Contents 1 Protect yourself and

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1 Insurance handbook for Personal Super Auth. No November 2015 The information in this document forms part of the Product Disclosure Statement for Cbus Personal Super of 1 November Contents 1 Protect yourself and your family with Cbus insurance 3 2 Insurance cover summary 4 3 About Death and TPD cover 6 4 Insurance scales 7 5 Changing your cover 11 6 When does your cover stop? 15 7 Restarting cover after it s been cancelled or expired 16 8 What happens if you start to receive Employer Contributions in Cbus Personal Super? 17 9 Making an insurance claim Insurance definitions Need help to sort out your insurance? Other questions about your super? 27

2 Auth. No This Product Disclosure Statement (PDS) is a summary of significant information about Cbus and contains a number of references to important information. Refers to incorporated by reference materials Refers to important information for you to note You should consider this information before making a decision. If you want a printed copy of this PDS or other information referenced, please call or us. Cbus Trustee: United Super Pty Ltd ABN AFSL Cbus ABN MySuper authorisation The contents of this PDS is general information only and does not take into account your financial situation or needs. You should obtain financial advice tailored to your own personal circumstances. Please note the information in this PDS is current as at 1 November 2015 and is subject to change between the time you read it and when you join Cbus. For updated information visit our website or call us. with Cbus 3 Together we ll look after your future Our members work in some of the toughest conditions of any industry. That s why we believe insurance is essential to make sure your income and your family s welfare are protected 24 hours a day, 7 days a week. This handbook tells you all about insurance through Cbus Personal Super. If you need more information or help, contact us on or cbusenq@cbusmail.com.au Important information The information in this Insurance handbook is current at the time of printing but may be subject to change due to amendments to legislation, fund rules or other causes. You can access the most up-to-date information at or call the Service Centre on A copy of this information will be provided to you on request free of charge. You will be advised of any change to the information that is materially adverse through the Fund s member magazine Cbus News or via a new Insurance handbook or Product Disclosure Statement (PDS). This Insurance handbook sets out the main features and benefits of insurance in Cbus Personal Super. Please read it thoroughly. This Insurance Handbook has been prepared and issued on 1 November 2015 by Cbus Trustee: United Super Pty Ltd. ABN AFSL Cbus ABN This document replaces the previous insurance information provided in the Insurance handbook for Personal Super dated 8 September Insurance is issued under a group policy taken out by the Trustee with the Insurer. The Fund s Insurer is TAL Life Limited ABN , AFSL ( Insurer, TAL ). Please note that the terms and conditions of the Trustee s policy with TAL will prevail over any information in this document related to TAL s provision of insured benefits. General advice warning This information is about Cbus. It doesn t take into account your specific needs, so you should look at your own financial position, objectives and requirements before making any financial decisions. Read the Cbus Personal Super Product Disclosure Statement to decide whether Cbus is right for you. To obtain a copy or if you require referral to a professional Financial Planner who does not charge commissions, please call Privacy Your information is private. Cbus takes the utmost care with your personal information. Cbus collects personal information to manage memberships, claims and benefit payments. You can access a copy of our Privacy policy and Personal information collection statements at or by calling our Service Centre on The information in this document forms part of the Product Disclosure Statement for Cbus Personal Super of 1 November Join Cbus Personal Super Product Disclosure Statement: 1 November cbusenq@cbusmail.com.au Contents 1 About Cbus 2 2 How super works 2 3 Benefits of investing 4 Risks of super 3 5 How we invest your money 3 6 Fees and costs 4 7 How super is taxed 5 8 Insurance in your super 6 9 How to open an account 8 10 Other information /15

3 1 Protect yourself and your family with Cbus insurance Insurance is one of the best ways you can protect your future. It s about looking after yourself and your family if illness or an injury stops you from working. That s why Cbus believes insurance is essential for all our members. Affordable insurance, around the clock. You re covered 24 hours a day, 7 days a week Affordable Costs come out of your super, not your bank account You can choose the type and amount of cover you need Cover designed for Cbus members You can check your cover online anywhere, anytime Whether you re at work or at home, you ll be protected Because we buy our insurance as a group, costs are generally lower than insurance you buy as an individual Your super covers the cost of your insurance so you don t need to find room in your budget Because everyone s needs are different, you can tailor your cover to suit your needs We have three occupation categories designed to suit the risks of different types of work Register for our online Member SuperSite to see your insurance cover whenever you need to. To register: Call us on for your password You can then log in to Insurance handbook for Personal Super 3

4 2 Insurance cover summary What types of cover can I get through Cbus Personal Super? You can get two types of cover through Cbus Personal Super: Death cover Total and Permanent Disablement (TPD) cover Death cover provides a lump sum payment (on top of your account balance) if you die. You ll also be covered in the event you re diagnosed with a Terminal Illness that s likely to lead to your death within 24 months from the date of your diagnosis. TPD cover provides a lump sum payment (on top of your account balance) if you re unlikely to ever work again due to Illness or Injury and you meet the TPD definition under the Cbus Insurance Policy. TPD cover doesn t cover you if you re temporarily or partially disabled. This means it won t cover you if you have to stop work due to an Illness or Injury, but can later return to work in your job or any other job for which you re reasonably suited, based on your education, training and experience. Insurance FAQs How do I get insurance cover? When you join Cbus Personal Super, to apply for insurance cover you need to complete an Application to increase insurance cover. You ll need to provide information about your health and other details, and your application will be assessed by the Insurer. When does my cover start? When cover starts depends on the Insurer accepting your application. The Insurer may ask you for more information or to have medical tests to help them assess your application. We ll let you know in writing whether your application has been accepted. If it has, we ll also confirm the date your cover starts, the occupation category you re covered under, and how much cover you have. Who pays for my cover? The cost of cover is paid for out of your super account balance each month, as long as your cover hasn t stopped for one of the reasons outlined on page 15. How is the cost of cover calculated? The total cost depends on the type of cover and number of units of cover you have, and your occupation category. How much cover do I need? Before you choose how much cover you want, think carefully about what financial support you or your family would need if you died before you retire, or if you could never work again. Think about: income how much you earn today (and what you could be earning in the future) dependants do you have a spouse, de-facto spouse, children or other financial dependants? debts do you have a mortgage, loan or other debts? assets do you own any property or shares? We can help you work out how much, or what type of cover can meet your needs. Call us on to speak to the Cbus Advice Team. 4 Insurance handbook for Personal Super

5 Insurance terms: how to find out what they mean When you see an insurance term written in bold italics like this: Terminal Illness you can find its meaning in the insurance definitions section on pages Need help to choose your cover? Cbus can help you work out how much, or what type, of cover can meet your needs. You can: Try our handy insurance calculator at calculators for a snapshot of what you might need. Call us on to speak to the Cbus Advice Team. Insurance handbook for Personal Super 5

6 3 About Death and TPD cover How much cover can Death and TPD insurance give you? Before you work out how many units of Death and TPD cover you want, you need to know how much money each one is worth. The value of each unit as well as the cost will depend on: your age, and which occupation category you get cover under (see below). The tables on the following pages will help you work out how much Death and TPD insurance is right for you and your family. Occupation categories for Death and TPD cover As part of the Application to increase insurance cover, we ask you some questions about your job. Your answers determine which of the following occupation categories you can be covered under. Each category has its own insurance scale which tells you how much each unit of cover is worth. To see how much each unit of cover is worth under the different occupation categories, check the insurance scales on pages You can apply to change your occupation category at any time see page 13 for details. Eligibility for occupation category Example occupations Manual Non-Manual Professional Perform any manual (physical) work, or Spend more than 20% of your working time outside of an office environment Carpenter, Plasterer, Bricklayer, Plumber Perform work of a clerical, administrative, managerial or professional nature, and Perform a minimum of 80% of your work in an office environment, and Don t perform any manual (physical) work. Bookkeeper, Quantity Surveyor, Payroll Administrator Perform work of an entirely sedentary professional nature, and Perform a minimum of 80% of work in an office environment, and Don t perform any manual (physical) work, and Have an Annual Taxable Income of more than $100,000 (which can be applied pro rata for permanent part-time workers), and either of the following applies: - you hold a university qualification (Bachelor degree or above), or - you re a Senior Manager or Executive within the organisation in which you re employed (see definitions on page 28). Accountant, Architect, HR Manager, Lawyer Cover Period Death Age Age Age Cover Period TPD Age * Age * Age * Death and TPD cost per unit per week Death only cost per unit per week TPD only cost per unit per week $3.58 $3.58 $3.58 $1.33 $1.55 $1.55 $2.25 N/A N/A * You need to apply for TPD cover from ages 65 to 69, otherwise cover stops at age 65. Cover can be extended if you apply within the 12 months before turning 65, subject to acceptance by the Insurer. 6 Insurance handbook for Personal Super

7 4 Insurance scales How to read the scales Look up your age on the table that matches your occupation category on the previous page. The more units of cover you have, the higher the amount you could receive if you make a claim. However, that amount will reduce as you get older. The weekly cost also increases with the number of units you choose, and this will come out of your super account. Insurance handbook for Personal Super 7

8 4 Insurance scales (continued) Manual scale This is your scale if you: perform any manual (physical) work, or spend more than 20% of your working time outside an office environment. 1 unit 2 units 3 units 4 units Age $3.58 a week $7.16 a week $10.74 a week $14.32 a week Death TPD Death TPD Death TPD Death TPD $52,000 $26,000 $104,000 $52,000 $156,000 $78,000 $208,000 $104,000 Case study 51 $48,000 $24,000 $96,000 $48,000 $144,000 $72,000 $192,000 $96, $44,000 $22,000 $88,000 $44,000 $132,000 $66,000 $176,000 $88, $39,500 $19,750 $79,000 $39,500 $118,500 $59,250 $158,000 $79, $35,000 $17,500 $70,000 $35,000 $105,000 $52,500 $140,000 $70, $33,000 $16,500 $66,000 $33,000 $99,000 $49,500 $132,000 $66, $31,000 $15,500 $62,000 $31,000 $93,000 $46,500 $124,000 $62, $29,000 $14,500 $58,000 $29,000 $87,000 $43,500 $116,000 $58, $27,000 $13,500 $54,000 $27,000 $81,000 $40,500 $108,000 $54, $25,000 $12,500 $50,000 $25,000 $75,000 $37,500 $100,000 $50, $23,000 $11,500 $46,000 $23,000 $69,000 $34,500 $92,000 $46, $21,000 $10,500 $42,000 $21,000 $63,000 $31,500 $84,000 $42, $19,000 $9,500 $38,000 $19,000 $57,000 $28,500 $76,000 $38, $17,000 $8,500 $34,000 $17,000 $51,000 $25,500 $68,000 $34, $15,000 $7,500 $30,000 $15,000 $45,000 $22,500 $60,000 $30, $12,500 $6,250 $25,000 $12,500 $37,500 $18,750 $50,000 $25, $10,000 $5,000 $20,000 $10,000 $30,000 $15,000 $40,000 $20, $8,000 $4,000 $16,000 $8,000 $24,000 $12,000 $32,000 $16, $6,000 $3,000 $12,000 $6,000 $18,000 $9,000 $24,000 $12,000 Note: You need to apply for TPD cover from ages 65 to 69, otherwise cover stops at age 65. Cover can be extended if you apply within the 12 months before turning 65, subject to acceptance by the Insurer. Adrian is a 32 year old Plasterer who wants to apply for Death and TPD insurance cover. He decides to apply for 4 units of TPD and Death cover. Adrian can do this completing an Application to increase insurance cover and supplying information about his health to the Insurer. Adrians s insurance cover Amount of Death cover 4 x $52,000 = $208,000 Amount of TPD cover 4 x $26,000 = $104,000 Total cost per week 4 x $3.58 = $ Insurance handbook for Personal Super

9 Non-Manual scale This is your scale if you: perform work of a clerical, administrative, managerial, or professional nature, and perform a minimum of 80% of your work in an office environment, and don t perform any manual (physical) work. 1 unit 2 units 3 units 4 units Age $3.58 a week $7.16 a week $10.74 a week $14.32 a week Death TPD Death TPD Death TPD Death TPD $122,500 $122,500 $245,000 $245,000 $367,500 $367,500 $490,000 $490, $119,400 $119,400 $238,800 $238,800 $358,200 $358,200 $477,600 $477, $116,100 $116,100 $232,200 $232,200 $348,300 $348,300 $464,400 $464, $112,900 $112,900 $225,800 $225,800 $338,700 $338,700 $451,600 $451, $109,400 $109,400 $218,800 $218,800 $328,200 $328,200 $437,600 $437, $105,700 $105,700 $211,400 $211,400 $317,100 $317,100 $422,800 $422, $102,000 $102,000 $204,000 $204,000 $306,000 $306,000 $408,000 $408, $96,700 $96,700 $193,400 $193,400 $290,100 $290,100 $386,800 $386, $91,500 $91,500 $183,000 $183,000 $274,500 $274,500 $366,000 $366, $86,200 $86,200 $172,400 $172,400 $258,600 $258,600 $344,800 $344, $81,000 $81,000 $162,000 $162,000 $243,000 $243,000 $324,000 $324, $75,500 $75,500 $151,000 $151,000 $226,500 $226,500 $302,000 $302, $72,400 $72,400 $144,800 $144,800 $217,200 $217,200 $289,600 $289, $69,300 $69,300 $138,600 $138,600 $207,900 $207,900 $277,200 $277, $66,200 $66,200 $132,400 $132,400 $198,600 $198,600 $264,800 $264, $63,200 $63,200 $126,400 $126,400 $189,600 $189,600 $252,800 $252, $61,500 $61,500 $123,000 $123,000 $184,500 $184,500 $246,000 $246, $61,000 $61,000 $122,000 $122,000 $183,000 $183,000 $244,000 $244, $60,400 $60,400 $120,800 $120,800 $181,200 $181,200 $241,600 $241, $60,200 $60,200 $120,400 $120,400 $180,600 $180,600 $240,800 $240, $60,100 $60,100 $120,200 $120,200 $180,300 $180,300 $240,400 $240, $59,800 $47,300 $119,600 $94,600 $179,400 $141,900 $239,200 $189, $55,300 $43,500 $110,600 $87,000 $165,900 $130,500 $221,200 $174, $50,800 $39,700 $101,600 $79,400 $152,400 $119,100 $203,200 $158, $45,700 $33,900 $91,400 $67,800 $137,100 $101,700 $182,800 $135, $42,200 $26,500 $84,400 $53,000 $126,600 $79,500 $168,800 $106, $39,600 $26,500 $79,200 $53,000 $118,800 $79,500 $158,400 $106, $37,000 $23,800 $74,000 $47,600 $111,000 $71,400 $148,000 $95, $34,400 $21,100 $68,800 $42,200 $103,200 $63,300 $137,600 $84, $31,600 $18,500 $63,200 $37,000 $94,800 $55,500 $126,400 $74, $29,000 $15,800 $58,000 $31,600 $87,000 $47,400 $116,000 $63, $26,600 $13,300 $53,200 $26,600 $79,800 $39,900 $106,400 $53, $24,200 $12,100 $48,400 $24,200 $72,600 $36,300 $96,800 $48, $22,000 $11,000 $44,000 $22,000 $66,000 $33,000 $88,000 $44, $20,500 $10,250 $41,000 $20,500 $61,500 $30,750 $82,000 $41, $20,500 $10,250 $41,000 $20,500 $61,500 $30,750 $82,000 $41, $14,400 $7,200 $28,800 $14,400 $43,200 $21,600 $57,600 $28, $11,500 $5,750 $23,000 $11,500 $34,500 $17,250 $46,000 $23, $9,400 $4,700 $18,800 $9,400 $28,200 $14,100 $37,600 $18, $8,200 $4,100 $16,400 $8,200 $24,600 $12,300 $32,800 $16,400 Note: You need to apply for TPD cover from ages 65 to 69, otherwise cover stops at age 65. Cover can be extended if you apply within the 12 months before turning 65, subject to acceptance by the Insurer. Case study Emily is 41 years old and works as a Payroll Administrator. She s been a member of Cbus for a couple of years, and after reviewing her finances has decided to increase her insurance cover. Emily currently has 4 units of Death and TPD cover and wants to apply for an additional 2 units of cover. She completes an Application to increase insurance cover and supplies information about her health to the Insurer. Emily s insurance cover Amount of Death cover 6 x $72,400 = $434,400 Amount of TPD cover 6 x $72,400 = $434,400 Total cost per week 6 x $3.58 = $21.48 Insurance handbook for Personal Super 9

10 4 Insurance scales (continued) Professional scale This is your scale if you: perform work of an entirely sedentary professional nature, and perform a minimum of 80% of work in an office environment, and don t perform any manual (physical) work duties, and have an Annual Taxable Income of more than $100,000 (which can be applied pro rata for permanent part-time workers), and either of the following applies: - you hold a university qualification (Bachelor degree or above), or - you re a Senior Manager or Executive within the organisation in which you re employed (see definitions on page 24). 1 unit 2 units 3 units 4 units Age $3.58 a week $7.16 a week $10.74 a week $14.32 a week Death TPD Death TPD Death TPD Death TPD $153,125 $153,125 $306,250 $306,250 $459,375 $459,375 $612,500 $612, $149,250 $149,250 $298,500 $298,500 $447,750 $447,750 $597,000 $597, $145,125 $145,125 $290,250 $290,250 $435,375 $435,375 $580,500 $580, $141,125 $141,125 $282,250 $282,250 $423,375 $423,375 $564,500 $564, $136,750 $136,750 $273,500 $273,500 $410,250 $410,250 $547,000 $547, $132,125 $132,125 $264,250 $264,250 $396,375 $396,375 $528,500 $528, $127,500 $127,500 $255,000 $255,000 $382,500 $382,500 $510,000 $510, $120,875 $120,875 $241,750 $241,750 $362,625 $362,625 $483,500 $483, $114,375 $114,375 $228,750 $228,750 $343,125 $343,125 $457,500 $457, $107,750 $107,750 $215,500 $215,500 $323,250 $323,250 $431,000 $431, $101,250 $101,250 $202,500 $202,500 $303,750 $303,750 $405,000 $405, $94,375 $94,375 $188,750 $188,750 $283,125 $283,125 $377,500 $377, $90,500 $90,500 $181,000 $181,000 $271,500 $271,500 $362,000 $362, $86,625 $86,625 $173,250 $173,250 $259,875 $259,875 $346,500 $346, $82,750 $82,750 $165,500 $165,500 $248,250 $248,250 $331,000 $331, $79,000 $79,000 $158,000 $158,000 $237,000 $237,000 $316,000 $316, $76,875 $76,875 $153,750 $153,750 $230,625 $230,625 $307,500 $307, $76,250 $76,250 $152,500 $152,500 $228,750 $228,750 $305,000 $305, $75,500 $75,500 $151,000 $151,000 $226,500 $226,500 $302,000 $302, $75,250 $75,250 $150,500 $150,500 $225,750 $225,750 $301,000 $301, $75,125 $75,125 $150,250 $150,250 $225,375 $225,375 $300,500 $300, $74,750 $59,125 $149,500 $118,250 $224,250 $177,375 $299,000 $236, $69,125 $54,375 $138,250 $108,750 $207,375 $163,125 $276,500 $217, $63,500 $49,625 $127,000 $99,250 $190,500 $148,875 $254,000 $198, $57,125 $42,375 $114,250 $84,750 $171,375 $127,125 $228,500 $169, $52,750 $33,125 $105,500 $66,250 $158,250 $99,375 $211,000 $132, $49,500 $33,125 $99,000 $66,250 $148,500 $99,375 $198,000 $132, $46,250 $29,750 $92,500 $59,500 $138,750 $89,250 $185,000 $119, $43,000 $26,375 $86,000 $52,750 $129,000 $79,125 $172,000 $105, $39,500 $23,125 $79,000 $46,250 $118,500 $69,375 $158,000 $92, $36,250 $19,750 $72,500 $39,500 $108,750 $59,250 $145,000 $79, $33,250 $16,625 $66,500 $33,250 $99,750 $49,875 $133,000 $66, $30,250 $15,125 $60,500 $30,250 $90,750 $45,375 $121,000 $60, $27,500 $13,750 $55,000 $27,500 $82,500 $41,250 $110,000 $55, $25,625 $12,813 $51,250 $25,626 $76,875 $38,439 $102,500 $51, $25,625 $12,813 $51,250 $25,626 $76,875 $38,439 $102,500 $51, $18,000 $9,000 $36,000 $18,000 $54,000 $27,000 $72,000 $36, $14,375 $7,188 $28,750 $14,376 $43,125 $21,564 $57,500 $28, $11,750 $5,875 $23,500 $11,750 $35,250 $17,625 $47,000 $23, $10,250 $5,125 $20,500 $10,250 $30,750 $15,375 $41,000 $20, $10,250 $5,125 $20,500 $10,250 $30,750 $15,375 $41,000 $20,500 Note: You need to apply for TPD cover from ages 65 to 69, otherwise cover stops at age 65. Cover can be extended if you apply within the 12 months before turning 65, subject to acceptance by the Insurer. Case study Max is a 45 year old architect, who currently has (4 units of Death and TPD) cover. He decides to apply for an additional 2 units of Death and TPD by completing an Application to increase insurance cover and supplying information about his health to the Insurer. Max s insurance cover Amount of Death cover 6 x $76,875 = $461,250 Amount of TPD cover 6 x $76,875 = $461,250 Total cost per week 6 x $3.58 = $ Insurance handbook for Personal Super

11 5 Changing your cover You can apply to change how much and what type of Death and TPD cover you have with Cbus Personal Super. How do I increase my cover? To apply for or increase your level of cover you can complete an Application to increase insurance cover. You can also use this form to change your occupation category, which may provide you with a higher level of cover. Any increases to cover depend on approval by the Insurer. If you re just looking to change occupation category, you can do this by using an Application to change occupation category, without having to provide detailed information about your health. If you re eligible, the Non-Manual and Professional categories provide a higher level of cover than you would have under the Manual category. Read Occupation categories for Death and TPD cover on page 6 for more details. How much will extra Death and TPD cover cost? The cost of cover depends on the type of cover and number of units you choose, and your occupation category. Type of cover Cost per unit Manual Non-Manual Professional Death and TPD $3.58 $3.58 $3.58 Death Only $1.33 $1.55 $1.55 Additional TPD* $2.25 Not Available Not Available * Only Manual members can apply for more TPD units of cover than Death units of cover, subject to the limitations outlined over the page, without having to provide detailed information about your health. When will my cover start? Any change or increase in your cover will: depend on Cbus and the Insurer accepting your application, and start from the date your cover is accepted (provided that you have a minimum account balance of $250 within 31 days from the date your application for cover was accepted). Insurance handbook for Personal Super 11

12 6 Changing your cover (continued) Limits on Death and TPD cover you can apply for There s a limit (maximum cover level) on the amount of Death and TPD cover you can apply for under Cbus Personal Super: For ages 15 to 69, you can apply for up to $5 million Death cover and $2 million of TPD cover. Note: The maximum of $2 million for TPD cover applies to all cover you hold with any super fund or insurance policy, not just cover with us. The dollar value of your TPD cover can t be more than the dollar value of your Death cover. If you re a Non-Manual of Professional member, the amount of TPD cover you can have is limited to seven times your Annual Taxable Income. The Insurer may not approve your application if the number of units you choose provides TPD cover that s more than that amount. If you re a Manual member. - You can apply for equal Death and TPD cover up to a maximum of 10 units of Death and 20 units of TPD. For example, at age 40: 10 units of Death = $520,000 and 20 units of TPD = $520, You don t need to have equal Death and TPD cover if you don t want to. In fact you may apply to have any combination of Death and TPD cover you want (subject to the limits outlined above) as long as the dollar value of your TPD cover doesn t exceed that of your Death cover. For example, at age 40 you could choose to have 10 units of Death = $520,000 and 15 units of TPD = $390, If you need more than 10 units of Death cover and 20 units of TPD cover, then you can only apply for 1 additional unit of TPD cover for each unit of Death cover. This means you can t choose to have an equal dollar value of Death and TPD cover if you want more than 10 units of Death and 20 units of TPD cover. Example At age 40, if you wanted to apply for 15 units of Death cover, the maximum number of TPD units you could apply for would be 25 as shown in the table below: Death cover 8 units = $416, units = $520, units = $572, units = $624, units = $676, units = $728, units = $780,000 TPD Cover 8 units x 2 = 16 units ($416,000) 10 units x 2 = 20 units ($520,000) 20 units + 1 = 21 units ($546,000) 20 units + 2 = 22 units ($572,000) 20 units + 3 = 23 units ($598,000) 20 units + 4 = 24 units ($624,000) 20 units + 5 = 25 units ($650,000) You can have equal Death and TPD cover up to 10 units of Death and 20 units of TPD. You can only apply for 1 additional unit of TPD cover for each unit of Death cover above 10. How the Insurer decides if you can have more Death and TPD cover The Insurer may ask you for more information or to have medical tests to help them assess your application. Your increased cover depends on the Insurer accepting your application. If they accept it, we ll let you know in writing what date your increased cover starts and the occupation category you re covered under. The Insurer will only consider your application if: you re age 15 or over and under age 70, and you re not currently applying for, not entitled to, or haven t been paid a TPD or terminal illness benefit from any super fund or life insurance policy, and you have not been diagnosed with an Illness that is likely to result in your death within 24 months from the date of your diagnosis, and you complete all sections of the Application to increase insurance cover and supply any other information the Insurer asks for, and you have a minimum account balance of $250 within 31 days of the date we accept your application, and we receive your application no later than 31 days after you ve signed and dated the form. If you re a Professional member, your Annual Taxable Income was more than $100,000 in the last financial year. To be entitled to an increase in cover you will need to have a minimum account balance of $250 within 31 days of the date we accept your application. Duty of disclosure and Non-disclosure It s important to answer all questions truthfully and correctly to the best of your knowledge when applying to increase your insurance cover. You need to read the Duty of disclosure on the Application to increase insurance cover, so that you re aware of what can happen in the event of Non-disclosure. The Insurer can refuse to pay a claim if you didn t tell them about any issues you currently have, or have had in the past, that are relevant to your application. How to apply for more Death and TPD cover Complete an Application to increase insurance cover at (or call us on for a copy) and make sure you: answer all insurance eligibility questions, give information about your current and past health if the Insurer asks for it, and submit your completed application so we receive it within 31 days of you signing and dating the form. 12 Insurance handbook for Personal Super

13 How to change your occupation category after you ve joined If you feel the occupation category you re currently covered under is no longer right for you, you can apply to change this by completing an Application to change occupation category. If you re eligible for a different occupation category, the cover you have now will be changed as set out below. Changing occupation categories from: Manual to Non-Manual Manual to Professional Non-Manual to Professional. For the above scenarios, the dollar value of your cover at the time of applying will be matched and rounded up (if necessary) to the next whole unit of the occupation category you re changing to. If a change in occupation category results in a higher level of cover than you had previously, you must be in Active Employment on the date that cover increases. If you re not, the extra cover you receive will be for New Events Cover for Death and TPD. Cover for all events will start from the date you re in Active Employment. Example changing from Manual to Non-Manual If you currently have 4 units of Manual cover and you re age 30 when you apply to change your category, you would get: Category Current cover under Manual New cover under Non-Manual Number of Death units 4 2 Number of TPD units 4 1 Death cover $208,000 $238,800 TPD cover $104,000 $119,400 Cost per week $14.32 $5.13 Insurance handbook for Personal Super 13

14 6 Changing your cover (continued) How to transfer cover from your previous super fund If you have Death only or Death and TPD cover with another super fund or life insurance policy, you may be able to transfer it to Cbus Personal Super. Are you eligible? To be eligible to transfer your existing cover: complete all sections of the Application to transfer existing insurance cover. We must receive your completed application within 31 days of you signing and dating the form, and attach a copy of your most recent statement from your former super fund or life insurance company to prove your cover and the amount you are insured for, and the cover you want to transfer must not have any loadings. If it does, you won t be eligible to transfer cover to Cbus Personal Super, and if the cover you want to transfer has any conditions, exclusions or restrictions, this may be transferred subject to acceptance by the Insurer, and if the cover is under your previous super fund, you must transfer your entire account balance from that fund to Cbus Personal Super, and you must confirm that your cover in your previous fund or life insurance policy will be cancelled when your cover starts with us. You won t be able to claim a benefit from us if you don t cancel your old cover, and you must not choose to continue or restart it under the former fund or any other insurance arrangement, or take up a continuation option with any super fund, and the maximum Death and/or TPD cover you can transfer is $1 million, and your total cover must not be more than the maximum cover levels under the Cbus Insurance Policy (see Limits on Death and TPD cover on page 12 for details), and you must confirm you re in Active Employment. If you re not in Active Employment, you can t transfer your cover to Cbus Personal Super, and you re not currently applying for, not entitled to, and haven t been paid a TPD or terminal illness benefit from any super fund or life insurance policy, and you must confirm you don t have, or never have had, any disease, Illness or Injury, or any other conditions (other than colds, flu or mild asthma) which: - have required more than a total of 2 weeks off work during the last 12 months, or - have happened more than twice in the last 2 years and/or are currently causing you symptoms or needing treatment. What happens next? If the Insurer accepts your application, your cover under your former super fund or life insurance policy will be matched by us, and rounded up to the next whole unit of cover. This is on top of any cover you may already have under Cbus Personal Super. From the date your Application to transfer existing insurance cover is accepted, your cover and all terms and conditions will be based on the Cbus Insurance Policy. This is regardless of what basis of cover applied under your previous super fund or insurance policy. Insurance cover transferred from your previous super fund will start the later of the following: the date the application to transfer is accepted by Cbus or the Insurer, or the date you cancel your existing cover with your previous super fund. Important Note: Cover transfers depend on the answers you give on your application form. So it s important you don t cancel your cover with your previous super fund or insurance policy until we confirm your Application to transfer existing cover has been accepted. How to apply to transfer your cover Complete an Application to transfer existing insurance cover at or call us on for a copy, making sure you: answer all insurance eligibility questions, and attach a copy of your most recent statement from your former super fund or life insurance company. We must receive your completed form within 31 days of you signing and dating it. Can I decrease or cancel my cover? You can choose to cancel all your cover, or to cancel or reduce your TPD and keep your Death cover. You can t have TPD cover without Death cover, and the amount of TPD cover can t exceed the amount of Death cover. You can only decrease or cancel your cover by completing an Application to decrease or cancel insurance cover available at or you can call us on for a copy. Until we receive your request to decrease or cancel your cover, any cover you already have will stay in place (as long as your cover doesn t stop for another reason ). You should know that if you later change your mind and want cover, you ll need to complete an Application to increase insurance cover and provide information about your health. Any increase in your cover will be subject to the Insurer accepting your application. 14 Insurance handbook for Personal Super

15 6 When does your cover stop? Once your insurance cover with us has started, you ll stay covered until the earlier of the following dates: the date we receive your satisfactorily completed Application to decrease or cancel insurance cover requesting cancellation of your cover, you re no longer a Cbus member, you reach age 65 for TPD cover and haven t applied to continue your TPD cover to age 70 and had your application accepted, you reach age 70 for Death cover and for TPD cover if your cover has been extended beyond age 65, you join the armed forces of any country other than the Australian Defence Force Reserves, the Insurer admits a TPD or terminal illness benefit to you, you die, or there isn t enough money in your super account to cover the cost of your insurance and account administration fee. Your cover will stop on the last day of the month for which your account could still meet the cost of your insurance. Insurance handbook for Personal Super 15

16 7 Restarting cover after it s been cancelled or expired If you cancelled your cover If you cancelled your insurance cover and want to restart it you ll need to complete an Application to increase insurance cover and provide information about your health. You can download a form at or call us on for a copy. If your cover expired because you ran out of money If your cover stops because your account balance has fallen to $0.00, the type of contribution that is next received on your behalf into Cbus will determine which Cbus super plan your membership continues under. What type and when was your next contribution received If your next contribution is an Employer Superannuation Guarantee Contribution If your next contribution is a personal contribution (e.g. contributions made by you instead of an employer), What level and type of cover will you receive you ll be transferred to Cbus Industry Super. Read What happens if you start to receive Employer Contributions in Cbus Personal Super on page 17 for more information. you ll stay in Cbus Personal Super and any cover you had prior to ceasing will not reinstate. You ll need to complete an Application to increase insurance cover and provide information about your health. you need to make sure there s at least $250 in your account within 31 days to cover the cost of insurance you apply for. If you need help to work out your minimum contribution amount, call us on Insurance handbook for Personal Super

17 8 What happens if you start to receive Employer Contributions in Cbus Personal Super? If you have insurance cover under Cbus Personal Super Unless you re a Spouse member, if Cbus starts to receive Employer Superannuation Guarantee Contributions for you for six or more months in a row, your cover and membership will be transferred to Cbus Industry Super (as long as you re eligible for cover read the Insurance handbook for Cbus Industry Super at or call for a copy). In most circumstances: your Cbus Industry Super cover will start immediately after the end of the period to which the six consecutive months of On-Time Employer Contributions relate you ll automatically receive the higher of : - your current level of Cbus Personal Super Death only or Death and TPD cover or - Default units of Cbus Industry Super cover which is: - 2 units of Death and TPD cover if you re under the age of 21, or - 4 units of Death and TPD cover if you re age 21 to 65, or - 4 units of Death only cover if you re age 65 or over. If you re not in Active Employment If transferring to Cbus Industry Super means you ll have a higher amount of cover, you ll only receive the higher cover if you re in Active Employment on the date your cover starts under Cbus Industry Super. If you re not in Active Employment, you ll only receive New Events Cover for Death and TPD for any increase until you re once again in Active Employment. Will your occupation category change? Your occupation category won t change if your membership is transferred. You can apply to change your category (including to the Electech category if you work in the communications and electrical trades industry). Call us on for assistance. If you re a Spouse member Your membership and cover will stay under Cbus Personal Super (you won t automatically be transferred to Cbus Industry Super). If you choose to transfer to Cbus Industry Super If you choose to transfer from Cbus Personal Super to Cbus Industry Super, you won t automatically receive the Industry Default cover. Your current level of Death only or Death and TPD cover will transfer with you. You ll keep your existing Manual, Non- Manual or Professional occupation category unless you apply to change it. Spouse members In most circumstances, if you re a Spouse member and you choose to transfer to Cbus Industry Super your current level of Death or Death and TPD cover will be rounded up to the nearest whole unit of cover you re eligible for under Cbus Industry Super. You ll need to complete an Application to change existing membership to Cbus Industry Super and an Application to change occupation category Industry Super. If transferring to Cbus Industry Super means you ll have a higher amount of cover, you ll only receive the higher cover if you re in Active Employment on the date your cover starts under Cbus Industry Super. If you re not in Active Employment, you will receive New Events Cover for Death and TPD for any increase in cover until you re once again in Active Employment. If you re a Spouse member engaged solely in Home Duties, and you aren t able to perform your Home Duties without restriction as a result of Illness or Injury, you will receive New Events Cover for Death and TPD for any increase in cover until you re performing Home Duties without restriction due to Illness or Injury. Insurance handbook for Personal Super 17

18 8 What happens if you start to receive Employer Contributions in Cbus Personal Super? (continued) If your cover has stopped under Cbus Personal Super If your insurance cover has stopped because your account balance has fallen to $0.00 and you start to receive Employer Superannuation Guarantee Contributions into your Cbus Personal Super account: as long as you re eligible for cover, you ll be transferred to Cbus Industry Super and your cover will start from the first day of the period for which the first On-Time Employer Contribution relates if an Employer Contribution is received that is not On-Time, you ll still be transferred to Cbus Industry Super but your cover won t start until your first On-Time Employer Contribution is received if you re eligible for cover under Cbus Industry Super, you ll automatically receive its Default cover: - 2 units of Manual Death and TPD if you re under age 21, or - 4 units of Manual Death and TPD if you re age 21 to 65, or - 4 units of Manual Death only cover if you re 65 or over. Are you eligible for cover under Industry Super? You ll be eligible if: you re in Active Employment on the date your cover starts under Cbus Industry Super. If you re not in Active Employment, you ll receive Death and New Events Cover for TPD until you re again in Active Employment; and you re not currently applying for, not entitled to, or haven t been paid a TPD or terminal illness benefit from any super fund or life insurance policy; and you ve not been diagnosed with an illness that s likely to lead to your death within 24 months from the date of your diagnosis; and you had not cancelled both your death and your total and permanent disablement cover. However, if you had cancelled your total and permanent disablement cover but had not cancelled your death cover, you are eligible for death cover under Industry Super, but not total and permanent disablement cover. Read the Insurance handbook for Cbus Industry Super at icover for details on: who is eligible for cover different occupation categories available when cover starts and stops, and making an insurance claim. 18 Insurance handbook for Personal Super

19 9 Making an insurance claim This section gives you information about: how and when you can claim for terminal illness or TPD, how your family or dependants can make a claim if you die, and who can receive the money (see Rules on who we can pay your super to if you die below). To be able to apply for an insurance payment (benefit), the Insurer and us must agree you re eligible and meet the required definitions and conditions in the Cbus Insurance Policy that applies to your claim. To claim a benefit, you or your dependants should contact us on to check eligibility and what conditions have to be met. We ll then send out forms to help make the claim. Death claims If you die while you re a member your dependants are entitled to claim: the total amount in your account, and any insurance you had at the date of your death. Rules on who we can pay your super to if you die Government rules set out who can and can t get your super and insurance payment if you die. If you haven t completed a binding nomination, we ll decide who to pay. We ll always take into account your nominated beneficiaries (see Choosing who your money goes to on page 20) as well as any other relevant information provided. People who can get your super and insurance are your dependants and people you have an interdependent relationship with (see the definitions of these terms on this page). Dependants Your dependants include: your spouse (including de facto and same-sex partners), children (including step or adopted children or children of samesex couples), and other people who are financially dependent on you (wholly or partially), or were in an interdependent relationship with you. Interdependent An interdependency relationship means two people (whether or not related by family) have: a close personal relationship, and live together, and one or each of them provides the other with financial support, and one or each of them provides the other with domestic support and personal care. If two people (whether or not related by family) have a close personal relationship, but don t meet the other requirements above because either, or both, of them suffer from a physical, intellectual or psychiatric disability, they can be considered to have an interdependency relationship. People who share accommodation for convenience, for example flatmates, do not qualify. Insurance handbook for Personal Super 19

20 9 Making an insurance claim (continued) Choosing who your money goes to When you join Cbus Personal Super (or at any time after), you can choose which of your dependants you want to get your super, and any insurance you have if you die. These people are called your beneficiaries. You can choose your beneficiaries in one of two ways: a non-binding nomination or a binding nomination. Option 1 - Non-binding nomination A non-binding nomination means: your benefit will be paid to either your dependant/s or your legal personal representative, and we ll make the final decision. The decision will be made under Cbus Trust Deed and relevant law but will take into account the people you have chosen. You can make a non-binding nomination at Step 2 on your Join Cbus Personal Super form. Option 2 Binding nomination A binding nomination means you can lock in who you want your super and insurance to go to if you die as long as: you choose an eligible person to receive your benefit (in accordance with Cbus Trust Deed and relevant legislation), and the eligible person is a dependant or legal personal representative, and you ve made your nomination in the last three years. Important note: To keep your binding death nomination valid, you must renew it every three years, and it must be signed and dated in the presence of two witnesses over the age of 18 who you haven t nominated to receive your benefit. You can make a binding nomination with the Binding death benefit nomination form at or call us on for a copy. Keeping your nominations up to date We ll send you details of your nominated beneficiaries twice a year on Your annual statement and your Record of contributions. You can also check your beneficiaries online at if you register to use SuperSite. Once you ve nominated a beneficiary, make sure you let us know if your circumstances change, for example if you marry, divorce or have children. Remember, a binding nomination is only valid for three years so you ll need to keep updating it, whether or not your circumstances change. Tax on death benefits Death benefit payments may be taxed when paid, depending on: your relationship to the person receiving the benefit, the parts (components) payable, and definitions that apply under super and tax laws. The definition of a dependant under super law is different than a dependant under tax law. A super death benefit has two components: taxable and tax free. Tax will apply only to the taxable component at the rates shown in the table below. Payee Superannuation dependant Tax dependant Taxable Tax rate * Surviving spouse or de-facto (of same YES YES NO NIL or opposite sex) Former spouse NO YES NO NIL Child (including step or adopted child) Minor YES YES NO NIL (under age 18) Child (over age 18) YES NO YES 15% # ** Financial dependant YES YES NO NIL Interdependent YES YES NO NIL Estate^ YES YES NO NIL Non-financial dependant NO NO YES 15% # ** * On taxable component of benefit ** Plus the Medicare levy # If the payee tax file number is not provided the benefit is taxed at 47% (plus the Medicare levy). ^ Your Estate may have to pay tax directly For more information about how your benefit is taxed go to or seek appropriate tax advice. 20 Insurance handbook for Personal Super

21 Total and Permanent Disablement (TPD) claims If you have insurance for TPD and you become totally and permanently disabled as defined in the Cbus Insurance Policy (see the definition on page 25), you can claim: the total amount in your super account, and any insurance benefit entitlement for TPD. Terminal Illness Benefit (TIB) claims If you re diagnosed with a Terminal Illness and have a life expectancy of less than 24 months from the date of your diagnosis, you can apply to be paid a TIB. To be eligible for a TIB, you need to give us supporting medical evidence from two Doctors approved by the Insurer (one must be a specialist medical practitioner practising in an area related to the Terminal Illness) confirming you re suffering from a condition which, in the opinion of the Doctor, is likely to lead to your death within 24 months from the date you re diagnosed with a Terminal Illness. To claim, contact us on to check if you re eligible and to get the forms you need to complete. When the Insurer and us agree you ve been diagnosed with a Terminal Illness, they will pay you a TIB if: the date you re diagnosed with a Terminal Illness is on or after the date your cover started or restarted. No TIB can be paid where the date you were diagnosed is before this date, and the TIB is the lesser of your Death benefit or $3 million. If your Death benefit is more than $3 million, we ll pay the extra number of units as a Death benefit balance (a residual benefit) calculated at your date of death (as long as you stay a member and keep paying the cost of any Death cover you had above $3 million), and if a TIB is approved by the Insurer, all cover will stop from that date (unless you re eligible to be paid a residual benefit as described above). To claim a TPD benefit, contact us on to check if you re eligible and get the forms you need to complete. This handbook doesn t explain all the conditions for making a TPD claim. It outlines the main requirements in the current Cbus Insurance Policy and Trust Deed. You have to meet these conditions to be eligible to apply for an insured TPD benefit. The Insurer will assess your claim under the definition of TPD that applies to you (see the TPD definition on page 25) and other conditions in the Cbus Insurance Policy when you claim. Note: If you live overseas and need to make a TPD claim, the Insurer may ask you to return to Australia for assessment, at your own expense. Permanent incapacity benefit If you don t have TPD cover, but you meet the definitions of permanent incapacity in the SIS Act and Regulations and of Invalidity in the Income Tax Assessment Act, the Government may allow us to pay your total account balance as a permanent incapacity benefit. From the date a TIB claim has been lodged, you can no longer increase your cover with us without the Insurer s prior approval. To be paid a TIB, you must also meet the benefit payment conditions under Cbus Trust Deed and the Superannuation Industry (Supervision) Act (SIS Act) 1993 and Regulations. Note: You can t claim both a TIB and a TPD benefit. Terminal medical condition If you re not insured but you meet the definition of terminal medical condition in the SIS Act and Regulations, Government rules may allow us to pay your total super account balance. Call us on for help in this situation. Insurance handbook for Personal Super 21