HOW PERSONAL ACCIDENT INSURANCE WORKS
WHO DOES IT COVER?
Australians aged 55-74 for a number of specified injuries, such as common fractures, dislocations, burns, and death caused by an accident in Australia.
HOW MUCH DOES IT PAY?
A lump sum of up to $10,000 for specified injuries and $50,000 for death as a result of an accident (for the $50,000 level of cover).
HOW MUCH DOES IT COST?
For singles, it’s $3.20 a week for the $25,000 cover, and $6.35 a week for the $50,000 cover.
WHAT CAN I USE IT FOR?
You can spend your lump sum payment from Personal Accident Insurance however you choose. It could cover out-of-pocket costs like:
- Petrol, parking fees, cabs and tolls – if you can’t catch public transport anymore.
- Doctors’ fees and medications – check-ups and tests you need before and after your hospital treatment, and any medications prescribed as part of your recovery.
- Home help – hiring someone to do the cleaning, shopping and gardening if you can’t.
- Recovery services – ongoing rehabilitation and support services such as physiotherapy and aqua-aerobics.
WHAT DOES IT COVER?
Some of the injuries covered include:
- fractured ankle, upper arm, lower leg, nose, jaw, hip and rib
- dislocated knee, hip, elbow, wrist, and finger, requiring surgery under anaesthesia; and
- burns to 5% or more of the body.
The Product Disclosure Statement and Financial Services Guide has a full list of all injuries covered.
Personal Accident Insurance also comes with these additional benefits:
- Multiple claims: you can claim for multiple events on your policy, up to a maximum total of $25,000 or $50,000+.
- Pays in addition to your other insurances: you can claim for Personal Accident even if you`ve received, or are eligible to receive, money through other insurance policies.
- One low price for all: For singles, it’s under 50 cents per day for the $25,000 cover and under $1 a day for the $50,000 cover.
IMPORTANT THINGS TO KNOW
When taking out Personal Accident Insurance, it’s important to know some of the detail about what your cover does and doesn’t include.
- Covered accidents: your injury needs to be the result of an “external, violent and visible event” to be considered an accident. This would generally cover injuries caused by slips, trips, wounds and collisions. It won’t cover injuries caused by intentional self-harm or an accident that occurs on or before the cover commencement date.
- Cover for over 80s: Once you turn 80 your benefit amount and benefit payments will be halved.
+ Max benefit paid for all specified injuries caused by the same accident is $5,000 on the $25,000 level of cover and $10,000 on the $50,000 level of cover.
Please consider the combined Product Disclosure Statement (PDS) and Financial Services Guide (FSG) available by calling 13 13 34 or clicking here. You should consider your financial situation, objectives, and needs before deciding on this product as any advice provided does not take these into account.
Personal Accident Insurance is issued by our own HCF Life Insurance Company Pty Ltd. ABN 37 001 831 250, AFSL 236 806 (HCF Life). HCF Life is a wholly owned subsidiary of The Hospitals Contribution Fund of Australia Limited, ABN 68 000 026 746, AFSL 241 414 (HCF). The premiums for the life insurance products are paid to HCF Life. HCF distributes Personal Accident Cover and receives commission from HCF Life for their sale of 40% of the first year’s premium plus an additional commission of 80% of HCF Life’s underwriting profit each year calculated as premiums less claims and expenses. HCF’s staff receive an incentive depending on the annual premium of these products which they sell. This will not exceed 20% of the first year’s premium.
To view the TSA Financial Services Guide, click here.