Jan 01, 2016
Disclaimer• This presentation is provided by Suncorp Life & Superannuation Limited AFSL229880 (SLSL) and is current as at 1 November 2012 but
may be subject to change. This information has been prepared without taking into account a person’s financial situation, objectives and needs. Before acting on this information a person should consider the appropriateness of the information having regard to their own personal financial situation, objectives and needs. Asteron Life Complete is issued by SLSL and Suncorp Portfolio Services Limited ABN 61 063 427 958 AFSL 237905 (SPSL). When considering whether to acquire or continue to hold a financial product a person should consider the Product Disclosure Statement which is available by contacting their financial adviser or Asteron Life at www.asteronlife.com.au or by calling 1800 221 727. A person should seek personal financial and taxation advice. SLSL and SPSL are related bodies corporate of Suncorp-Metway Limited ABN 66 010 831 722 AFSL 229882 (Suncorp). Various products and services are provided by different entities of the Suncorp Group. The different entities are not responsible for, do not guarantee and are not liable in respect of the products and services provided by the different entities of the Suncorp Group. Asteron Life Complete is not a bank deposit or other bank liability of Suncorp.
• This presentation is for adviser use only and is not for distribution to retail investors or clients. Please refer the Asteron Life Financial Services Guide on www.asteronlife.com.au for information about the financial services we provide.
Learning Objectives
To have an understanding of:
How often we apply loadings and exclusions and why
What are the most common loadings and exclusions
How to review a loading and exclusion
Where Asteron Life can help you and your customers
The Asteron Life Facts
Top 5 Medical Disclosures: Skin Lesion Mental Disorder Asthma Back injury/maintenance Cholesterol
The Asteron Life Facts
Most common impairments: Back/neck disorders Mental Disorders Obesity Knee & Shoulder
Asteron Life Claims in 2014Cancer
42% of all Death claims 64% of Trauma claims
Musculoskeletal system 24% of IP Claims 35% of all TPD Claims
Mental Disorders 18% of IP Claims 11% of all TPD Claims
Some of the Facts – Back Injury In Australia alone, back pain costs around $4.8 billion each
year for health care
25% of sufferers in the 18-55 age group taking 10 or more days off per year
A typical serious workers’ compensation claim involves four weeks absence from work. One-quarter of serious claims required 12 or more weeks off work
One in five serious claims involved an injury to the back
TPD, IP & BE – Exclusions
What does this include?
Factors to consider
Reviewing the exclusion
• Backs• Shoulders• Knees• Any joint disorder
• Age• Occupation• Health• Severity
• How • When
Some of the Facts-Mental Health
Almost half the total population (45.5%) experience a mental health disorder at some point in their lifetime
Depression alone is predicted to be one of the world’s largest health problems by 2020
Source: 2007 National Survey of Mental Health and Wellbeing
TPD, IP & BE – Exclusions Mental Illness
What does this include
Factors to consider
Reviewing the exclusion
• Depression• Anxiety• Bipolar disorders• ADD, ADHD
• Recency• Severity• Duration• Treatment
• How• When
Some of the Facts - Diabetes
Australia’s fastest growing chronic disease The sixth leading cause of death
280 Australians develop diabetes every day
Almost 1 in 7 people have diabetes or pre-diabetes
Source: 2007 National Survey of Mental Health and Wellbeing & Diabetes Australia 2012
TPD, IP & BE – LoadingsLifestyle & inherited conditions
What does this include?
Factors to consider
Reviewing the loading
• BMI• Hypertension• Elevated blood test results
• Age• Duration• Current levels• Compliance
• How• When
Diabetes
Factors to consider
What benefits are deleted?
Reviewing the exclusion or loading
• Age• Duration• Current levels• Compliance
• Severe diabetes complications• Adult onset Type 1 diabetes after age 30
• How• When• Loadings that reduce vs increase over time
Some of the Facts - Cancer Cancer is the leading cause of death in Australia
An estimated 128,000 new cases of cancer will be diagnosed in Australia this year, with that number set to rise to 150,000 by 2020
Cancer accounted for about 3 in 10 deaths in Australia 66% of people diagnosed with cancer in Australia are still alive five years after a cancer diagnosis.
The most common cancers in Australia (excluding non-melanoma skin cancer) are prostate, colorectal (bowel), breast, melanoma and lung cancer. These five cancers account for over 60% of all cancers diagnosed in Australia
In 2008, it was estimated that every year over 434,000 people are treated for one or more non-melanoma skin cancers - 521 people died of a non-melanoma skin cancer in 2011
Cancer costs more than $4.5 billion in direct health system costs (6.9%)
$378 million was spent on cancer research in 2000-01, 22% of all health research expenditure in Australia
Cancer Council Australia
Trauma - Cancer
Most common cancers?
Factors to consider
Reviewing the exclusion
•Skin cancer & melanomas•Cervical•Breast, Bowel, Prostate•Family History
•Date of Diagnosis•Histology•Treatment•Ongoing monitoring
•Personal history exclusion•Family history exclusion
Asteron Life can help YOU ! Tele-Underwriting - 100% in-house done by our own Underwriters
Phone check to clarify any missing information
Calling customers before PMAR’s requested Our Underwriters will call and keep you updated each step in the
underwriting process
Accepting loadings in recorded calls over the phone
Our Service Consultants will help manage suspense
Asteron Life in ActionWhy use Tele-Underwriting?
Tele-Underwriting take-up rate 25% → 39%
45% same day decision for customers
2100 TIV’s completed since Jan 2015 no recorded complaints
ADC 17 compared to 30 days for paper applications
30% drop in PMAR’s requested
2nd fastest turn-around time on PMAR10 days - compared to 14 days
Asteron Life in ActionPre-Assessment Service
email your local Asteron Life UW Team
Call your local Asteron Life UW Team
OR
Learning Objectives
To have an understanding of:
How often we apply loadings and exclusions and why
What are the most common loadings and exclusions
How to review a loading and exclusion
Where Asteron Life can help you and your customers
22
Retail life insurance reform proposal Adviser and licensee remuneration Effective date
Maximum total upfront commission
60% of premium in first year of policy 1 July 2018
Maximum ongoing commission
20% of premium 1 July 2016
3-year clawback Year 1:100% of commission on 1st year’s premiumYear 2:60% of commission on 1st year’s premiumYear 3:30% of commission 1st year’s premium
1 January 2016
Transitional arrangements Maximum total upfront commission:80%70%60%
From:1 January 20161 January 20171 January 2018
23
Retail life insurance reform proposal
Quality of advice and insurer practices– APLs widened by 1 July 2016– Life Insurance Code of Conduct by 1 July 2016
Better enforcement and monitoring– ongoing reporting of policy replacement data from 1 Jan 2016– Government review by end of 2018
Industry efficiency– ASIC to review SOAs– rationalise life insurance legacy products