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Death cover pays a lump sum if you die or suffer from a terminal illness.
In addition to our automatic insurance offering, QSuper members have a wide range of options potentially available to personalise their insurance based on their personal situation, the level of protection they need and their budget.
Death cover is provided to age 69 and to age 59 for Police Officers. An eligible member can apply to:
Death cover comes in units of cover, and you can apply to buy additional units up to our maximum levels of cover. These are shown in the table below. There are some conditions around increasing your cover, and we’ll look at these in the information that follows:
You can apply to increase your death cover at any time, up to the maximum limits. However you do need to be aware that if you want to increase your cover above what is known as the automatic acceptance limit (details below), you will need to provide health and other information before we can consider your request
The automatic acceptance limit (AAL) is age-based, and is the higher of the following (but capped at $1 million):
Please see QSuper's Accumulation Account Insurance Guide for a definition of income.
Regardless of your employment situation you won’t be able to increase your cover if any of the following apply to you:
If you are applying to increase your cover up to the automatic acceptance limit you will need to provide health and other information if you don’t work for the Queensland Government or a default employer, or if you work for the Queensland Government or a default employer and are increasing your cover more than 120 days after starting your job.
If you have cover over $1 million and you move to casual employment or become unemployed you will be able to keep your current amount of cover but you will not be eligible to make any increases to your cover while you remain in casual employment or are unemployed. If you want to reduce or personalise your cover it will have to be below the maximum limit of $1 million as this limit will be applied to any changes you make in the future.
Death units start to decrease in value after the age of 40. We know that many members want to keep the same level of cover for an extended period, especially if they have a family to look out for. That’s why up until age 60 you can choose a fixed level of cover for death cover. (If you go fixed, you have to have fixed cover for both death and TPD, but you can have different levels of cover for both). Again there are some conditions around increasing your level of cover above the default amount, and we’ll look at these in the following paragraphs.
Fixed cover is bought in units of $1,000 of cover, with the cost of a unit based on your age.
Once you’ve fixed your level of death cover it will remain unchanged until you turn 70 (or 60 if you are a Queensland police officer), when it will be cancelled.
You can switch between the two types of cover at any time (although you must always switch both death cover and TPD cover at the same time). If you switch from unitised to fixed, you choose your level of cover in increments of $1,000.
If you switch from fixed back to unitised you have the option of choosing how many units of cover you want.
Any changes will be subject to the pre-existing condition terms outlined in the following section.
In most circumstances your default cover has no pre-existing exclusion period providing you are at work on the day your default cover starts. The circumstances where your default cover is subject to a five year pre-existing exclusion period are here. If you are not at work on the day your default cover starts, an indefinite pre-existing exclusion period will apply until you have been at work for 30 consecutive days.
All additional cover up to the automatic acceptance limit has a five year pre-existing exclusion period.
You should know that if you personalise your cover then decide to return to default cover and as a result have an increase in cover, you will have to provide health and other information, and if accepted a five year pre-existing exclusion period will apply to the increase in cover.
If for any reason you have a pre-existing exclusion period on your default cover and you reduce your cover, the pre-existing exclusion period will remain in place.
If you change from unitised cover to fixed cover, a new five year pre-existing exclusion period will apply to any fixed cover that is higher than your previous unitised cover.
You should also be aware that from age 41 the value of each unit decreases. This means that the difference between your fixed cover and the previous value of your units will increase over time.
Why is this important? If you make a claim in the first five years of cover (the pre-existing exclusion period) you may be subject to a pre-existing exclusion of the difference between your fixed cover and the underlying unitised cover.
If you switch back from fixed cover to unitised cover, and the value of the units you choose is higher than the value of your fixed level of cover, a five year pre-existing exclusion period will apply to this additional amount of cover. Also keep in mind that any remaining pre-existing exclusion period from the original change from units to fixed cover will stay in place.
If you increase your cover more than once you may have multiple pre-existing exclusion periods on your cover with different timeframes. If you then reduce your cover and as a result some of your pre-existing exclusion periods can be removed, the one we will remove first is the one with the longest time remaining on it.
Also, if you're not sure how this changing of your death cover will affect your premiums or what occupational rating you fall in to if you answer the health and other information questions, simply log into Member Online. If you head to the insurance section you can enter different combinations and see how much you would pay.
Please refer to our Accumulation Account Insurance Guide for further information on terms, conditions and eligibility.
Learn more about QSuper's death cover.