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Death & Terminal Illness Benefit

Death & Terminal Illness Benefit

More about Death and Terminal Illness Benefit 

The Death and Terminal Illness Benefit is paid if a life insured either:

  • dies
  • is diagnosed with a terminal illness

How much does it pay?

The amount paid is the benefit amount shown on the policy schedule, at the date the life insured dies or is diagnosed as having a terminal illness.

The  death benefit is paid to the living policy owner or policy owners. If the life insured was the sole policy owner, the death benefit is paid to their estate or their nominated beneficiaries (if applicable). A terminal illness benefit is paid to the policy owner. The funds may be used for any purpose.

The amount of the benefit may also change over the term of the policy.
 

What if I want to change my cover?

You can ask to increase or decrease your Death and Terminal Illness Benefit at any time after your policy start date.

You can request to increase or decrease your Death and Terminal Illness Benefit to a:
maximum of $1,000,000
minimum of $100,000
 

This benefit includes a funeral advancement payment

If the life insured dies, a $10,000 benefit is paid in advance to cover expenses like funeral costs while your claim is being assessed. Making a funeral advancement payment does not mean that we will accept your claim.

The funeral advancement payment is subtracted from the Death and Terminal Illness Benefit amount shown on your policy schedule.

This payment doesn’t apply if the benefit for terminal illness has been paid.


Example - How the Death and Terminal Illness Benefit could work if you are diagnosed with a terminal illness

Jayden has a My Protection Plan policy with a Death and Terminal Illness Benefit of $465,000 and is the life insured. He is diagnosed with stage 4 cancer and his doctor estimates he has 9 months to live. He receives $465,000. Jayden uses $400,000 to reduce his debt, $20,000 to buy his wife a new car and $45,000 to take his family on the holiday of a lifetime.

For more examples of Death and Terminal Illness Benefit claims please read the Product Disclosure Statement and Policy Document.

 

Want to know more about our Death and Terminal Illness Benefit?

Please read the Product Disclosure Statement and Policy Document for full details. You can also reach out to our customer service team on 1800 006 776. 
  

IMPORTANT INFORMATION:
My Protection Plan is issued by Zurich Australia Limited ABN 92 000 010 195 AFSL 232510. It is distributed by Australian Life Insurance Distribution Pty Ltd ABN 31 103 157 811 AFSL 226403 (ALI). ALI’s AFS licence authorises the provision of general financial product advice only. This means that any advice provided to you by ALI and its representatives (including mortgage brokers appointed as its authorised representatives) in relation to My Protection Plan does not take into consideration your personal objectives, financial situation and needs, or any information held as a result of the provision of credit assistance by your mortgage broker relating to your home loan or other loans. Whilst the initial My Protection Plan quote you received was based on your loan amount, we are not recommending that this product nor any specific cover amount is personally suited to you and your circumstances. You should consider the combined Product Disclosure Statement and Policy Document (PDS) when deciding if this product is appropriate for you. You may also wish to review the Target Market Determination (TMD) which describes the objectives, financial situation and needs we have designed the product to meet. The PDS and TMD are available at aligroup.com.au. If you require advice specific to your circumstances, you should speak to a financial adviser. © ALI Group 2024

 

If you have an existing policy with us your benefits may differ. Please contact us to discuss.