SMSF stands for ‘self-managed super fund’. This type of insurance is a group life insurance policy that is simple and cost-effective. Moreover, SMSF policyholders benefit from tax advantages as they can structure their life insurance through superannuation.
SMSF insurance premiums are different from regular insurance premiums as they are tax-deductible. SMSF insurance premiums can be deducted from the super fund’s earnings in the annual tax return if the SMSF is listed as the policy owner. Your WealthSmart insurance advisor can customise this product to fit the policyholder’s expectations. SMSF insurance also ensures that the policyholder’s cash flow is not affected.
Insurance companies also pay out lump sums via the SMSF only when the policyholder experiences permanent disability and can no longer work. Other conditions under which the insurance company will pay include the policyholder’s temporary incapacity, which results in their inability to work for a period, and death.
At WealthSmart, we offer a range of services and expertise from our advisors, which you can use to choose the SMSF insurance products that suit you. We urge you to contact us with any queries or questions that one of our advisors will be able to answer. Get in touch with us by calling 1800 765 100.
When you take out the SMSF insurance policy, talk to your insurance specialist to help ensure that it works as SMSF insurance and life insurance. Life Insurance is a product that could be life-saving when an unforeseen situation arises. Yet, surprisingly, only 13% of SMSF members have some kind of Life Insurance cover. This figure, which the Federal Government has estimated, is worrying.
Most Australians are covered via a superannuation fund, so there’s no reason why an SMSF trustee should be without a policy. SMSF trustees have the duty of care to consider Life Insurance for their members. However, a cookie-cutter approach won’t always cut it, and there are many areas we’ll help you think about, so you’ll ultimately choose what’s best for you.
A flexible approach toward life insurance is a defining feature of a self-managed super fund. Combining SMSF and insurance increases a person’s life cover. Besides, the SMSF trustee can opt for other funds like TPD. Life Insurance and Total and Permanent Disability (TPD) insurance for SMSF is not mandatory – but having insurance in SMSFs provides several tax benefits. Therefore, it is an option we recommend selecting. With our guidance, you’ll be able to figure out what you need to consider.
Purchasing Life Insurance through your SMSF is not the same as buying Life Insurance as an individual. Your SMSF functions as a mediator between your insurance provider and SMSF members and beneficiaries. You may encounter insurance providers who do not allow multiple insurance policies within the SMSF and outside of it. Before finalising anything, you should talk to your insurance specialist to understand how the SMSF and life insurance will function and benefit you.
Purchasing Life Insurance through your SMSF can also offer a tax advantage seeing that super fund premiums are tax-deductible. However, this comes with conditions, as super fund premiums are only tax-deductible if you are self-employed or less than 10% of your income comes from an employee position. The tax benefits apply to term Life Cover, TPD & Income Protection.
If you experience the unfortunate event of being totally and permanently disabled and unable to work again, you will be able to benefit from Total and Permanent Disability insurance (TPD). This insurance product offers a lump sum payment that you can use to cover the costs of rehabilitation, the repayment of debts, and the cost of living. Unfortunately, any Occupation TPD is only available through your superannuation which means that people with an ‘own occupation’ definition may not be able to get a disability cover.
At WealthSmart, we offer a range of services and expertise from our advisors, which you can use to choose the SMSF insurance products that suit you. We urge you to contact us with any queries or questions that one of our advisors will be able to answer. Get in touch with us by calling 1800 765 100.
Income Protection is one insurance product that provides cover if you become injured or seriously ill and cannot work. Income Protection offers you and your loved ones up to 75% of your regular income for the period that you cannot work. This cover will be a much-needed source of income because you are likely to have added financial pressures, such as medical expenses, in a situation like this. So, whether you use the money for school fees, mortgage, or groceries, income protection from your SMSF would be a lifesaver.
Often overlooked, Income Protection can become a vital addition to a policy – primarily when self-employed. While the self-employed popularly run an SMSF to invest in property, this is all the more reason to invest in Income Protection. The risks involved in your investment strategy mean income protection could be a vital lifesaver should anything unforeseen happen to you.
Purchasing Income Protection through your SMSF also has added benefits. These benefits are tax-deductible premiums and not out-of-pocket costs to pay the premiums. This advantage means that you can claim tax relief. If your tax rate is higher than your SMSF’s tax rate, you will be able to claim even higher deductions.
Purchasing Income Protection through your SMSF also has its disadvantages. Income Protection is included in the concessional contribution cap when buying insurance through your SMSF, which amounts to roughly $25,000 a year. If you exceed this cap, you may face significant consequences. An additional disadvantage of buying Income Protection through your SMSF is that the payments made after a successful claim do not always payout immediately.
The responsible companies assure fund members of a steady income if you are rendered incapable of working. This form of insurance will offer regular payments across an agreed time of injury, usually only two years, but it can offer these payments until you turn 60. The period depends on the level of Income Protection you choose.
Income Protection is different from worker’s compensation as workers’ compensation only provides benefits if you sustain an injury at work during workplace activity. This condition means that you will not be able to claim the worker’s compensation if you sustain an injury outside of the workplace or fall ill, unlike Income Protection. The benefits of worker’s compensation are also governed and dependent on several restrictions which might not cover all of your expenses. This requirement is why taking out Income Protection is a wise choice.
Choosing the right insurance provider for you will give you more of the advantageous features of Income Protection in SMSF. Furthermore, income Protection is customisable, so you can select the waiting period and the timeframe of available benefits.
At WealthSmart, we offer a range of services and expertise from our advisors, which you can use to choose the SMSF insurance products that suit you. We urge you to contact us with any queries or questions that one of our advisors will be able to answer. Get in touch with us by calling 1800 765 100.
The top providers of SMSF superannuation services enable clients to have high levels of control over their retirement funds. Your hard-earned money is managed by insurers so that you can retire peacefully. Before you ask for quotes from insurers, check the services they offer – administrative, technical, and financial.
If you are overwhelmed by the rules that govern self-managed superannuation funds or SMSF, it’s time to connect with professional insurance advisors. We help you identify your insurance needs and narrow down your insurance choices as your trusted insurance support. Finally, with WealthSmart at the helm, you enjoy complete trust and liberty to choose the SMSF and superannuation insurance that works for you.
At WealthSmart, we offer a range of services and expertise from our advisors, which you can use to choose the SMSF insurance products that suit you. We urge you to contact us with any queries or questions that one of our advisors will be able to answer. Get in touch with us by calling 1800 765 100.
ADVANTAGES AND DISADVANTAGES OF INSURANCE THROUGH SUPERANNUATION
ADVANTAGES
Purchasing insurance through superannuation offers a range of advantages. Firstly, when purchasing insurance through superannuation, you can benefit from group discounts as the company buys these in bulk. This strategy is more cost-effective for policyholders and delivers a more straightforward cash flow solution regarding their insurance premiums. Secondly, the company removes the payments from the funds in the super account, which means that the policyholder’s bank savings are not affected by any payments made.
Thirdly, if the insurance policy falls under a group policy within the insurance company, the policyholder may not need to undergo individual medical checks. This benefit is extremely helpful for people who have pre-existing medical conditions, as this may often prevent them from getting the insurance they need. Fourthly, the premium payments made through superannuation are generally tax-deductible because they come from contributions to your super fund. This method makes superannuation insurance tax effective.
DISADVANTAGES
Although purchasing insurance through superannuation offers a range of advantages, it also has disadvantages that you should carefully consider. Firstly, insurance through superannuation is not always customisable or tailored to your needs as the provider must weigh the needs of the group rather than individuals. This approach means that the benefits from claims might not be the amount you anticipate covering expenses during your time of need. Secondly, after a claim has been accepted and processed, the benefits may take longer to process as they have to first run through your super fund.
Thirdly, members may not have complete control over their beneficiaries because some super funds don’t allow the members to elect their beneficiaries. In this case, the trustee will be the one who chooses the beneficiary, and this may or may not be the person the member may have wanted to be the beneficiary. Fourthly, the premiums can affect the overall amount of the member’s retirement savings. This effect is because the fund may become eroded by being deducted monthly or annually.
YOU NEED AN INVESTMENT STRATEGY.
Your investment strategy should consider your financial situation and age. It should also consider your desired retirement savings. Before deciding on an investment strategy and making investments, you need to determine what risk level you’re comfortable with, what type of return you want, and your investment time horizon.
When pursuing a super fund, you will be able to invest in different asset classes. Examples of these are shares, property, fixed-interest securities, or cash. The various asset classes each have other risks and potentials for their returns or losses. For example, shares, known as growth-orientated investments, are known to have more returns over a longer time. But shares are also known to be volatile and may recede at certain times.
Your personal financial situation will be the deciding factor when making a choice. If you can’t choose, there is an investment option that the insurer will select on your behalf. Your insurer will invest the superannuation savings in the fund’s Default Option. The Default Option is a balanced investment portfolio comprising an array of various shares, properties, bonds, and cash from a range of other investment managers.
WEALTHSMART: WHO WE ARE
We at WealthSmart Australia Pty Ltd (WealthSmart) are advisory specialists for Corporate and Personal Superannuation. We have a team of some of the top insurance specialists in Australia, equipped to provide financial advice and planning solutions to our private clients. One of our primary functions is offering our online Life Insurance comparison website.
Our website allows Australian individuals and organisations to select competitively priced policies that are also comprehensive. We work with the most reputable insurance companies in the country. Our insurance specialists are equipped to assist in choosing, comparing, and even applying for insurance online or over the phone. We also have a team of superannuation advisors who offer assistance in raising awareness of super plan offerings.
WealthSmart has two businesses: Online Risk Business and Superannuation Advice Company (WealthSmart Super). Our Online Risk Business comprises a specialist insurance team who use their expertise to offer the best comparison of insurance covers and costs in the country.
Our Superannuation Advice Company (WealthSmart Super) is a bit more complex. In contrast, our superannuation advisors offer businesses, corporate companies, and individuals the opportunity to arrange, review and select the best policy. Our advisors will provide the best corporate, personal, or wholesale super policies in Australia.
We are a corporate authorised representative of Millennium3 Financial Services Pty Ltd. Millennium3 Financial Services Pty Ltd is one of the country’s most influential Financial Services licensee advisor groups. Millenium3 comprises 300 qualified financial advisors who are located across the country. Their head offices are in Sydney and Brisbane.
OUR INSURERS
The type of insurance company used when purchasing policies is fundamental. At Wealth Insurance Australia, we use some of the best insurance companies in Australia to offer you the perfect policies. The policies we source for you come from:
AIA Australia is one of the most trusted life insurance groups globally. This insurance company, which forms part of the larger AIA Group, is an independent, publicly listed pan-Asian life insurance provider.
AIA Australia offers a range of insurance policies, like Life Cover, Total and Permanent Disablement (TPD), Crisis Recovery (Trauma), and Income Protection. You can trust this insurance provider as the larger pan-Asian AIA Group supports them. This status means that AIA Australia has financial stability and exciting growth potential.
AMP is expertise in financial security and is one of the oldest life insurers in Australia. AMP, a publicly listed company on the stock exchange, is the biggest provider of retail super, managed funds, and life insurance. AMP also offers financial planning, select banking accounts, superannuation, disability protection, and income protection.
AMP offers a range of insurance products spread across their Flexible Lifetime Protection products or Elevate range. This insurance provider offers Income protection, TPD Cover, Death Cover, and Trauma Cover, all customisable. They also provide Life Insurance, TPD Insurance, Trauma Insurance, and Income Insurance. AMP’s customer-centric policy guarantees that your requirements as a policyholder are always a priority within legal frameworks.
Asteron Life, a member of the Suncorp Group, is one of Australia’s most significant general insurance, banking, and wealth management companies. This insurance provider offers Life Cover, TPD Cover, Trauma Cover, and Income protection.
Asteron Life, as the name suggests, deeply cares about the lives of its insurance policyholders. This insurance provider includes the Asteron Life Wellbeing Program to demonstrate this care. This program provides information, tips, recipes, health assessment tools, and meal and weight-loss programs for its users to live a better, healthier life.
BT Australia offers insurance products like insurance, superannuation, and investment solutions. BT Australia is a member of the BT Financial Group and is the wealth management arm of the Westpac Group. Currently one of Australia’s largest wealth management businesses, BT Australia also offers Term Life Cover, Total and Permanent Disability (TPD) Cover, Living Insurance, and Income Protection.
On the Australian Stock Exchange (ASX), ClearView is known for assisting Australians in protecting and growing their wealth while still securing their ideal financial future. The insurance provider that offers quality financial advice, a portfolio of insurance, and investment solutions, is known for their Life Cover, Total and Permanent Disability (TPD) Cover, Trauma Cover, Income Protection Cover, Business Expense Cover, and Child Cover.
ClearView guarantees that their insurance products are renewable, and they offer indexation. By offering indexation, ClearView ensures that the cover will increase annually so that the benefit amount matches inflation. People who choose Clearview as their insurance provider are also guaranteed an upgrade when they make any changes or add new benefits to their insurance products.
ClearView has earned its position as one of the best insurers in Australia by winning multiple awards. Some of their recent awards have been the Money Management Adviser Choice Risk Awards 2020, the Risk Company of the Year 2020, and the Term & TPD Products 2020.
CommInsure, listed on the Australian Securities Exchange (AS-X), is one of the country’s largest life insurers. This insurance provider, the wealth management division of the Commonwealth Bank, offers Life Care, Terminal and Permanent Disablement (TPD) Cover, Trauma Cover, and Income Care.
CommInsure is passionate about responsible investment as it has become a signatory to the United Nations Principles for Responsible Investment. Before investing, the insurance provider pledges to consider environmental, social, and corporate governance factors. CommInsure has earned its position as one of the best insurers in Australia by winning multiple awards. Some of their recent awards have been Money Magazine’s ‘Best Innovative Insurance Product 2014’ and one of the Contact Centres of the Year for 2013.
Macquarie Group currently operates in 28 countries, has over 13 000 employees, and offers various products and services. In Australia, the Macquarie Group holds the title of the largest investment bank in the country.
This insurance provider offers insurance products like Macquarie Life Active, FutureWise Total and Permanent Disability (TPD) Cover, FutureWise Disability Income Insurance, and FutureWise Trauma Insurance. The Macquarie Life Active policy is a unique insurance product that provides a lump sum for death, terminal illness, and specified medical events. This policy covers accidents, injuries, long-term illnesses, and serious conditions like heart attacks, stroke, cancer, digestive diseases, severe depression, and more.
MLC Insurance is known for its investment opportunities, superannuation, insurance, and private wealth solutions for corporate and institutional customers. This insurance provider is one of the most extensive wealth management and insurance companies in Australia and is the second-largest superannuation provider in the country.
MLC Insurance offers insurance products like Life Cover Insurance, Total and Permanent Disability (TPD) Insurance, Critical Illness Insurance, and Income Protection Insurance. This insurance provider cares about the well-being of the Australian people and is a partner of the Garvan Institute for Medical Research. In addition, MLC Insurance supports the crisis and suicide prevention hotline Lifeline and has the MLC Community Foundation, which funds community mental health organisations and programs.
MLC Insurance has earned its position as one of the best insurers in Australia by winning multiple awards. Some of their recent awards have been the Life Insurance Company of the year, Innovation Excellence Award for Best Doctors, and the Industry Excellence Award.
NEOS Life is a trusted insurance provider and is one of the top specialist Australian life insurance businesses. This insurance provider offers a range of retail life insurance quotes and products curated by their financial advisers. NEOS Life’s insurance products are issued by NobleOak and are reinsured by Pacific Life Re, one of the world’s largest insurers.
The insurance products that NEOS Life offers are Life Cover, Total and Permanent (TPD) Cover, Critical Illness Cover, Child Cover, and Income Protection Cover. NEOS Life guarantees that 80% of its underwriting decisions are made within three working days. The company achieves this goal by using the latest technology combined with its start-up mentality.
NEOS Life has earned its position as one of the best insurers in Australia by winning multiple awards. Some of their recent awards were the best life insurance business by advisers in the Adviser Ratings Marketplace results and Underwriting Team of the Year in 2019.
OnePath Life Insurance operates in Australia, New Zealand, and 30 other countries and offers specialist wealth management. OnePath Life Insurance, which is one of the leading insurance companies in Australia, has achieved this status by providing competitive pricing, available extras, an easy application process, and helpful customer service. Customers can apply for insurance products through the website or via phone, and one of the insurance provider’s financial advisors will render assistance.
OnePath Life Insurance offers insurance products like Income Protection, Trauma Cover, TPD (Total and Permanent Disability) Cover, and Life Insurance. In addition, the insurance provider guarantees that it will upgrade the benefits to some of its policies if its insurance products change or if they make any improvements to the insurance products.
An added benefit to people who use OnePath Life Insurance is that they can benefit from the affiliation with the Qantas Frequent Flyer Club. This affiliation means that you will earn frequent flyer points when paying premiums on specific OnePath Life Insurance policies.
TAL is one of the top insurance companies in the country and serves millions of Australians. This insurance provider offers insurance products like Life Insurance, TPD Insurance, Critical Illness Insurance, and Income Protection.
TAL has earned its position as one of the best insurers in Australia by winning multiple awards. Some of their recent awards have been the Life Insurance Company of the Year, Life Company of the Year 2011, and the Life & TPD Insurance Product Award 2011.
Zurich Life Insurance is one of the country’s top life insurers and operates in over 70 countries. Being known for its fast and sensitive claims payments, Zurich Life Insurance offers insurance products like Ezicover Accidental Death Insurance, TPD Insurance, Trauma Cover, and Income Replacement.
Zurich Life Insurance is passionate about ethical and responsible insurance and achieves this by responsible investing, flood resilience, environmental protection, and corporate responsibility. Zurich Life Insurance has earned its position as one of the best insurers in Australia by winning multiple awards. Some of their recent awards have been the award for General Insurer of the Year by NIBA and outstanding value noted by Money Magazine.
WEALTHSMART’S ADDITIONAL SERVICES
One of our main goals at WealthSmart Australia is to offer our customers meaningful information to find competitively priced insurance cover. This guidance leads to saving precious time and money. We achieve this goal by providing the services of some of the best financial planning advisors in Australia. Not only do we specialise in SMSF Insurance, but also Life Insurance, Trauma Insurance, Income Protection, TDP, Corporate and Personal Superannuation, Commercial Insurance, and Personal Insurance.
LIFE INSURANCE
When buying your Life Insurance policy, you might be able to purchase a policy containing one or multiple different types of insurance. Life Insurance policies allow you to create bundles of insurance products, creating a comprehensive package. The different types of insurance products available include income protection, trauma and business expense cover, or TPD insurance.
The most critical part of Life Insurance is Life Cover. Life Cover, which can also be known as Term Life Cover, is a part of every Life Insurance in Australia. Life Cover is an agreement between the beneficiary and the insurance company which states that its lump sum payout will be up to $1 million, or sometimes more. The company agrees to pay this figure out only after death or if the client has been diagnosed with a terminal illness.
If the client has been diagnosed with a terminal illness, they may qualify for advanced pay. However, this agreement only comes into effect if the medical practitioner determines that the client will die within 12 months. Therefore, before applying for a Life Insurance policy, you must research and consider the benefits and features of the policy. This research includes the waiting periods before being able to make a life cover claim, limitations on the cover, specific exclusions, and the cost of the insurance premiums.
At WealthSmart, we offer a range of services and expertise from our advisors, which you can use to choose the SMSF insurance and other products that suit you. We urge you to contact us with any queries or questions that one of our advisors will be able to answer. Get in touch with us by calling 1800 765 100.
TRAUMA INSURANCE
Trauma insurance is necessary if the client is diagnosed with a serious medical condition. Usually, in this type of situation, the client will need extended time off work, and this is when trauma insurance becomes valuable. Other insurance product types can cover cases where the client is diagnosed with a severe medical condition, such as income protection and life insurance. The issue with this is that the lump sums offered by these insurance products may not be enough to cover the costs over time.
Trauma insurance, also known as critical illness insurance, offers a lump sum payment based on a severe medical condition diagnosis. The client can use this lump sum as they please to pay medical bills and existing debts, such as their mortgage or credit card debts, or even just buy groceries.
At WealthSmart, we offer a range of services and expertise from our advisors, which you can use to choose the SMSF insurance and other products that align with your requirements. We urge you to contact us with any queries or questions that one of our advisors will be able to answer. Get in touch with us by calling 1800 765 100.
INCOME PROTECTION
Income Protection is an insurance product that ensures you maintain a stable inflow of money if unforeseen circumstances arise. If you have purchased this insurance product, you have the guarantee that the insurer will pay a portion of your income into your bank account monthly if you are unable to work due to an unforeseen illness or injury.
Additionally, you can curate your Income Protection to suit your demands. For example, you can waive the premium of this insurance policy you are receiving the benefits. Additionally, you can set the waiting period and select the period you receive the benefit. On top of this, Income Protection policyholders are able to choose between indemnity value cover and agreed value cover, which would influence your premium and benefit amounts.
At WealthSmart, we offer a range of services and expertise from our advisors, which you can use to choose the SMSF insurance and other insurance products that suit you. We urge you to contact us with any queries or questions that one of our advisors will be able to answer. Get in touch with us by calling 1800 765 100.
TOTAL AND PERMANENT DISABILITY
Total and Permanent Disability (TPD) is an insurance product that pays out a lump sum if the policyholder becomes totally or permanently disabled and unable to work for the foreseeable future. Circumstances that would cause this would be the loss of a limb, vision, or even paralysis.
Those who work in high-risk jobs that require a high degree of physical mobility or strenuous fieldwork should purchase TPD insurance for peace of mind and be prepared for the worst-case scenario. Policyholders who have made successful claims can use the lump sum they receive to pay for rehabilitation, repayment of outstanding debt, and general day-to-day expenses.
At WealthSmart, we offer a range of services and expertise from our advisors, which you can use to choose the SMSF insurance and other insurance products that suit you. We urge you to contact us with any queries or questions that one of our advisors will be able to answer. Get in touch with us by calling 1800 765 100.
CORPORATE AND PERSONAL SUPERANNUATION
Superannuation offers life cover the same way that life insurance does, but superannuation also offers better investment earnings. Superannuation uses a super fund that functions as a safety net for the policyholder and their loved ones in the worst-case scenario. For example, the claim will be successful if the policyholder experiences a salary sacrifice due to injury, illness, or death.
The super fund can be highly lucrative as you can increase the final lump sum payment once you retire. Besides this, the federal government contributes to the super fund as a co-contributor. Most insurance companies in Australia run many different super funds, which is good for you. The more super funds, and the larger the super fund, means there is a higher possibility of your insurance company being able to negotiate a group discount.
There is also the option to purchase an insurance product through the superannuation fund instead of a retail life insurance provider. This option may benefit you as it may be cheaper since you can buy life cover, income protection, TPD insurance, and trauma cover.
At WealthSmart, we offer a range of services and expertise from our advisors, which you can use to choose the SMSF insurance and other insurance products that suit you. We urge you to contact us with any queries or questions that one of our advisors will be able to answer. Get in touch with us by calling 1800 765 100.
COMMERCIAL INSURANCE
This insurance product is helpful for small business owners. Business owners can utilise commercial Insurance to secure their company with its assets, properties, business processes, and employees. At WealthSmart, we are in a position to assist small business owners in reviewing general insurance covers such as:
- Aviation
- Business Interruption
- Business Pack
- Contract works
- Corporate Travel
- Cyber
- Events
- Farm
- Marine
- Management Liability
- Products and Public Liability
- Professional Indemnity
- Trade credit
- Works Compensation
- Industrial Special Risks
- Product Recall
These different types of insurance can assist business owners in covering the care of injuries if any of their customers or employees are injured and any property or asset damage if the business suffers a fire, theft, or flooding.
Besides this, these various types of insurance also include vehicle protection. This inclusion ensures that the business’ vehicle is covered if involved in an accident or needs repairs. Commercial insurance also consists of recovering losses in the form of eviction costs, damage, and loss of rent if you are the landlord.
At WealthSmart, we offer a range of services and expertise from our advisors, which you can use to choose the SMSF insurance and other insurance products that suit you. We urge you to contact us with any queries or questions that one of our advisors will be able to answer. Get in touch with us by calling 1800 765 100.
PERSONAL INSURANCE
Personal insurance is always a wise investment, no matter your age, occupation, or current circumstances. This insurance product covers a range of areas we can fully inform you about, such as:
- Home and Contents
- Prestige Home and contents
- Landlord
- Motor
- Strata
- Travel
At WealthSmart, we offer a range of services and expertise from our advisors, which you can use to choose the SMSF insurance and other insurance products that suit you. We urge you to contact us with any queries or questions that one of our advisors will be able to answer. Get in touch with us by calling 1800 765 100.
WEALTHSMART’S FINANCIAL SERVICES
- PRE-MEETING
One of WealthSmart’s insurance specialists will require you to gather the necessary financial information and documents. Once we have this information and documents, we will be able to understand your financial situation and which insurance products you need and for which you qualify.
- ANALYSIS
One of WealthSmart’s specialist insurance team will analyse your financial situation in-depth. This analysis will determine your investor profile, needs, goals, and other factors.
- PLANNING
WealthSmart’s insurance advisors will then study the analysis results to determine which areas need focus and attention. Finally, they will compile a detailed report with the advisor’s recommendations to outline which areas need focus and attention.
- ACTION
One of WealthSmart’s financial advisors will review the report with you before helping you decide which approach is needed. Once you’ve chosen, the financial advisor will implement your preferred method.
- REVIEWS
Once the financial advisor sets your chosen approach in motion, you will be required to keep your financial information up to date. If certain circumstances change, these will be taken into account to change the chosen approach if necessary.
- CONTINUED SUPPORT
A WealthSmart financial advisor will compile an ongoing service package on your behalf. They will apply this service package to align with your requirements continuously and ensure they provide you with the best ongoing financial advice.
USING THE SERVICES OF AN INSURANCE SPECIALIST IS IMPORTANT
Investing and purchasing insurance is not a simple task or decision to make. Before you pursue this, you will have to have done your homework to ensure that you gain the most value for your money. This research is where an insurance specialist becomes useful.
At WealthSmart, we offer you the services of an insurance specialist. We can manage all aspects of your investments and insurance like tender management, pricing risk management, claim management, personal care, and attention. We guarantee to find and offer you value for money, the best cover for your price range, peace of mind, expert advice, and quality service from insurance experts.
USE OUR PRIVATE CLIENT SOLUTIONS.
Our private client solutions allow you to take charge of your finances and offer you personalised financial planning. Although we provide our expertise and services, we will enable you to approve the plan and management of your funds as you understand your needs and wants better than anyone else.
At WealthSmart, we always promote that our private clients should be actively, or even more actively, involved in your financial well-being and your financial life planning activities. By doing so, you will be able to maximise every one of your investments with end-to-end assistance.
Our private client solutions allow you to achieve a financial plan that perfectly suits you. Our solutions will also offer you tips and tricks, like discounts for insurance premiums if they become available. Financial planning also allows us to help you reduce your expenses, pay lower taxes, and make significant contributions to your retirement funds.
FINANCIAL ADVICE AND PLANNING
We present our private clients with the option to access some of the top financial advisers in the country who can provide advice on all types of financial matters. For example, our financial advisers can offer advice on super, insurance, income protection, estate planning, transition to retirement strategies, and retirement planning.
Once we have created a financial plan for our private clients, they will receive an official Statement of Advice. This document contains the finer details and explains the plan and why the financial advisor recommended this specific approach.
MEMBER EDUCATION AND COMMUNICATIONS
To have a healthy financial situation, you have to do your homework about the best practices related to your financial planning and personal finance. Wealth creation, debt management, tax planning, income protection, and retirement benefits are all achievable by everyone. All you need is proper guidance and planning.
At WealthSmart, we offer you financial education that you can use to make better decisions about your financial situation. Through financial, investment, and super communications, we help you take control of your financial situation:
- We offer a private client newsletter that contains resourceful information covering all elements of your financial situation.
- You can access an online library of articles and information covering topics from budgeting to wealth planning.
- We have an online glossary with a range of different definitions covering financial and investment terms, in case you are confused.
- You will have access to interactive calculators and planning tools that you can use for your wealth planning needs.
- We offer you fact sheets and frequently asked questions covering a range of facts and questions from your super fund to retirement planning and investing.
- You will receive regular updates on legislative changes. This feedback is extremely useful as new information typically presents you with new opportunities.
- You will also have the opportunity to attend Financial Life Planning seminars and other informative sessions. These knowledge sessions will provide you with the means to take control of your financial life decisions.
WE ALSO OFFER PERSONAL ASSISTANCE THROUGH A FREE CALL HELPLINE
If you are one of WealthSmart’s Private Clients, you will have access to aid via a free helpline. Our helpline will assist you with questions and queries covering common and personal inquiries about your financial situation.
THE INSURANCE RESPONSIBILITIES OF AN SMSF TRUSTEE
Self-managed super funds are preferred over traditional superannuation by many as they allow the trustee and member of the SMSF to manage and control their financial situation and future. But SMSFs come with risks and potential issues that trustees need to know about. For example, according to the Australian government’s 2010 Super System Review, under 13% of SMSFs have Life Insurance. These stats have resulted in changes in an SMSF trustee’s insurance obligations for their members through the Stronger Super reforms.
Trustees of an SMSF have the compulsory duty to consider a range of insurance strategies. Once they have chosen an insurance strategy, the process has to be reviewed regularly and compared to the rest of the investment plan. SMSF trustees can consider different types of Life Insurance, including Life Cover, Total and Permanent Disability insurance, and Income Protection.
When documenting the reviews and considerations in the investment strategy, trustees will assess the member’s needs regarding age, income, health, and dependants. Trustees also have the duty to discuss the reviews and considerations with the SMSF members and set up their insurance if requested. The Australian Taxation Office (ATO) reviews and evaluates the investment strategy. The ATO may hand out penalties if the investment strategy is incorrectly prepared and considered.
After the trustees have discussed the Life Insurance options with their members, they must research and gather quotes. The insurance provider must provide members with these quotes to determine which quote suits them the best and which one to accept.
Trustees also have to arrange that the specific premiums are accurate and paid on time. The different policies will differ across the various insurance companies, which means they may have other requirements regarding how they pay out premiums and under what conditions they will pay these. Usually, the insurance company provides the guidelines and processes to deduct premiums from the fund’s account once a month. If this is the arrangement, trustees will have the duty to ensure that the account has enough money in it so that the withdrawal is successful.
When claims have to be made and benefits need to be distributed, trustees have the duty of arranging this and overseeing this process. As the insurance company pays claims to the trustee, the trustee has the responsibility to pay the claim according to the conditions set out in the Trust Deed and following superannuation law to the beneficiary.
MAKING A CLAIM
In the unfortunate event of injury, sickness, or death, as the policyholder or your representative, you or they must claim payment in terms of the policy stipulations. This time is sure to be stressful, and this is why we aim to make the claims process smooth and easy for the policyholder and their dependents. When making a claim, you would need to contact a WealthSmart advisor and follow these steps:
- MAKE CONTACT WITH A WEALTHSMART ADVISOR
Once you need to make a claim, you need to contact WealthSmart. Alternatively, you could get in touch with your insurance provider. At WealthSmart, we will help you complete the necessary paperwork, gather the required evidence, and assemble the needed information.
You should be aware that the policyholder or primary beneficiary is not required to make a claim themselves. This availability is likely to be impossible due to whatever circumstances they face. But the policyholder or primary beneficiary must be available for specific validation and to receive the claim.
To get the claims process started, call us on 1800 765 100.
- GATHER DOCUMENTATION
Insurance companies need policyholders or their professional advisors to submit specific documents for certain types of claims. For example, if you claim from Income Protection, TPD, or Trauma, you will need to consult a WealthSmart advisor to help identify which documents you should submit with the claim. Documents you may need for these types of claims are medical certificates and reports from your doctor, and documentation from your employer.
If the claim is for death cover, documentation like the death certification from the coroner’s office or funeral director is needed. We recommend that you make copies of the death certificate to provide as documentation while keeping the original safe.
- SUBMIT THE CLAIM AND DISCUSS THE SETTLEMENT
After one of our WealthSmart advisors has assisted you in collecting and gathering the necessary documentation, you will be able to submit the claim. Once you have completed this step, a WealthSmart advisor will liaise with the specific insurance provider to achieve the best outcome for you and your dependents. Once the claim has been processed and accepted, the company will issue the payment or payments to the beneficiary/beneficiaries.
Payment periods are claim dependent and depend on how fast the client submits the claim. If the insurance company confirms that your claim satisfies its conditions, they will make payment within a specific number of working days. WealthSmart’s advisors will assist you along the way and offer assistance regarding any claim processing for your convenience.
PAYMENT CONDITIONS AND WAITING PERIODS
An insurance company will only pay the lump sum on a Life Cover policy after the policyholder has passed away or is diagnosed with a terminal illness. If the policyholder becomes diagnosed with a terminal illness, their doctor will be required to have given the policyholder less than 12 months to live. Once the company approves the claim, they will process the lump sum within 14 days.
An insurance company dealing with TPD Insurance lump sum payouts will only make the payment once a medical professional makes a diagnosis that states the policyholder will never be able to work again. Once the policyholder has had the disability for three to six months, only then will the company pay the lump sum.
An insurance company will not approve or pay a lump sum for Trauma Insurance if the policyholder experiences specific medical conditions within three months of purchasing a trauma insurance product. Regulatory bodies also require insurance providers to stipulate what particular medical conditions they should or shouldn’t cover in a policy. If the company processes and accepts the claim, they will pay the lump sum out immediately. However, the company may delay the lump sum payment for up to three months for specific requirements while they complete their procedures.
