If your customer is experiencing affordability challenges, there are options within AIA Australia’s offering that your clients could consider to help reduce the cost of premiums.
Add AIA Vitality membership
AIA Vitality is a great way to support your customers to be mentally and physically healthy in this tumultuous time.
If AIA Vitality is attached to a Priority Protection policy, an initial discount will be applied to the premium (but not the policy fee) as follows:
Lump sum – 17.5%^
Income Protection (IP) / Business Expenses – 7.5%
Please note that AIA Vitality involves a membership fee of either:
$11.50 a month GST inclusive,
$69 per half year GST inclusive, or
$138 a year GST inclusive.
Change of ownership
Your clients can consider a change in ownership and hold their policy inside superannuation so they can fund premiums from their superannuation balance rather than personal cash flow.
Remove Benefit Indexation
Removal of CPI increases from your client’s policy. The client may also decline their annual CPI increase as a once off, automatically resuming in subsequent years.
Decrease cover for a limited period of time. Upon resumption of full cover, within six months, your client would be only required to submit a quote and a Declaration of Good Health and COVID questionnaire. After the six-month period, an application for increase would be required in addition to a new quote. Note: This offer is not automatically applied to all decreases, please contact us to request this offer.*
Update smoking status
If your client has stopped smoking for over 12 months, they can update their smoking status.
^The 17.5% discount is only available for new applications which include an AIA Vitality membership. When a new AIA Vitality membership is added to an existing policy, only a 12.5% discounts applies.
*Offer valid until 31 December 2020
AIA Australia also provides various benefits that give your clients flexibility with their cover and future support. These include:
Guaranteed Future Insurability (GFI)
Provides your clients with the option to increase their Life Cover Sum Insured and/or their Income Protection Insured Monthly Benefit following certain events, without supplying further evidence of their health or insurability.
Forward Underwriting Benefit (FUB)
The perfect option for your clients who want to plan ahead. This is a cost-effective way to have the option to increase or add cover in the future when it is needed, and best of all, your clients aren’t required to be medically underwritten at the time of exercising the FUB. This is an option if your customers need to reduce their sum insured to meet affordability for longer than 6 months, but will look to restore cover levels in the future.
Repayment Relief benefit
This optional benefit was introduced for new policies in December 2019 and recent events have shown how invaluable a benefit like this can be. This provides your clients with a monthly benefit for up to three months to help cover minimum monthly home loan repayments if your client is Involuntarily Unemployed for more than 60 consecutive days. To be eligible, clients must have been employed for at least 180 consecutive days since policy commencement and just prior to becoming Involuntarily Unemployed.