Cbus renews insurance with Hannover Life Re
The big construction and building industry superannuation fund, Cbus, has renewed its insurance contract with Hannover Life Re.
The new three-year contract includes improved total and permanent disablement (TPD) and death cover for members, along with updated TPD definitions.
Cbus executive manager for organisation strategy and service delivery Stephen Spiller said when it came to default arrangements and automatic acceptance arrangements, the fund followed the principle of 'ease of access'.
The renewed contract - which will come into effect on 1 December 2011 - followed a thorough review by independent insurance broker IFS Insurance Broking, according to Spiller.
As part of the new contract, Cbus members on the Manual, Non-Manual and Spouse insurance scales will be able to purchase additional units of TPD and death cover at no extra cost - providing their TPD cover does not exceed their death cover.
"We have not fundamentally altered the manner in which people access the insurance. If [members] don't choose, they get a default arrangement; and if they'd like to take more on, they can access a higher automatic acceptance. They also have the option to switch down to the minimum of one unit if that's the requirement," Spiller said.
In addition, the TPD definitions will be improved to include a reduced waiting period, as well as immediate acceptance for certain medical conditions.
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