Frequently Asked Questions
How do I know if I am insured?
According to the ATO, as of 30 June 2018, over 10 million Australians had one super account, with approximately six million people holding two or more super accounts. A lot of super funds have default levels of insurance cover built-in for Life, TPD & Income protection cover. It is as simple as checking your superannuation statement or ringing the fund. It may be worth searching for lost super funds just in case you’ve got any insurance in a fund you don’t know about.
What is the process?
Click here.
How long does the claim process take?
It depends on the type and complexity of the claim. However, generally speaking:
- Life & IP covers can range between a few weeks to a couple of months.
- TPD claims range between two to six months.
What paperwork do I need to complete?
Claims Advocacy will make the process as simple as possible and help you with all the paperwork.
My claim has been disallowed; can you help?
- Any decision to disallow a claim can be appealed via the Internal Dispute Resolution team; however, it is essential to have appropriate grounds to do so.
- Firstly, it is important to understand the reason why the claim has been disallowed.
- Then, gather whatever evidence and supporting documents you have, to prove that the insurer was wrong in disallowing the claim. We can assist with this.
- Lodge the dispute with the IDR.
- If they still stand by their decision to disallow, we can assist to lodge a complaint with the Ombudsman, AFCA.
How do I know if I can claim?
Generally, you can read the insurance policy documents for guidance on whether your circumstances qualify; however, from our experience, disability claims through super can be quite complex. We strongly suggest you seek the assistance of a claims advocate — such as us — to guide you through. We are experts with practical knowledge and a deep understanding of the process and concepts. Our expertise has helped us achieve a hugely successful history of working with the super claims team.
Can I claim on multiple policies?
That depends on what type of claim you are making.
- For Life & TPD: generally, you can — unless you have taken out a policy with an insurer without disclosing the details of an existing policy.
- For IP: generally, the total monthly income protection benefit you can receive is up to 75-85% of your pre-claim income. There are several factors that the insurer will take into account, especially when you have multiple policies.
What is CAs fee?
We want to make our service available to everyone. So we have fixed low fees payable only upon a successful claim
Do I have to pay any tax on the claim proceeds?
This varies depending on the type of claim and whether it is through super or self-owned.
- Income Protection: the proceeds from an IP cover are considered as taxable income. Tax is payable on the monthly benefit regardless of whether it is held through super or outside super.
- TPD inside super: the benefit isn’t taxed when it’s initially credited to your super account. However, if you withdraw the money from your super before the age of 60, it is subject to a tax of up to 22% depending upon your age.
- TPD outside super: the benefit is tax-free.
- Life cover inside super: depends on the beneficiary. If paid to a tax dependent, then the benefits are tax-free, however, if paid to non-tax dependent, then the benefits may be taxed up to 32%.
- Trauma cover: the benefits are not taxed
Should I be talking to lawyers instead?
- In our experience, you only need to engage a lawyer if your appeal has been unsuccessful with AFCA and you still don’t agree with the decision.
- Up until then, claims advocates like us can not only represent you to get a successful outcome, but can get the results in a far shorter time than compared to when you engage a lawyer.
- This is because firstly, we understand the technicalities of the process, products & definitions far better than lawyers, due to having spent 20 years in the industry.
- Secondly, if a lawyer represents you, the insurers generally have to engage a legal team to deal with your claim, which can often drag out the process more than it would usually take otherwise, and add unnecessary costs.