:18 

Okay. 

00:17:18 

Yeah, that makes sense. 

00:17:19 

Yeah. 

00:17:19 

And so as I'll go through the calculator later on, you'll be able to run quotes for different ages and you can compare your fixed versus unitized. 

00:17:29 

Sure. 

00:17:29 

Okay, that's great. 

00:17:30 

And so with our insurances, we go through AIA. 

00:17:34 

We have own occupational as we do operational members and non-operational members and even our professional teacher occupation category. 

00:17:43 

So there's different categories there. 

00:17:45 

Based on your occupation, what you do for a living, it's essentially risk profiles. 

00:17:50 

Yeah, okay, and so we also offer income protection, which is sometimes called salary continuance. 

00:17:56 

Yes, after a waiting period, it can provide an income of up to seventy-five percent of your pre-disablement income. 

00:18:03 

Plus legislated SG contributions into superannuation if you become what's called totally or partially disabled. 

00:18:11 

Right. 

00:18:11 

So with income protection, there's different waiting periods and you can choose. 

00:18:15 

There's 30, 60 or 90 days. 

00:18:17 

And so a waiting period is from when you stop work until you can start receiving payments. 

00:18:23 

Right. 

00:18:23 

Okay. 

00:18:23 

And there's also a benefit period, so how long we can pay you those income payments. 

00:18:29 

It can be a benefit period of two years or until age 65. 

00:18:34 

Okay. 

00:18:34 

And depending on what you choose with the waiting period or the benefit period, that'll affect the premium that you pay. 

00:18:41 

Okay. 

00:18:41 

Yeah. 

00:18:42 

Again, that makes sense. 

00:18:42 

So if you're looking at getting it paid until age 65, that would be a higher cost premium wise based on just having it going for potentially 2 years. 

00:18:51 

Correct. 

00:18:51 

That's exactly correct. 

00:18:53 

And same with waiting period. 

00:18:54 

So the longer the waiting period, the smaller the premium. 

00:18:58 

Sure. 

00:18:58 

Yeah. 

00:18:58 

Basically. 

00:18:59 

So why would you look at insurance through superannuation compared to our 

00:19:03 

outside sources. 

00:19:04 

Well, again, you should always look at what's right for you and compare what's available. 

00:19:08 

But sometimes superannuations can have cost effective premiums. 

00:19:11 

So your super funds often negotiate group insurance policies, which can mean lower premiums than individual policies outside of super. 

00:19:21 

For some people, it's just easier because the premiums get deducted from your superannuation balance. 

00:19:26 

You don't have to make a payment or it could be pay payments or anything like that. 

00:19:29 

It just gets taken out. 

00:19:31 

of the balance of your account, so it's nice and easy. 

00:19:34 

And of course, superannuation, you can pay in pre-tax, salary sacrifice. 

00:19:38 

Now there are, of course, contribution caps and that's not what we're going to go through today. 

00:19:42 

But essentially you can pay for your insurances at a salary sacrifice level, which is generally less a tax rate compared to income tax rates. 

00:19:50 

Yes. 

00:19:51 

There for you there. 

00:19:51 

So there's a couple of considerations why superannuation may be another option and a better option for you for insurances. 

00:19:58 

Wow, Tom, you have gone through so much today. 

00:20:02 

I did want to ask you though, for members who want to look into their own circumstances, what tools exist to help members looking into their own coverage options? 

00:20:14 

Good question, Felicity. 

00:20:15 

So Members Online, you'll be able to see your own accounts through our own Members Online and you'll be able to see everything we talked about, the defined benefits earlier. 

00:20:24 

But you'll also be able to see any insurances you may have as well. 

00:20:28 

So the death, TPD, and income protection, and you can run those quotes for your defined benefit valuations for death and ill health. 

00:20:37 

So we'll start with the Members Online, your own personal account, but you've also got the product disclosure statements. 

00:20:42 

So they're the legal documents that go through how your product works in greater detail. 

00:20:47 

And of course, you always contact us. 

00:20:49 

And then you've got the insurance premium calculator. 

00:20:52 

That's also on Members Online. 

00:20:54 

There's a link to it. 

00:20:55 

So it's on our public webpage, but there is a link to it through our Members Online and it'll take you out to the calculator on our public homepage so anyone can actually use it. 

00:21:04 

Okay, great. 

00:21:04 

So yeah, the calculators help members estimate how much 

00:21:07 

cover they need and what premiums may apply to the account. 

00:21:11 

So you can have a bit of a play and it considers factors like age and salary and lifestyle. 

00:21:16 

So there's actually two parts to the calculator. 

00:21:18 

One where just the quotation. 

00:21:20 

There's another questionnaire part which asks about your circumstances which may help provide applicable figures and you can take that what you will basically. 

00:21:29 

So going back to the handbook and the product disclosure statements, these are legal documents that will confirm how your accounts work. 

00:21:36 

The formula behind the 

00:21:37 

the death and disability benefits will all be there and all the important information you need to know about your fund or product. 

00:21:43 

The insurance guide is just for the insurances through the accumulation plan. 

00:21:47 

The insurance guide is in the context of superannuation is a document or resource provided by *** Super that explains everything you need to know about the insurance cover available through the super fund. 

00:22:00 

typically includes the definitions of life, total and disability and income protection, eligibility criteria, the cost and the premiums, when a cover starts and stops, the limitations and exclusions, like for example, pre-existing conditions and age limits that do exist. 

00:22:18 

Yes. 

00:22:19 

And of course, how to apply for more additional cover onto your account. 

00:22:24 

or change it or reduce it or remove it. 

00:22:26 

And of course, if you want to make a claim, information about that too. 

00:22:30 

Great. 

00:22:31 

So, Tom, that's great if I want to self-serve. 

00:22:33 

What if I want more? 

00:22:34 

Is there anything else that *** Super can do to help me with my insurances? 

00:22:40 

Well, I'm here, Felicity. 

00:22:41 

And we've got a whole team. 

00:22:43 

We've got a whole team who can assist you. 

00:22:44 

So at no cost, we have general advice. 

00:22:47 

Great. 

00:22:48 

Where you can speak to a consultant. 

00:22:50 

We've got the members service center on the phones. 

00:22:52 

Or we can speak to an education consultant like my 

00:22:54 

myself and there's a whole team. 

00:22:55 

And we can go through your options in greater detail. 

00:22:58 

You can ask your questions. 

00:23:00 

So we will do everything we can at the free level for you to understand your options. 

00:23:05 

Beyond that, we've got access to financial advisors. 

00:23:07 

Yeah, terrific. 

00:23:08 

We can provide recommendations where appropriate at a fee for service level. 

00:23:12 

Great. 

00:23:12 

And do we run any lunch and learns or webinars, seminars on insurance specifically? 

00:23:18 

We do. 

00:23:18 

Great question there, Felicity. 

00:23:19 

So we do lunch and learns specifically on insurance. 

00:23:23 

We also 

00:23:24 

talk about them in our Your Super in Detail. 

00:23:28 

So we do presentations specifically for the emergency services and for the new scheme, our largest cohort of members. 

00:23:35 

And that goes through the death and disability and the insurances under general advice for those as well. 

00:23:40 

But yes, we've got a presentation specifically designed for today's conversation. 

00:23:45 

Perfect. 

00:23:46 

That's great. 

00:23:46 

So to perhaps wrap it up a bit there, Tom, what are some other considerations members should look into when reviewing their cover? 

00:23:52 

Great question, Christian, because 

00:23:54 

understanding your product is one thing, then obviously understanding taxation on death benefits is another thing. 

00:24:00 

Okay. 

00:24:00 

Which we're not really going to go in today because it's a bit of a longer form topic. 

00:24:05 

But when considering what type of death benefit you may want to pass on and what's right for you, you'd be looking at taxation. 

00:24:12 

potentially as well. 

00:24:12 

So that could vary between who is a dependent and a non-dependent on you. 

00:24:16 

Yeah, not today's conversation, but definitely have a look at taxation for death benefits. 

00:24:20 

Yes. 

00:24:21 

And of course, in that is also your beneficiary nomination. 

00:24:24 

So a critical part of estate planning is... 

00:24:27 

is nominating where you would like your money to go. 

00:24:30 

Of course. 

00:24:31 

Some funds have different rules to others as well as we administer many different funds for the state government. 

00:24:37 

So they've got different rules in regards to who can be nominated for certain funds like a dependent or non-dependent partners who would be eligible for a partner pension, et cetera. 

00:24:48 

Definitely another consideration for people to go through. 

00:24:52 

in looking for the appropriate cover. 

00:24:54 

Thank you so much for coming in today, Tom, and of course, sharing your insights. 

00:24:59 

We look forward to having you on yet again at another Exploring Super. 

00:25:04 

Thank you for having me, Felicity and Kristen. 

00:25:06 

That wraps up our episode today of Exploring Super, the exclusive podcast for ESS Super members. 

00:25:12 

We look forward to producing more content for you at ESS Super, proudly serving our members. 

00:25:18 

If you'd like more information about our investment and products, please go to essuper.com.au. 

00:25:28 

This podcast is of a general nature only and does not consider your personal circumstances, financial needs or objectives. 

00:25:35 

Before acting on any advice contained in this podcast, 

00:25:37 

Please download and read the relevant product disclosure statement and target market determination, found on our website, esssuper.com.au. 

00:25:45 

The Board recommends that you seek financial advice before acting upon this information. 

00:25:49 

Benefits in ESS Super's accumulation plan, income streams and beneficiary account products are not guaranteed or underwritten by the Victorian Government or ESS Super. 

00:25:58 

The insurance for death, TPD and income protection in the accumulation plan is provided by AIA Australia Limited, ABN, 

00:26:07 

79004837861 AFSL 230043 through group insurance policies that the board holds with the insurer. 

00:26:20 

The information in this podcast is only a summary and is subject to policy terms which may change. 

00:26:26 

A copy of the insurance guide is on the ESS Super website and a copy of the insurer's policy is available upon request.