Pandemic illness and QSuper insurance

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

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

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

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

• Any additional insurance cover
• Insurance cover members receive if they join QSuper directly (not through a Queensland Government or default employer)
• Insurance cover members receive if an Accumulation account is opened for them as a result of a family law split, they transfer money from a QSuper Income account, or because they already have an Income account and QSuper receives money for them.²

This exclusion only applies for claims that arise from a pandemic illness where the member’s date of disablement or death occurs within the first 30 days of cover starting. After 30 days, this exclusion will no longer apply.

Queensland Government employees

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

Many QSuper members may be at a higher risk of becoming sick as a result of a pandemic illness as they are working hard on the frontlines.

To make sure these members are protected, the pandemic illness exclusion will not apply to default cover members receive that:

• They receive automatically as a result of starting work with a Queensland Government or default employer, or
• They apply for within the first 120 days of starting work with a Queensland Government or default employer.

What is the pandemic illness exclusion?

If the pandemic illness exclusion applies to a member, under QSuper's insurance policy, they will not pay an insurance benefit where the member’s claim arises (directly or indirectly) from a pandemic illness where their date of disablement occurs within 30 days after their cover starting.

This means that if the first date a member can’t work due to being sick from COVID-19 falls within the 30-day period, they will not receive an income protection benefit. It also means that if they 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 applies to new insurance that starts on or after 18 March 2020.

Existing cover not affected

As the pandemic illness exclusion applies to new insurance cover, exclusion will not apply to any existing insurance members already had with QSuper prior to 18 March 2020.

If a member applies for and is 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.

Members’ insurance cover will still be subject to the other terms and conditions outlined in our Accumulation Account Insurance Guide (pdf).

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 a member’s QSuper Accumulation and/or Income account, when they receive personal advice from QInvest. Eligibility conditions and advice fees may apply. Refer to the Financial Services Guide for more information.