Most superannuation funds have benefits payable to members when they are unable to work due to ill health, injury, disability or death.

Angel Claims Management Services can help you determine if you have any entitlements,  explain how to access them and manage the claims process for you.

Call now on 0413 346 909 for a no obligation free chat about your situation.

Types of Benefits

The potential insurance benefits payable from a superannuation fund in the event of illness, disability or death are:

  • Income Protection (Also known as Salary Continuance  or Total and Temporary Disability)

  • Total and Permanent Disability 

  • Death benefit​

 
Income Protection:
  • Provides a monthly income if you are totally or partially disabled due to ill health or an accident and unable to work

  • The total amount paid can be up to 85% of your gross monthly income where 75%  is paid to you and 10% into your superannuation fund as a contribution.  

  • Waiting periods apply and can be 30, 60 or 90 days - each policy is different. The waiting period is the number of consecutive days that you have been unable to work. This requirement must be met prior to any Income Protection being paid (subject to meeting the medical requirements)  

  • The benefit payment period can be for two years, to age 60 or to age 65 – again depending on the policy

  • Usually an individual will be required to have used all their sick and annual leave prior to commencement of payment of this benefit. The policy will outline the specific requirements.

 
Total and Permanent Disability (TPD):
  • In broad terms, provides a benefit in the event that you are unable to work in your own occupation or any other for which you are suited by training, education or experience due to ill health, disability or mental health on a permanent basis. 

  • It is very important to understand however, that insurance policy definitions vary and the acceptance of a claim is determined by if you satisfy the definitions within the policy you are covered by.

  • Generally speaking this benefit will consist of two parts:

    • The insured component and 

    • Your superannuation account balance

  • Invariably you will pay an element of tax on your payment, however in some circumstances where additional criteria are met the benefit may be paid tax free.

 
Death:
  • Superannuation funds may also pay a death benefit. Generally speaking this benefit will consist of two parts:
    • The insured component and 

    • The superannuation account balance

  • The payment recipient will be determined by the governing rules of the superannuation fund. It may be made to a dependent beneficiary or to the Trustee of a deceased estate.                                                                                                                                  
  • Claims for this payment should be made as soon as possible after the person's death.                                                                                                                                                                                                                                                                                         
  • It maybe paid as a lump sum or an income stream depending on the governing rules of the superannuation fund.

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