Known as BT’s ‘trauma cover’, BT’s Living Insurance is designed to eliminate the financial stress that accompanies a critical illness. Should you be diagnosed with a critical illness that prevents you from earning an income, paying bills and maintaining your current lifestyle, BT will pay you a lump sum to help you and your family keep up with the costs of living. It can also be used to take care of medical costs that might not be included in your existing health insurance or under Medicare, and can help you adjust to any necessary lifestyle changes so that your quality of life is preserved.
What conditions trigger a payout?
There are two levels of cover to choose from for BT Living Insurance. The first tier of coverage, Living Benefit, covers for a list of 14 qualifying medical illnesses and conditions. Living Benefit Plus is a premium level of cover with a wider range of specified medical illnesses that qualify for a payout, including 43 qualifying medical illnesses and conditions.
BT’s list of 43 qualifying medical events include:
- Cancer
- Heart disorders
- Nervous system disorders
- Accidents, such as severe burns or coma
- Body organ disorders, including liver disease or major organ transplant
- Blood disorders
- Loss of limbs
What types of cover can I choose from?
BT Living Insurance can be purchased as a standalone policy or packaged with your Term Life Insurance and Income Protection Insurance.
You can also choose from two levels of cover – Living Benefit and Living Benefit Plus. The main difference between these two covers is the list of medical illnesses and conditions that qualify for a payout. Whereas Living Benefit Plus includes 43, whereas Living Benefit only includes 14.
What’s included?
As with most of BT’s insurance policies, a number of benefits, discounts and extras make BT a popular choice in the Australian insurance market.
Firstly, BT makes sure your policy benefit keeps up with the escalating costs of living by automatically increasing the amount of your benefits each year to keep up with the Australian Consumer Price Index (CPI).
BT also guarantees that your Living Insurance policy is 100% renewable. As long as you pay your premiums, BT will never cancel your insurance, even if your health, occupation or lifestyle changes.
If you’re concerned your policy might not be as beneficial as it was when you first took it out, BT will automatically upgrade your policy to their latest versions, as long as the latest version doesn’t result in an increase in premium.
If you’ve been with BT for three years or more, BT will increase select benefits by 3% to reward their customers for continued loyalty.
You can also take advantage of their Multi-Policy discount and get a 5% discount for taking out multiple covers
- Advancement Benefit:
For certain medical conditions, BT can provide a partial benefit to cover the costs of rehabilitation and other medical bills. Depending on whether you have Living Benefit or Living Benefit Plus, the list of possible medical conditions varies. Some qualifying medical conditions for a partial payout include melanoma, advanced prostate cancer and angioplasty.
- Future Insurability Benefit:
This benefit allows you to increase the Living Benefit without medical underwriting should one of BT’s specified Personal or Business Events affect your lifestyle. These could include marriage, divorce, birth of a child, death of a spouse or child, or salary increase.
- Financial Planning Benefit:
Planning for your financial future is hard, especially when an illness or injury is involved. Should you need financial advice following the payment of a Living Benefit, BT will reimburse you up to $5,000 for the preparation of a financial plan.
- Counselling Benefit:
An illness or injury has a profound impact upon your life and your family’s life. Because the effects of an illness or injury are more than just financial, BT can reimburse you up to $5,000 for a maximum of 10 counselling sessions following the payment of a Living Benefit.
- Child Support Benefit:
Pays you $10,000 if a dependant child dies or they suffers a medical illness or condition.
- Living Insurance Death Benefit:
In the event of your death, BT will pay your nominated beneficiary $10,000 if you suffer from one of BT’s Specified Medical Events, but you do not live the required 14 days to receive the Living Benefit lump sum.
- Premium Holiday
Want to pause your policy, without the hassle of re-applying later? If you can’t afford your monthly premium payments, BT can pause your policy for a maximum of 12 months if you’ve held it for longer than 6 months.
- Worldwide coverage
Moving overseas? No matter where you find yourself in the world, your BT Living Insurance cover is still valid 24/7
Want to compare this policy with others? You can compare BT’s insurance premiums with other policy providers through our free quote service.
© 2012 Wealth Smart Life InsurancePage last updated: February 26, 2014