GPO Box 264 Melbourne VIC 3001
Phone: <client services phone>
Fax: 1800 558 539
Email: <client services email>
<website>
dd Month yyyy
<Title><First Name><Last Name>
<Address Line 1>
<Address Line 2>
<Address Line 3>
<Address Line 4>
<Suburb> <State> <Postcode>
Dear <Salutation>
<Full Product Name>
Client number: <client number>
Account number: <account number>
We are writing to let you know that your insurance cover issued by TAL Life Limited (TAL) held
through your <Full Product Name> account is changing from 1 July 2015.
These changes are the result of significant increases in the number and dollar value of claims being
paid out across the group life insurance industry and at IOOF. This has had an impact on premiums
and as such many companies are currently reviewing their arrangements. At IOOF, we have worked
very closely with our insurer to ensure that whilst insurance rates are increasing, you still have access
to competitive rates, product definitions and features that will continue to meet your insurance needs.
What are the changes?
Insurance type
Death only cover
Death and total & permanent disablement cover
Income protection cover
Approximate insurance premium increase*
<variable for age next birthday under
40>43.1%
<variable for age next birthday 41>40.5%
<variable for age next birthday 42>37.9%
<variable for age next birthday 43>35.2%
<variable for age next birthday 44>32.6%
<variable for age next birthday
45+>30.0%<end variable>
<variable for age next birthday under
40>43.1%
<variable for age next birthday 41>40.5%
<variable for age next birthday 42>37.9%
<variable for age next birthday 43>35.2%
<variable for age next birthday 44>32.6%
<variable for age next birthday
45+>30.0%<end variable>
37.3%
*Your actual increases will be confirmed in writing in August. Your new cover and premium will also include changes due to
your age and/or salary (depending on the design of your cover) which happen automatically each year on 1 July.
IOOF Investment Management Limited ABN 53 006 695 021
Australian Financial Services Licence No. 230524
Trustee of IOOF Portfolio Service Superannuation Fund ABN 70 815 369 818
From 1 July 2015, if an event occurs that results in an increase in your death, death and total &
permanent disablement, or income protection cover (eg removal of commission, salary increase or
’Life Event’) any increase in cover will be ’Limited Cover’ if you are not ’At Work’ on the date of the
increase. Please refer to the Insurance Guide available on our website (<website>) for further
information.
<variable for PRF removal>
In addition to the increase above, we have identified that the calculation of your current <insurance
type> premium is based on your previous employer’s rating. As you are no longer with this employer,
this rating will be updated to an occupation rating (ie based on your occupation rather than your
employer’s rating). This may have an additional impact on your insurance premium or benefit.
As we do not have your current occupation details, a default rating will be applied1. You can update
your occupation by completing the enclosed ‘Occupational Duties Questionnaire’. To find out more
about our occupation ratings, please refer to the Insurance Guide available on our website.
<variable for fixed premium members>
As part of your death only and/or death and total & permanent disablement insurance has a fixed
premium, the increase to the cost of your insurance will be applied as a reduction in your death only
and/or death and total & permanent disablement benefit (sum insured). This means that your premium
remains the same, but the amount you are covered for will vary. You may be eligible to maintain your
existing benefit amount by increasing your premium. Please refer to
www.ioof.com.au/super_insurance for more information.
<end variable>
What do I need to do?
Whilst these changes will be applied automatically from 1 July 2015, now is an opportune time to
review your insurance needs. After this date, we will provide you with written confirmation of your new
insurance arrangements.
The right insurance cover provides you with the peace of mind that you or your family will be
financially taken care of in the event of an unexpected death or illness. In deciding what’s right for you,
it is important that you assess your specific needs, especially if you have insurance with another
provider. You should also consider the impact of insurance premiums on your retirement savings.
Before making any decisions about your insurance, we recommend you speak to your financial
adviser.
More information
You can review your current insurance arrangements online (<website>) and find out more about the
insurance changes at www.ioof.com.au/super_insurance.
If you have any questions about this letter or your account, please speak with your financial adviser
<<adviser’s name> on <adviser’s phone number>>. Alternatively, you can call our Client Services
Team on <client services phone> or email us at <client services email>.
Yours sincerely
The default occupational rating is Category 4 (Blue Collar) – defined as skilled workers in non-hazardous
industries wholly involved in manual duties (such as an air-conditioning technician, farmer/grazier, plasterer or
mechanic).
1
Julie Orr
General Manager Operations