Acknowledgement

I acknowledge that:

• this calculator and its results are only a general illustration of insurance needs based on the information provided by me;
• the calculator is subject to certain limitations; and
• the results are subject to the assumptions which I have an opportunity to review and change for my circumstances.

Important information

This calculator provides an estimate of the amount of insurance you may need. This estimate may assist you in deciding the level of protection which is suitable for your circumstances. Please take time to read all of the details about the calculator, taking note of how it works, the assumptions we have made and any limitations.

The calculator only provides a general illustration of insurance needs and does not take into account the circumstances, financial situations or goals of any individual and is not intended to be financial, legal, tax, accounting or any other advice. We recommend that you consider obtaining financial advice from an Australian Financial Services Licensee and considering the relevant Product Disclosure Statement before making any financial decisions.

The calculator has been developed based on existing laws at 25 March 2020 but does not take into account any proposed or future changes. While we have taken reasonable care to ensure that the calculator and results obtained from it are accurate as at this date, it may be subject to change and we do not warrant quality, fitness for a particular purpose, reliability, fairness, accuracy, completeness, or that the document is free from errors or omissions. To the extent permitted by law, we do not accept any responsibility for any errors or omissions, or any loss or liability arising from any person’s use of this information. We may change the calculator at our discretion at any time and without notice.

This calculator considers three insurance benefit types, being Death, Total and Permanent Disablement (TPD) and Income Protection (IP). It has been designed to estimate your required insurance coverage based on a combination of factors entered by you and using a number of assumptions. The factors to be entered by you include information about your income, dependents, and yours and your dependents' assets and debts. The key assumptions used by the calculator include items you can change (such as future income proportions to partners and adult dependents, that might be relevant to you) and are identified in the ‘Assumptions’ section of this disclaimer. Assumptions that form part of the projection methodology and cannot be changed are detailed in the Limitations section below.

This calculator should not be considered an offer of insurance. To apply for cover, a person needs to follow the insurance application process specific to their superfund/insurer and provide any other relevant information requested.

With regards to applying for cover, we recommend that you only cancel existing cover you may have once you have received confirmation that the cover you are requested as a replacement has been accepted. Please consider the risks of replacing your existing cover, including the loss of any accrued benefits, the possibility of waiting periods starting again, and the implications of any non-disclosure on your application for cover (even if it was unintentional).

The personal information that you enter into this calculator is stored within a database and is only used for the primary purpose of storing your latest calculator summary results in the event that an enquiry is made in relation to what was entered at the last time you used this calculator.

Assumptions

 

Assumptions applied to this calculator

You can change the assumptions but should carefully consider the appropriateness of doing so.

We may change the default assumptions from time to time.

Assumptions implicit in the projection methodology cannot be changed and are detailed in the Limitations section below.

Limitations

The calculator has been developed based on existing laws at 25 March 2020 but does not take into account any proposed or future changes. It is also subject to a limitation that it only takes into account the general features of the life insurance products benefit types we have considered when preparing the calculator.

Please consider the following important factors when using the calculator:

• The calculator does not take into account any insurance you currently hold which would reduce the additional insurance you require to less than the estimates this calculator provides
• The calculator assumes you will keep your main residence and pay off any debt in relation to the main residence at the time of death
• The calculator assumes you will sell all other investments you have (excluding the family home) to meet all debt repayments
• The calculator assumes that if your assets are greater than your liabilities at the time of death, then this will not reduce insurance estimate amount
• The calculator does not include your lost super contributions in the Death or TPD sum insured estimate
• The calculator does not reduce the Total and Permanent Disability (TPD) sum insured estimate for any Income Protection (IP) benefit that may apply should you have an IP product
• The calculator does not take into account your tax circumstances (e.g. your taxable deductions, HELP debt etc.) and financial position on an after-tax basis
• The calculator does not take into account any potential social security income that may be received
• The Death and TPD sum insured estimates are rounded to the nearest thousand, while the IP benefit is rounded to the nearest $100 per month
• The calculator does not apply limits to the death, TPD nor IP sums insured estimates
• In providing sum insured estimates, the calculator does not consider if cover is available to you, where limitations due to size of cover required, occupational or other fund restrictions may apply
• If you are not working full time, the calculator will not provide coverage for the replacement value of any unpaid domestic duties.

Calculator Methodology

Death & TPD Cover

The estimated Death and TPD cover sum insured comprises the sum of the below elements:

• Debt repayment: set as the initial amount by which your current debts exceed your current assets
• Expenses on Death or TPD: set initially to dollar default levels detailed in the Assumptions
• Future Income for partner and any dependent adults (where applicable): the lump sum equivalent required to provide for an annual income equal to Partner and dependent adults future income % of your annual income that increases by the rate of Salary Inflation each year
• Future Income for children (where applicable): the lump sum equivalent required to provide for an annual income equal to Child Future Income (per child) % of your annual income that increases by the rate of Salary Inflation each year, added across all children up to 5 children.

Elements of cover that are in the form of a future income are converted to a lump sum equal to the present value of all future income, assuming the lump sum amount is invested and will earn a return of the interest rate per annum, with the amounts assumed to grow annually at the rate of salary inflation.

Income Protection Cover

Income Protection sum insured is set as the Income Replacement % of your current pre-tax annual income, expressed per month.