When we meet with our new clients, we do an analysis of the amount of insurance that they require. When clients become Membership Fee clients, we check that the level of insurance cover each year is appropriate.
However, from time to time, things change in your life (even if you got the correct level of insurance cover to start off with) and you need more insurance cover. In addition, because we don’t meet with our non membership fee clients regularly, your insurance might not be keeping up to date with your needs.
Most insurance companies offer a benefit on life insurance cover called a ‘Special Events Increase Benefit’. This is often an ignored benefit – but can be very valuable.
A Special Events Increase Benefit allows you to increase your life cover by a pre-determined amount without providing any additional health evidence. Each company has different rules as to:
1. When you can take up a Special Events Increase Benefit
2. How much cover you can take (with a maximum in dollar terms and sometimes in % terms of your existing cover.
Partners Life Insurance Special Events Increase Benefit
Since 2012, we have recommended Partners Life insurance cover to many of our new clients, and where applicable to some of our existing clients. All Partners Life life insurance policies have a Special Events increase Benefit automatically as part of their cover.
As a part of the 2016 Partners Life product upgrade there have been some enhancements to the situations where you can take a Special Events Increase. As with all Partners Life product enhancements, these new benefits are available to all existing Partners Life clients with life cover.
You can increase your life cover by up to $300,000 and your Life Income Cover by up to $1,000 per month without evidence of health when the following events occur:
- Marriage or Civil Union; or
- Divorce or Legal Separation; or
- Taking on Full Time Care (for the first time) of a dependent relative who is the mother, father, brother, sister, son, daughter, father-in-law, mother-in-law, grandfather, grandmother, grandchild, spouse, de facto partner or Civil Union partner of the life assured; or
- The birth or legal Adoption of a child; or
- Increasing an existing residential mortgage; or
- Purchasing a new home; or
- Purchasing a new residential investment property; or
- Purchasing a vacation home; or
- Purchasing a bare block of land zoned as residential; or
- The commencement of a first course of full-time Tertiary Education by a Dependent Child of thelife assured; or
- An increase in annual salary.
- NEW EVENTS ARE:
- Death or Terminal Illness of a partner or spouse
- Every five years (subject to certain conditions)
This Benefit has to be taken up before the life insured’s 60th Birthday and there are time requirements about when you take it up and maximums on how much of an increase you can take.
As mentioned, this is a valuable benefit that tends to be overlooked. If you have had any of these events occurred in the last 180 days, or you have had one of these events coming up and your Policy Anniversary has just happened or is about to happen, let us know and we will work with you to arrange the relevant increase in cover.
If you anticipate any of these things happening in the next year, let us know and we can diarise to make sure that you take advantage of this benefit – it can avoid you having to fill in all the paperwork to apply for new cover.
Contact us by emailing us at mail to: email@example.com.
By Carey Church