Pandemic illness and QSuper insurance

COVID-19 (also referred to as the novel coronavirus) has been declared a pandemic illness by the World Health Organisation (WHO).

Here we explain what this means for QSuper members who have insurance cover with an Accumulation account.

QSuper provides insurance cover for when life doesn't go to plan. One in three QSuper members will make an insurance claim in their lifetime¹, so we work hard to keep our insurance cover affordable and accessible. That means balancing features and exclusions for the benefit of our membership.

COVID-19 has been declared a pandemic illness by the World Health Organisation (WHO).

The insurance policy QSuper has with our insurer, QInsure, currently has a pandemic illness exclusion which has taken effect from 18 March 2020.

What is the pandemic illness exclusion?

If the pandemic illness exclusion applies to you, under QSuper's insurance policy, we will not pay an insurance benefit where your claim arises (directly or indirectly) from a pandemic illness where your date of disablement occurs within 30 days after your cover starting. This means that if the first date you can't work due to being sick from COVID-19 falls within the 30-day period, you will not receive an income protection benefit. It also means that if you pass away due to COVID-19 within the 30-day period, a payment will not be made under any death cover the exclusion applies to.

This exclusion only applies to new insurance that starts on or after 18 March 2020 such as:

• Any additional cover
• Insurance cover you receive if you joined QSuper directly (not through a Queensland Government or default employer)
• Insurance cover you receive if an Accumulation account was opened for you as a result of a family law split, you transfer money from a QSuper Income account, or because you already have an Income account and we receive money for you.²

There is no impact for Defined Benefit members (unless they apply for additional insurance cover through an Accumulation account).

Queensland Government employees

QSuper is committed to looking after the people who look after our country and supporting them when it matters most.

We know that many of our members may be at a higher risk of becoming sick as a result of a pandemic illness, such as those working for Queensland Health, the Department of Education, and the Emergency Services.

To make sure these members are protected, the pandemic illness exclusion will not apply to default cover you receive on or after 18 March 2020 that:

• You received automatically as a result of starting work with a Queensland Government or default employer, or
• You applied for within the first 120 days of starting work with a Queensland Government or default employer.

Keep in mind the Australian Government is making changes to how insurance is provided through superannuation. Find out more.

Here are answers to your most common questions:

Q: How does the pandemic illness exclusion apply for existing members?

A: Any existing insurance cover you had in place prior to 18 March 2020 is not in any way impacted by this pandemic illness exclusion.

However, this exclusion will apply to any additional insurance you apply for that starts on or after 18 March 2020.

If you have applied for and been provided with additional cover, the exclusion will apply to this new additional cover (but not any existing cover held prior to 18 March 2020). for the first 30 days after that additional cover starts.

Q: How does the pandemic illness exclusion apply if I am joining QSuper via a Queensland Government or default employer?

A: QSuper is committed to looking after the people who look after our country and supporting them when it matters most.

We know that many of our members may be at a higher risk of becoming sick as a result of a pandemic illness, such as those working for Department of Health, the Department of Education, and the Emergency Services.

To make sure these members are protected, the pandemic illness exclusion will not apply to default cover you receive on or after 18 March 2020 that:

• You received automatically as a result of starting work with a Queensland Government or default employer, or
• You applied for within the first 120 days of starting work with a Queensland Government or default employer.

Keep in mind the Australian Government is making changes to how insurance is provided through superannuation. Find out more on our website.

Q: How does the pandemic illness exclusion apply if I am joining QSuper directly (not through an employer)?

A: This exclusion will apply to any insurance cover that starts on or after 18 March 2020 if you joined QSuper directly (e.g. via our online join form or by completing an Open an Accumulation Account form).

It only applies for claims that arise from a pandemic illness where your date of disablement or death occurs within the first 30 days of cover starting.

Q: How does the pandemic illness exclusion work with the pre-existing exclusion period already on my cover (for those that have it)?

A: The pandemic illness exclusion has no impact on the pre-existing exclusion period you currently have on your cover.

A “pre-existing condition” is an injury or illness where the signs or symptoms existed before the date that your insurance cover started or was increased. An example might be an existing heart condition, or diabetes, or cancer.

If you have a five-year pre-existing exclusion period and had signs or symptoms of these illnesses before your insurance covers started, you will not be able to claim for five years for an illness or injury related to that pre-exiting condition.

If the pandemic illness exclusion applies to you and your date of disablement from COVID-19 falls within the 30-day period, you will not receive a total and permanent disability or income protection benefit. If the pandemic illness exclusion apples to you and you pass away due to COVID-19 within the 30-day period, a payment will not be made under any death cover the exclusion applies to.

Q: Why do you have this exclusion?

A: We provide insurance cover for when life doesn't go to plan. One in three QSuper members will make an insurance claim in their lifetime², so we work hard to keep our insurance cover affordable and accessible. That means balancing features and exclusions for the benefit of the membership overall.

Q: Does the pandemic illness exclusion impact the insurance I have with my Defined Benefit account?

A: There is no impact if you are a Defined Benefit member (unless you apply for additional insurance cover through an Accumulation account).

Q: QSuper has many members in older demographic who are also more at risk to contracting COVID-19. Are they protected?

A: Yes, any existing insurance cover members had in place prior to 18 March 2020 is not in any way impacted by this pandemic illness exclusion.

Keep in mind that as per our insurance policy, death and total and permanent disability (TPD) cover will end once a member turns 65 for TPD cover (60 if they’re a police officer) or 70 for death cover (60 if they’re a police officer).

Income protection cover will end when a member turns 65 (or 60 if they’re a police officer).

Q: What if Queensland Health hires more people to train up and provide help on the frontline. Will they be protected?

A: We know that many of our members may be at a higher risk of becoming sick as a result of a pandemic illness, such as new members that start working for Department of Health, the Department of Education, and the Emergency Services.

To make sure these members are protected, the pandemic illness exclusion will not apply to default cover you receive on or after 18 March 2020 that:

• You received automatically as a result of starting work with a Queensland Government or default employer, or
• You applied for within the first 120 days of starting work with a Queensland Government or default employer.

Keep in mind the Australian Government is making changes to how insurance is provided through superannuation. Find out more on our website.

Q: If I catch COVID-19 at work, am I covered by Workcover or should I claim on my super first?

A: In most cases, you should claim WorkCover first. If your income protection claim is successful, you may then start receiving income protection payments from QSuper once you stop receiving any Workers’ Compensation you are entitled to.

Q: Does my income protection cover me if I'm forced into quarantine, but I do not have any signs or symptoms of COVID-19?

A: No, an income protection benefit is only payable (after the relevant waiting period) if you are unable to work due to injury or illness. It does not cover the availability of work or access to a workplace.

1. QSuper’s analysis shows 36.8% of members who spend their whole working lives with QSuper are expected to access their insurance benefits before retirement. This includes 2.6% who die, 11.5% who become totally and permanently disabled before the age of 65 and 22.7% who are temporarily disabled from working, for a significant period, at some stage

2. There may be other situations where the pandemic illness exclusion will apply. Refer to the Accumulation Account Insurance Guide for more information.

3. The administration fee covers the provision of advice about your QSuper Accumulation and/or Income account, when you receive personal advice from QInvest. Eligibility conditions and advice fees may apply. Refer to the Financial Services Guide for more information.