Imagine what it would be like to be off work because of illness or injury without your regular income. After your sick pay runs out, how would you pay for living expenses and bills?

Income Protection insurance provides an income if you are unable to work temporarily because of illness, injury or accident. A partial benefit may also be payable to you if you return to work in a reduced capacity.

Each unit of Income Protection insurance cover provides a gross monthly benefit of up to $585, however benefits paid to you cannot exceed 75% of your earned income and the superannuation contribution benefit cannot exceed 10% of your earned income. If the benefit is paid for a period greater than 12 months it will be indexed by the lesser of CPI or 5%.

The amount of any Income Protection benefit payable will depend on the:

• number of units of cover you are insured for and
• the income you are earning from work immediately prior to becoming eligible to receive a benefit.

Any benefit payable will be reduced by all amounts payable from the following sources:

• Workers compensation schemes and
• Statutory compensation, pension, social security or similar schemes and
• Income benefits from policies of insurance and superannuation trustee(s) and
• Any sick leave entitlements.

NOTE: Part pension amounts will not be offset in the event of disablement for members aged between 56 and 65 unless they are disability pensions.

Basic Income Protection Cover

As an Employer Sponsored member, you will receive Basic Income Protection cover when you join Catholic Super unless you tell us otherwise.

Basic Cover is one of the following:

• the number of units applicable to the salary range you indicated on your Membership Application Form, up to a maximum of 17 units. ie if your annual gross salary is $66,072 to $74,329, you will be allocated 9 units. (See the chart below for the number of units that apply to your salary.)
  
  OR
  
  
• 5 units of cover if you did not indicate your salary range on the Membership Application Form

Personal Plan members if working, can apply for Income Protection cover by completing our Application for Insurance Cover form. The cover is subject to acceptance by the insurer and notification of acceptance to you in writing by Catholic Super.

How much does it cost?

The cost of your Income Protection cover will depend on the number of units of cover that you require and your age as well as the IP package option you have selected. See below for details of the options available.

The cost of your Income Protection cover will be deducted from your account each month and will alter on your birthday each year in line with the premium scale shown in the Income Protection Scale. To calculate the weekly cost of your cover you multiply the number of units of cover you require by the cost per unit for your age next birthday.

Example

If you are aged 46 (age 47 next birthday) and require 10 units of Income Protection cover with a 60 day waiting period and a 5 year benefit payment period the weekly cost be 10 units x $0.73 per unit = $7.30. You can check this in the table below!

Units applicable to annual salary and total monthly benefit 

Your salary	Units of cover you’re eligible for	Total monthly benefit (number of units x $585)
Up to $8,259	1	$585
$8,260 - $16,518	2	$1,170
$16,519 - $24,776	3	$1,755
$24,777 - $33,035	4	$2,340
$33,036 - $41,294	5	$2,925
$41,295 - $49,553	6	$3,510
$49,554 - $57, 812	7	$4,095
$57,813 - $66,071	8	$4,680
$66,072 - $74, 329	9	$5,265
$74,330 - $82,588	10	$5,850
$82,589 - $90,847	11	$6,435
$90,848 - $99,106	12	$7,020
$99,107 - $107,365	13	$7,605
$107,366 - $115,624	14	$8,190
$115,625 - $123,882	15	$8,775
$123,883 - $132,141	16	$9,360
$132,142 - $140,400	17	$9,945

Income Protection Package Options for new members

When you join as a new employer sponsored member of Catholic Super, you will be able to select a different Income Protection package option within 60 days of receiving your Welcome to Catholic Super letter.

These options allow you to shorten your waiting period and/or lengthen your benefit payment period without having to provide evidence of health as long as you make your choice within the 60-day timeframe.

• Option 1 – 60 day waiting period, 5 year benefit payment period (Basic Cover)*
• Option 2 – 60 day waiting period, up to age 65 benefit payment period
• Option 3 – 30 day waiting period, 5 year benefit payment period
• Option 4 – 30 day waiting period, up to age 65 benefit payment period

* If you do not make a selection, you will automatically fall under option 1 which is the Basic Cover. In this category, where you are disabled, your benefits are payable for up to five years after a waiting period of 60 days.

Provided you meet the eligibility requirements you may choose up to 17 units of Income Protection cover at the time you join Catholic Super, without completing an Application for Insurance Cover.

If your income range is above that provided by 17 units you may apply for additional units of Income Protection cover. However, acceptance will be subject to the Insurer’s approval and you may be required to provide evidence of health. Note: If you have previously been paid, or were eligible to be paid a Total & Permanent Disablement (TPD) benefit, you are not eligible for TPD or Income Protection cover under Catholic Super and your cover will be restricted to Death Only cover.

More Information

More information about Income Protection Insurance can be found in the Product Disclosure Statement or contact us.