Telstra Super Personal Plus Insurance Guide Making the most

of your future.

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About this GuideThe cover described in this Guide is insured by TAL Life Limited (TAL) ABN 70 050 109 450 AFSL 237848.

The following insurance information is intended as a guide only. For all terms and conditions please contact us on 1300 033 166 to obtain a copy of the relevant Policy document.

GlossaryTo help keep this Guide as simple as possible for you, we have included explanations of some insurance terms in our glossary on pages 18 to 21. These words are in bold print when they appear throughout this Guide.

Contents

02

Flexible insurance options with Telstra Super• Life Events

cover

• Transfer your insurance to Telstra Super

08

03

Determining how much insurance you may need• Calculate the

level of cover you require

11

01

Telstra Super Personal Plus insurance cover• Types of

insurance cover available

• Automatic base Death and TPD cover

• Top-up Death and TPD cover (voluntary)

• Interim accident cover

• Income Protection cover (voluntary)

02

04

Changing your insurance cover

12

Insurance premiums

05

13

10 1106

When are insurance payments made?

Overseas or on leave?

Leaving Telstra Super

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15

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15

09

15

Need more information about insurance cover?

Definitions of medical conditions

Glossary

16 18

Telephone 1300 033 166 Facsimile 03 9653 6060 www.telstrasuper.com.au contact@telstrasuper.com.au

The information in this document is general information only and does not take into account your personal financial situation or needs. You should obtain financial advice tailored to your personal circumstances before making an investment decision.

© Telstra Super Pty Ltd.

Telstra Super Pty Ltd ABN 86 007 422 522, AFSL 236709 is the Trustee of the Telstra

Superannuation Scheme (Telstra Super) ABN 85 502 108 833.

Telstra Super Pty Ltd ABN 86 007 422 522, AFSL 236709, the trustee of the Telstra Superannuation Scheme (Telstra Super) ABN 85 502 108 833 is referred to throughout this PDS as “the Trustee”, “our”, “we” or “us”.

The information in this document forms part of the Telstra Super Personal Plus Product Disclosure Statement (PDS), dated 1 July 2016. You should read the information in this document (which forms part of the PDS) before making a decision. The complete terms & conditions of Telstra Super insurance are contained in the insurance policy (Policy).

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Telstra Super recognises the importance of adequate levels of insurance and we are committed to providing our members with comprehensive, affordable and convenient cover.

Types of insurance cover availableTelstra Super offers you the following types of insurance cover.

Death and Total & Permanent Disablement (TPD) cover

Death & TPD insurance cover means that you, your dependant/s and/or your legal personal representative could receive a lump sum insurance payment, paid in addition to the balance of your super account in the event of your death or total and permanent disablement.

Terminal illness benefitIn the unfortunate circumstance you are diagnosed with a terminal illness you can apply to be paid a terminal illness benefit. You don’t have to have stopped working to qualify for this benefit. This is the early payment of your death benefit. For information about 'Terminal illness benefit' and 'Early release of your super benefit' (as a result of being diagnosed with a terminal illness) refer to page 13.

Income Protection coverIncome Protection insurance provides you with a replacement income while you’re temporarily unable to continue performing the regular duties of your occupation. The replacement income is up to 75% of your income excluding super, with an additional 10% of your income excluding super to be paid to your super account. You can receive payments for either two years or five years, after your chosen waiting

period, provided you continue to meet the definition of total disablement or partial disablement in the Policy.

Automatic base Death & TPD cover You should refer to the ‘Insurance in your super’ section in the Telstra Super Personal Plus PDS for information regarding your automatic insurance as this depends on a number of different factors. The Telstra Super Personal Plus PDS is available at www.telstrasuper.com.au/pds

Automatic* base cover is determined by your age next birthday as at the last 1 July†. Table 1 on page 3 shows the amount of age-based Death & TPD cover eligible members will automatically receive for a low fee of $2.27 per week. Death cover is $1.18 per week on the same scale. Automatic cover means you don’t have to undergo any health checks to receive this cover.

01/ Telstra Super Personal Plus insurance cover

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Example

If you turned 25 years old on 1 December 2015 and today is 1 January 2016, your age next birthday as at the last 1 July is 25 years old, which means you will automatically* receive $155,194 worth of Death cover and $155,194 of TPD cover.

† All references to age are age next birthday as at the last 1 July.

* Members who are aged 76 or over are ineligible for automatic Death insurance cover. Members who are aged 66 or over, or who have previously received a TPD payment from Telstra Super are ineligible for automatic TPD insurance cover. New employees of Telstra-approved employers (Telstra Stores) are subject to the ‘At work’ test and other provisions contained in the Policy.

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Top-up Death & TPD coverYou can apply to increase your level of insurance to meet your personal needs. Annual top-up premium rates are based on each $1,000 sum insured and are shown in Table 2 on page 4. The following example

shows how to calculate premiums for top-up cover. Refer to the ‘Insurance premiums’ section on page 13 for further information.

Table 1: Age-based Death & TPD cover

Age next birthday*

Death cover TPD cover

16 155,194 155,19417 155,194 155,19418 155,194 155,19419 155,194 155,19420 155,194 155,19421 155,194 155,19422 155,194 155,19423 155,194 155,19424 155,194 155,19425 155,194 155,19426 134,681 134,68127 134,681 134,68128 134,681 134,68129 134,681 134,68130 134,681 134,68131 134,681 134,68132 134,681 134,68133 134,681 134,68134 134,681 134,68135 134,681 134,68136 115,560 115,56037 112,500 112,50038 109,260 109,26039 101,520 101,52040 96,415 96,41541 90,686 90,68642 84,484 84,48443 78,696 78,69644 73,898 73,89845 68,134 68,13446 61,511 61,51147 56,524 56,52448 52,109 52,10949 48,413 48,41350 44,718 44,71851 41,204 41,20452 37,868 37,86853 34,533 34,53354 31,376 31,37655 29,095 29,09556 25,335 25,33557 22,451 22,45158 19,980 19,98059 18,000 18,00060 16,585 16,58561 14,760 14,76062 13,964 13,96463 13,244 13,24464 12,794 12,79465 12,254 12,25466 11,353 067 10,519 068 9,734 069 9,016 070 8,349 071 7,733 072 7,158 073 6,624 074 6,133 075 5,676 0

* As at last 1 July.

Example How premiums are calculated

Naomi will be turning 35 next birthday. When she joined Telstra Super Personal Plus she received age-based base Death & TPD cover providing an insured benefit of $134,681. For added peace of mind, Naomi would like to apply for an extra $500,000 of top-up Death & TPD cover. To work out how much this would cost her, Naomi refers to Table 2 and uses the following information:

Age next birthday 35

Top-up Death & TPD amount $500,000

Base Death & TPD premium = $2.27 x 52 (weeks per year)

= $118.04

Top-up Death & TPD premium

= Elected amount of cover ÷1,000 x Top-up Death & TPD premium rate = $500,000 ÷ 1,000 x $0.56 = $280 for the year

Total premium payable

= Base Death & TPD premium + Top-up Death & TPD premium = $118.04 + $280 = $398.04 for the year.

Naomi receives a total insured benefit of $634,681 for Death & TPD at a premium of $398.04 per year.

Case study TPD cover helps a family recover

Less than a year after taking out her additional Death & TPD cover, Naomi was injured in an accident which resulted in her total and permanent disablement. Naomi’s husband, James was working full-time and daughter Emma was about to start school.

The TPD cover Naomi had through Telstra Super Personal Plus helped repay the family’s home loan and covered the cost of Emma’s education. In addition, it gave the family access to funds to pay their living expenses while James helped Naomi during her initial recovery and transition period, before he returned to full-time work.

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Handy hints• To check your current level

of insurance cover log in to SuperOnline or call us.

• To view, nominate or update your beneficiary details, log in to SuperOnline or complete a Nomination of Beneficiaries form available at www.telstrasuper.com.au/forms

• To estimate your insurance cover and how much it will cost, use our Insurance premium cover calculator available at www.telstrasuper.com.au/calculator

* As at last 1 July.

Table 2: Top-up death and TPD rates annual cost per $1,000 sum insured

Age Next Birthday*Death only Death & TPD

Male Female Male Female16 0.66 0.37 0.67 0.3817 0.78 0.37 0.79 0.3818 0.85 0.35 0.91 0.3719 0.91 0.35 0.99 0.3720 0.92 0.34 1.00 0.3521 0.92 0.34 1.02 0.3522 0.91 0.30 1.03 0.3223 0.86 0.28 0.99 0.3124 0.84 0.27 0.99 0.3025 0.78 0.26 0.95 0.2826 0.76 0.22 0.91 0.2827 0.72 0.21 0.87 0.2728 0.66 0.21 0.82 0.2829 0.63 0.20 0.79 0.3030 0.58 0.20 0.78 0.3231 0.57 0.21 0.76 0.3332 0.56 0.21 0.74 0.3733 0.56 0.22 0.74 0.4134 0.56 0.27 0.76 0.4835 0.56 0.28 0.78 0.5636 0.57 0.31 0.83 0.6037 0.58 0.35 0.87 0.7238 0.64 0.38 0.99 0.7939 0.69 0.44 1.06 0.9240 0.76 0.50 1.20 1.0441 0.79 0.56 1.35 1.1942 0.87 0.59 1.51 1.3143 0.97 0.69 1.70 1.4844 1.05 0.76 1.91 1.6845 1.16 0.83 2.16 1.8846 1.26 0.91 2.42 2.0747 1.41 1.00 2.74 2.3048 1.51 1.06 3.05 2.5549 1.68 1.16 3.40 2.8050 1.80 1.25 3.78 3.1451 1.96 1.35 4.22 3.4652 2.10 1.43 4.64 3.8553 2.28 1.55 5.12 4.2554 2.46 1.68 5.66 4.7355 2.65 1.77 6.18 5.2056 2.85 1.89 6.79 5.7957 3.06 1.98 7.41 6.4058 3.32 2.10 8.13 7.0959 3.57 2.24 8.86 7.8060 3.85 2.35 9.64 8.4961 4.13 2.49 10.50 9.1862 4.47 2.62 11.40 9.9163 4.83 2.76 12.37 10.6264 5.22 2.92 13.43 11.3565 5.66 3.10 14.54 12.0966 6.11 3.28 67 6.59 3.49 68 7.12 3.70 69 7.69 3.92 70 8.30 4.16 71 8.97 4.41 72 9.69 4.67 73 10.47 4.95 74 11.31 5.25 75 12.22 5.56

Occupational loadings for classOccupation Death only Death & TPD

White collar 1.00 1.00Light blue 1.25 1.40

Medium blue 1.50 2.00 Heavy blue 1.75 2.50

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Interim accident coverIf you apply for additional insurance cover, you will receive interim accident cover for the period of time whilst your application is being assessed (known as the interim accident cover period).

If you have an accident during the interim accident cover period which results in your death or TPD or total disablement, you will be covered for the applied amount (up to the maximum interim accident benefit of $1.5 million for Death or TPD and $15,000 per month for Income Protection) for the period starting from the date we receive your completed application and finishing when:

1. your application is withdrawn, accepted or rejected

2. the Policy is terminated

3. TAL cancels your interim accident cover

4. you reach cover cessation age, which is 65 for TPD, 75 for Death cover, and the date you turn 65 for Income Protection

5. for interim accident cover for TPD - the death of the applicant

6. the date any existing cover under the Policy ceases

7. 120 days has passed, whichever is earliest.

Income Protection coverIf you are under age 65 and currently employed working at least 15 hours per week, you can apply for Income Protection cover. Premiums for this cover will be deducted from your Telstra Super Personal Plus account at the end of each quarter, when you leave the fund or when you transfer your super to a different Telstra Super product.

Income Protection covers you in the event of total disablement or partial disablement meaning you are temporarily unable to continue performing the regular duties of your occupation. It provides you with an income of up to 75% of your income excluding super, with an additional 10% of your income excluding super to be paid to your super account. Payments are made for the duration of the applicable benefit period (either two or five years), distributed in arrears after your chosen waiting period (either 30, 60, 90 or 120 days), provided you continue to meet the definition of total disablement or partial disablement in the Policy.

You do not have to be permanently unable to work to get income protection payments and you may be eligible for payments while you are waiting for your TPD claim to be assessed.

Your level of Income Protection cover is dependent upon your income and is calculated as follows:

Income protection benefit

75% x income excluding super = Annual income protection benefit ÷ 12 = Monthly income protection benefit

Super contribution

10%

x income excluding super

= Annual super contribution

÷ 12

= Monthly super contribution

Benefits are subject to a maximum monthly benefit of $50,000 for a two year benefit period and a monthly benefit of $30,000 for a five year benefit period. Income protection payments will be reduced by the amount of any other payments you receive for the payment period (such as sick leave payments or workers’ compensation payments). Social security benefits and motor accident compensation are not offset against benefits.

Depending on your level of Income Protection cover requiring assessment, TAL has different medical requirements. The initial requirements are outlined in Table 5 on page 12 under ‘Changing your insurance cover’.

Your annual income protection premium is calculated as:

Annual income protection benefit ÷ 1,000 x Premium rates per $1,000 sum insured

= Annual income protection premium

To tailor your insurance to suit your needs you can apply for either a two or five year benefit period* and a waiting period of either 30, 60, 90 or 120 days. Refer to Table 3 on page 7 for premium rates applicable to the various benefit and waiting periods.

If you hold Income Protection cover with multiple insurance providers you also have the option to postpone the Telstra Super waiting period. This allows you to receive an income protection benefit from another insurance provider first, and defer Telstra Super benefits until these payments are complete.

You can apply to change your existing waiting period and/or benefit period at any time. See page 12 ‘Changing your insurance cover’.

Applying for Income Protection cover

When applying for Income Protection cover you will need to provide evidence of your current salary in the form of a Year to Date payslip and cannot be underwritten for an amount greater than your current salary.

Should you subsequently receive an increase in salary you will need to apply to be underwritten for this increase. To increase your Income Protection cover see page 12 ‘Changing your insurance cover’.

If you claim an income protection benefit you will also be required to provide evidence of your current salary at the time of claim. For this reason it is imperative that you review your insurance arrangements on a regular basis to ensure that you have sufficient cover.

You can find out more about the cost of insurance or changing your cover on our website or by calling us.

Existing members transferring from another Telstra Super productTelstra Super Corporate Plus, Telstra Super Division 5 and Sensis Super Plus Defined Benefit members with existing Income Protection cover will have that cover automatically† transferred to Telstra Super Personal Plus. For former Defined Benefit‡ members, your Income Protection cover will be 75% of your income excluding super, with an additional 10% of your income excluding super to be paid to your super account (this already applies to Telstra Super Corporate Plus members). For the cover to be retained you will need to provide a Superannuation Guarantee (SG) contribution from your new employer, along with details of your new salary and occupation within 120 days of you leaving your previous employer. Details of these requirements are outlined in the Telstra Super Personal Plus welcome letter.

Where cover is cancelled due to non-receipt of salary or occupation information or SG contribution within 120 days of leaving the former employer, any premiums paid for the 120 days will be refunded. Members would need to re-apply for cover after the 120 day period if they wish to obtain cover.

Eligible members transferring from Telstra Super Division 2 can apply for Income Protection cover, as outlined above.

* Members employed in a heavy blue occupation are unable to increase their benefit period to five years.

† Subject to the ‘At work’ requirements and other eligibility criteria and exclusions contained in the Policy.

‡ Former Defined Benefit members are subject to the ‘active employment’ test contained in the Policy.

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Example Calculating Income Protection premiums and benefit payableJack is a Telstra Super Personal Plus member. He is 26 years old next birthday, a white collar worker and his salary excluding super is $42,000. Jack has little savings since returning from an overseas trip. Aware that he would be in financial hardship should he be unable to earn his income, Jack decides to take out Income Protection insurance with Telstra Super Personal Plus with a benefit period of two years and 90 day waiting period.

Jack’s income protection benefit is calculated as:

75% x $42,000 = $31,500 annual income

protection benefit

$31,500 ÷ 12 = $2,625 (before tax) monthly income

protection benefit

Super contribution 10% x $42,000 = $4,200 annual super contribution

$4,200 ÷ 12 = $350 monthly super contribution

Jack’s annual income protection premiums are:

Annual income protection benefit ÷ 1,000 x premium rates

= ($31,500 + $4,200) ÷ 1,000 x $1.81

= $64.62*

Case study How Income Protection helped Jack get back on his feetJack loves the outdoors and regularly goes rock climbing. However, one weekend while climbing, Jack falls and seriously injures his back. After an initial hospital stay of two months, Jack’s doctor informs him he will need four months of in-hospital rehabilitation and a further nine months at home recuperating, before he can safely resume work.

Jack immediately submits an income protection claim. After the 90 day waiting period, Jack is advised of its acceptance and receives $2,625 per month (before tax) from his Income Protection insurance plus an additional $350 paid into his super account. This covers Jack’s living expenses, allowing him to focus on his recovery.

* Stamp duty is payable in addition to the income protection premiums above and varies depending on your state of residence.

Handy hintMany of the insurance forms referred to in this Guide are available on our website at www.telstrasuper.com.au/forms or by calling 1300 033 166

Alternatively, log in to SuperOnline to access a pre-populated form.

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Table 3: Annual Income Protection premium rates per $1,000 sum insured*Benefit period

2 Years 5 Years

Waiting period

30 days 60 days 90 days 120 days 30 days 60 days 90 days 120 days

ANB† Male Female Male Female Male Female Male Female Male Female Male Female Male Female Male Female16 4.86 6.46 3.09 3.85 2.21 2.55 1.88 2.22 5.62 8.18 3.60 4.91 2.59 3.29 2.22 2.89

17 4.92 6.64 3.13 3.96 2.24 2.63 1.91 2.28 5.69 8.42 3.64 5.06 2.63 3.38 2.25 2.97

18 5.15 6.83 3.28 4.07 2.34 2.70 2.00 2.34 5.97 8.65 3.82 5.19 2.74 3.48 2.36 3.05

19 5.24 6.92 3.34 4.11 2.39 2.73 2.03 2.37 6.08 8.77 3.88 5.27 2.79 3.52 2.40 3.09

20 5.25 7.04 3.34 4.19 2.39 2.77 2.03 2.41 6.08 8.93 3.88 5.35 2.79 3.58 2.40 3.14

21 5.33 7.14 3.39 4.24 2.42 2.81 2.06 2.43 6.18 9.05 3.95 5.42 2.84 3.62 2.43 3.17

22 4.96 7.34 3.14 4.35 2.24 2.88 1.91 2.50 5.79 9.38 3.68 5.61 2.65 3.75 2.27 3.29

23 4.74 7.41 3.00 4.41 2.14 2.91 1.82 2.52 5.58 9.55 3.55 5.72 2.54 3.82 2.19 3.35

24 4.53 7.42 2.86 4.41 2.03 2.91 1.74 2.53 5.38 9.63 3.41 5.77 2.44 3.85 2.10 3.39

25 4.29 7.50 2.71 4.45 1.92 2.94 1.63 2.56 5.14 9.83 3.27 5.89 2.32 3.94 2.00 3.48

26 4.12 7.42 2.59 4.46 1.81 2.98 1.55 2.61 4.98 9.83 3.14 5.96 2.22 4.03 1.92 3.56

27 3.93 8.12 2.46 4.83 1.74 3.19 1.49 2.79 4.78 10.84 3.03 6.51 2.15 4.35 1.85 3.86

28 3.91 8.66 2.46 5.10 1.74 3.34 1.49 2.92 4.82 11.68 3.05 6.95 2.17 4.61 1.87 4.08

29 3.94 9.19 2.47 5.37 1.74 3.49 1.50 3.06 4.89 12.52 3.09 7.40 2.19 4.86 1.91 4.32

30 3.97 9.66 2.48 5.62 1.74 3.62 1.50 3.18 4.97 13.30 3.13 7.82 2.22 5.11 1.93 4.54

31 4.17 10.05 2.60 5.83 1.81 3.74 1.56 3.29 5.29 13.97 3.32 8.19 2.33 5.32 2.03 4.74

32 4.28 10.33 2.66 5.99 1.84 3.83 1.59 3.38 5.50 14.51 3.42 8.49 2.40 5.52 2.09 4.92

33 4.51 10.79 2.77 6.26 1.92 4.01 1.66 3.54 5.84 15.30 3.62 8.96 2.52 5.82 2.21 5.21

34 4.84 11.10 2.96 6.46 2.03 4.16 1.77 3.68 6.32 15.88 3.90 9.34 2.70 6.09 2.37 5.46

35 5.02 11.63 3.07 6.80 2.09 4.41 1.82 3.91 6.64 16.84 4.08 9.94 2.81 6.53 2.47 5.87

36 5.40 12.20 3.29 7.18 2.24 4.69 1.96 4.18 7.21 17.91 4.43 10.65 3.04 7.04 2.68 6.34

37 5.75 12.82 3.50 7.60 2.39 5.01 2.09 4.47 7.76 19.09 4.75 11.43 3.27 7.63 2.89 6.89

38 6.10 13.51 3.74 8.07 2.55 5.37 2.24 4.79 8.34 20.40 5.13 12.30 3.53 8.29 3.13 7.51

39 6.55 14.32 4.03 8.62 2.77 5.79 2.45 5.18 9.08 21.92 5.61 13.33 3.88 9.07 3.45 8.23

40 7.01 15.37 4.35 9.33 3.03 6.32 2.68 5.67 9.84 23.86 6.13 14.62 4.29 10.05 3.83 9.14

41 7.51 16.60 4.70 10.15 3.31 6.96 2.93 6.25 10.66 26.13 6.71 16.15 4.75 11.21 4.25 10.22

42 8.01 17.95 5.08 11.09 3.62 7.67 3.22 6.91 11.54 28.63 7.35 17.87 5.27 12.53 4.72 11.44

43 8.63 19.39 5.55 12.08 4.01 8.46 3.57 7.62 12.58 31.31 8.13 19.73 5.91 13.99 5.32 12.79

44 9.21 21.13 6.01 13.30 4.41 9.41 3.94 8.50 13.62 34.53 8.93 21.98 6.59 15.74 5.94 14.42

45 10.03 22.97 6.64 14.60 4.94 10.45 4.42 9.46 15.02 37.98 10.01 24.40 7.51 17.67 6.77 16.23

46 10.78 24.97 7.24 16.04 5.47 11.59 4.90 10.52 16.36 41.71 11.08 27.06 8.44 19.79 7.62 18.21

47 11.66 27.07 7.97 17.55 6.11 12.82 5.49 11.67 17.91 45.72 12.33 29.94 9.54 22.11 8.65 20.38

48 12.80 29.47 8.89 19.28 6.93 14.22 6.23 12.97 19.89 50.27 13.92 33.20 10.94 24.73 9.93 22.84

49 13.93 32.13 9.84 21.22 7.79 15.78 7.01 14.42 21.88 55.36 15.59 36.87 12.43 27.69 11.31 25.61

50 15.18 34.89 10.89 23.22 8.74 17.41 7.89 15.94 24.08 60.68 17.43 40.71 14.09 30.80 12.84 28.56

51 16.63 37.95 12.11 25.45 9.84 19.22 8.91 17.64 26.62 66.59 19.56 44.99 16.01 34.27 14.63 31.82

52 18.30 41.16 13.50 27.79 11.09 21.13 10.06 19.44 29.55 72.81 22.00 49.51 18.20 37.95 16.66 35.31

53 20.22 44.70 15.09 30.38 12.51 23.24 11.38 21.43 32.96 79.66 24.83 54.49 20.73 41.99 19.02 39.13

54 22.40 48.35 16.88 33.07 14.10 25.44 12.84 23.50 36.85 86.78 28.03 59.67 23.58 46.21 21.67 43.13

55 25.00 52.27 18.99 35.93 15.95 27.78 14.56 25.72 41.46 94.40 31.80 65.19 26.91 50.71 24.78 47.40

56 27.90 56.45 21.33 38.98 18.02 30.27 16.48 28.09 46.62 102.53 35.99 71.08 30.62 55.47 28.23 51.93

57 31.11 60.90 23.93 42.22 20.29 32.90 18.59 30.58 52.32 111.20 40.58 77.31 34.65 60.50 32.01 56.73

58 34.82 65.60 26.89 45.61 22.88 35.64 21.03 33.19 58.82 120.36 45.80 83.86 39.20 65.76 36.28 61.74

59 38.91 70.48 30.16 49.10 25.72 38.45 23.70 35.86 65.93 129.88 51.44 90.60 44.10 71.13 40.90 66.87

60 43.63 75.75 33.88 52.84 28.95 41.43 26.75 38.71 74.05 140.07 57.80 97.75 49.60 76.81 46.07 72.29

61 49.02 81.22 38.11 56.73 32.59 44.52 30.18 41.67 82.41 148.85 63.52 102.57 53.99 79.71 49.46 73.75

62 54.99 86.81 42.74 60.67 36.53 47.65 33.93 44.68 80.68 136.03 61.79 93.39 52.28 72.32 47.69 66.51

63 61.89 92.71 48.03 64.83 41.00 50.95 38.19 47.87 75.81 118.06 57.55 80.59 48.35 62.04 43.79 56.50

64 57.10 83.13 42.82 56.18 35.64 42.81 31.80 38.18 57.10 83.13 42.82 56.18 35.64 42.81 31.80 38.18

65 21.56 31.51 15.80 20.73 12.90 15.38 11.02 12.87 21.56 31.51 15.80 20.73 12.90 15.38 11.02 12.87

* Stamp duty is payable in addition to the above rates.

† Age next birthday as at last 1 July.

Occupational loadingsOccupation Income Protection

White collar 1.00Light blue 1.40

Medium blue 2.50 Heavy blue 2.50

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Life Events cover - keeping pace with life’s significant changes When a significant event occurs in your life, such as getting married, buying a home, milestone birthdays or welcoming a new child to the family, it’s an opportune time to consider if your insurance cover is adequate for your increased financial obligations.

With Telstra Super’s Life Events cover you can apply to increase your Death only or Death & TPD cover upon the occurrence of a specified Life Event, without providing any medical evidence.

To take advantage of Life Events cover, apply within 90 days* (excluding the day on which the Life Event occurred) of any of the following specified events:

• Birth of a child/ren

• Adoption of a child/ren

• Marriage

• Commencement of a ‘recognised relationship’̂

• Divorce

• Cessation of a ‘recognised relationship’̂

• Effecting a new mortgage for the purchase or construction of a primary residence or investment property in Australia (either alone or jointly with another person)

• Financing renovation/improvement to a primary residence or investment property in Australia (minimum cost $30,000)

• Death of a spouse

• Child starting primary or secondary school

• Buying a business with a business loan greater than $100,000

• 30th, 35th, 40th and 45th birthdays.

You also have a second opportunity to apply for Life Events cover between 1 July and 30 September for a Life Event that occurred in the previous financial year.

Insurance cover provided through Life Events will be subject to the annual top-up premium rates set out in Table 2 on page 4. The following table shows the amount by which you can apply to increase your existing Death only or Death & TPD cover. The total amount of cover you have after you have been granted Life Events cover must be within the maximum cover limits (unlimited for Death cover and $5 million for TPD cover).

Existing sum insured (including base & top-up)

Maximum additional insurance (top-up)

Up to $100,000 $25,000

$100,001 up to $200,000 $75,000

$200,001 up to $300,000 $100,000

$300,001 up to $400,000 $125,000

$400,001 up to $500,000 $150,000

Over $500,000 $250,000

* To find out when the 90 days commences for each Life Event, please call us on 1300 033 166.

^ A relationship is ‘recognised’ if it has been registered and meets the following conditions:

• a significant relationship for which deeds of relationship have been registered under the Relationships Act 2003 (Tas)

• a registered domestic relationship within the meaning of the Relationships Act 2008 (Vic)

• a civil partnership under the Civil Partnerships Act 2008 (ACT)

• a registered relationship within the meaning of the Relationships Register Act 2010 (NSW)

• registration under any other similar State based registration scheme.

02/ Flexible insurance options with Telstra Super

Page 9

Applying for Life Events coverTo apply for additional Death only or Death & TPD insurance cover simply complete and submit a Life Event Insurance Application form available at www.telstrasuper.com.au/forms along with the required certified supporting documentation. You must be under the age of 65 to apply.

You can obtain Life Events cover up to three times during your membership.

Upon completion of assessment you will be advised in writing of the acceptance or decline of the application. A Life Event application will generally be accepted where the member satisfies the eligibility criteria and the member is able to provide satisfactory documentation supporting the occurrence of the Life Event.

The Life Events cover will commence on the date the cover is accepted in writing. It may be subject to the same exclusions and other special conditions which apply to your existing cover.

After the acceptance of a Life Event application, you cannot submit another Life Event application (whether for the same type of Life Event or not) until 12 months have elapsed from the date of commencement of the additional cover.

No claim will be payable on the additional cover if the death or disablement is due to intentional self-inflicted injury in the first 13 months.

For further information on increasing your insurance cover due to a specified Life Event, please call us.

Case study Extra security for an expanding familyDavid is a Telstra Super Personal Plus member. He is 30 years old. As part of his Telstra Super membership he currently has $134,681 of age-based Death & TPD cover and $250,000 of top-up cover. David and his partner Julia have two young children and are delighted to find out they are expecting a third child.

David and Julia review their insurance cover and decide that, in light of their expanding family, they would like to increase David’s insurance cover. Within 90 days of new baby, Chloe, being born David submits a Life Events application for $125,000. No medical reports are required enabling the busy new father to submit the application quickly and easily. David’s application is successful, giving the family total cover of $509,681.

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Case study Saving on insurance with Telstra SuperSarah is a current Telstra Super Personal Plus member. She is 40 years old next birthday, a white collar worker and has $96,415 of age-based Death & TPD cover as part of her membership.

Sarah also has $250,000 Death insurance with another insurer which costs her $20 per month. Sarah decides to see how much her additional Death insurance would cost if she transferred it to Telstra Super. She refers to Table 2 on page 4 and uses the following calculation to determine her premiums:

Sarah’s age next birthday = 40

Death insurance amount to be transferred = $250,000

Annual top-up death premium per $1,000 insured = $0.50

Top-up death premium payable = $250,000/1000 x $0.50

= $125/year or $10.42 per month.

Sarah applies to transfer her Death cover to Telstra Super and her application is accepted. By transferring her insurance to Telstra Super, Sarah saves $9.58 per month or $114.96 per year.

In addition, Sarah enjoys simplified financial arrangements, with all insurance premiums conveniently deducted from her Telstra Super account at the end of each quarter.

Transfer your insurance to Telstra SuperIf you currently have Death only or Death & TPD insurance with another super fund or life insurance company, you can apply to transfer that cover to us. By consolidating your insurance with Telstra Super you can take advantage of our bulk insurance rates, potentially saving on premiums, while simplifying your insurance arrangements.

To take advantage of this handy feature, simply complete the Transfer External Insurance Application form available at www.telstrasuper.com.au/forms or by calling us.

If your application is successful, you will be provided with the equivalent amount of top-up cover in Telstra Super as provided by your previous super fund or insurer (the annual top-up rates in Table 2 on page 4 apply).

Any transferred Death only and/or Death & TPD cover will apply in addition to any existing cover you currently hold with Telstra Super. A cap of $2,000,000 on all transfers applies.

It is important that you do not cancel your existing cover with your current super fund or insurer until you have received written confirmation that your insurance transfer application has been accepted.

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Determining how much cover you may need is as important as having the insurance cover itself. 95% of families do not have adequate levels of insurance1. So, how do you determine an adequate level of insurance for your needs?

Essentially your level of insurance cover should be able to replace your projected income over your working life. This lump sum amount would then need to be invested to provide the required cashflow to maintain you and/or your family’s standard of living or to ensure your estate is not left in debt.

The table to the right provided by TAL illustrates your total potential lifetime earnings in today’s dollars*. While your level of insurance cover may not need to match this amount, you need to carefully consider how you would fund this loss of income.

03/ Determining how much insurance you may need

Calculate the level of cover you require

Step 1Check your current level of cover by logging into SuperOnline or by calling us.

Step 2To help determine the level of insurance cover you may require, refer to the following table and factor in the potential costs:

• ongoing costs to maintain your family’s lifestyle and home

• children’s education (primary, secondary and tertiary)

• existing debts (mortgage, credit

cards, personal loans or car loan)

• other expenses such as hospital/medical costs, rehabilitation, home repairs or upgrades as a result of permanent disablement

• funeral expenses.

The above costs can be offset by your existing assets (including your super balance, savings and any investments) to determine the insurance cover you may cover.

If you already have insurance cover and there is a difference between your current level of cover and your required level of cover, consider applying to increase your insurance.

Current age

Current annual income$35,000 $65,000 $85,000 $100,000 $125,000 $150,000

20-24 1,034,000 1,920,000 2,511,000 2,954,000 3,692,000 4,431,000

25-29 953,000 1,769,000 2,314,000 2,722,000 3,402,000 4,083,000

30-34 863,000 1,603,000 2,097,000 2,467,000 3,084,000 3,700,000

35-39 765,000 1,421,000 1,858,000 2,186,000 2,732,000 3,279,000

40-44 657,000 1,220,000 1,595,000 1,877,000 2,346,000 2,815,000

45-49 538,000 999,000 1,306,000 1,536,000 1,920,000 2,304,000

50-54 406,000 755,000 987,000 1,161,000 1,452,000 1,742,000

55-59 262,000 487,000 636,000 749,000 936,000 1,123,000

60-64 103,000 191,000 250,000 294,000 368,000 441,000

Table provided by TAL.

* Assumes interest at 5% and salary inflation at 3%.

1. Lifewise/NATSEM Underinsurance Report 2010

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TAL may accept cover, place exclusions on cover, charge higher premiums or decline your application. If within 14 days of the commencement of cover you advise in writing that you wish to cancel the cover, you can request a refund of any premium you may have paid. Evidence of health and lifestyle and claim information is treated in the strictest confidence at Telstra Super and is not made available to your employer or any other party without your authority, unless obliged by law.

Cancel or reduce coverYou can cancel or reduce your insurance cover at any time by completing the Cancel or Reduce Insurance form available at www.telstrasuper.com.au/forms or by calling us.

If you wish to re-apply for insurance cover in the future, you’ll need to supply detailed health and other personal information as part of your application, which will be assessed by our insurer.

Any cancellations of cover received within 30 days of you joining Telstra Super Personal Plus will not incur premiums.

Table 4: Initial requirements Death & TPD cover applications

Member’s total sum insured Death & TPD

Initial requirements

Under age 55

Up to $1,500,000 Personal Statement

$1,500,001 up to $2,000,000 Personal Statement and blood tests

$2,000,001 up to $3,000,000 Personal Statement, blood tests and abbreviated medical examination by paramedical or own doctor

Over $3,000,000 Will be referred to underwriter

Age 55 and over

Up to $1,000,000 Personal Statement

$1,000,001 up to $2,000,000 Personal Statement and blood tests

$2,000,001 up to $3,000,000 Personal Statement, blood tests and abbreviated medical examination by paramedical or own doctor

Over $3,000,000 Will be referred to underwriter

Table 5: Initial requirements for Income Protection cover applications

Monthly benefit Initial requirements

Age 16 to 65

Up to $12,000 Personal Statement

$12,001 up to $20,000 Personal Statement and blood tests

$20,001 up to $25,000 Personal Statement, blood tests and full medical examination by paramedical or own doctor

Over $25,000 Will be referred to underwriter

Apply for or increase coverComplete the Insurance Telephone Application Request form to apply for or increase your cover over the phone with our insurer TAL.

You can choose to:

• apply for base Death only or Death & TPD cover

• apply for or increase top-up Death only or Death & TPD cover

• apply for Income Protection cover

• increase Income Protection cover

• change your existing Income Protection waiting period and/or benefit period.

The Insurance Telephone Application Request form is available at www.telstrasuper.com.au/forms or by calling us. Alternatively, if you prefer to complete an Insurance Application Full Personal Statement form, please call us to have a copy sent to you.

Depending on the level of cover you apply for, TAL may have different medical requirements to assess your application. Tables 4 and 5 outline the initial requirements.

You'll be advised when any medical tests or examinations are required. Once all the information is supplied to TAL and they've assessed your application, we'll advise you of the outcome.

04/ Changing your insurance cover

Handy hintIt is important to note that if you cancel any insurance, including any automatic cover, and wish to reapply at a later date, evidence of your occupation, health and lifestyle will need to be provided to TAL for assessment. TAL may place an exclusion or premium loading on cover or may decline cover as a result of their assessment.

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Insurance premiums will be deducted from your Telstra Super Personal Plus account at the end of each quarter, or if you leave the fund or transfer your super to another Telstra Super product. Premiums for Income Protection cover obtained through a super arrangement are generally not tax deductible, however premiums are paid directly from your super account monies, which are concessionally taxed at 15% for annual incomes under $300,000 and 30% for annual incomes above $300,000.

Your premiums will vary annually with changes to your age and income. See Table 2 on page 4 for the annual applicable top-up premium rates for Death only and Death & TPD

insurance, based on every $1,000 sum insured. See Table 3 on page 7 for the applicable annual premium rates for Income Protection cover, based on every $1,000 sum insured.

Top-up and income protection premium rates are applicable to white collar employees and additional occupational and health loadings may apply depending on your occupation and health status – see Table 6.

Members given a premium loading or exclusion at the conclusion of the assessment process will be given an opportunity to cancel their application, should they wish not to proceed.

05/ Insurance premiums

06/ When are insurance payments made?

Table 6: Occupational loadings

Occupation Death only cover Death & TPD Income Protection

White collar 1.00 1.00 1.00

Light blue 1.25 1.40 1.40

Medium blue 1.50 2.00 2.50

Heavy blue 1.75 2.50 2.50

Death & TPD benefit Your base level of cover and any top-up insurance means you, your dependants and/or legal personal representative(s) (as applicable) could receive a lump sum insurance payment paid in addition to the balance of your super account, in the event of your death or total and permanent disablement.

An anti-detriment payment may also be payable. For more information see our Additional Information About Your Super Guide available at www.telstrasuper.com.au/pds

Terminal illness benefitYou will qualify for a Terminal illness benefit if you suffer from a sickness or injury which:

• two medical practitioners (one of whom specialises in your illness) believe will lead to your death within 12 months of the date of written certification, despite reasonable medical treatment, and

• TAL is satisfied, on medical or other evidence, will lead to your death within 12 months of the date of the certifications, despite reasonable medical treatment.

The amount of the benefit that is paid is the insured Death cover amount (up to $5 million) and your account balance.

Early release of super benefitsYou can apply to Telstra Super for a full or partial early release of your Telstra Super account balance if you are expected to live less than 24 months. However, you should consider leaving enough funds in your super account to cover your insurance premiums otherwise your insurance cover will cease. This will mean that you will not be eligible for a terminal illness benefit, which is based on a 12 month prognosis.

Page 14

TPD benefitTo obtain an insurance payout for TPD you must have TPD cover and:

• satisfy the requirements of the Telstra Super Trust Deed and TAL Policy document; and either

• have ceased work with your employer (and been off work for at least three months*) if the Unable to work TPD definition applies; or

• meet one of 19 specified medical conditions (see pages 16 and 17) in which case there is no waiting period to receive the benefit (referred to as the Day 1 TPD definition); or

• have been unable to perform any Domestic Duties for three consecutive months since the date of disablement if the Domestic Duties TPD definition applies; or

• be unable to perform certain Activities of Daily Working without the physical assistance of another person if the Activities of Daily Working TPD definition applies.

The applicable TPD definition you must satisfy will depend upon whether at the date of disablement you were working, not working or performing Domestic Duties.

Generally, the Unable to Work TPD definition or the Day 1 TPD definition applies if you were working for a minimum of 15 hours per week on average for the six months prior to the date of disablement (or such shorter period where applicable).

The Domestic Duties TPD definition applies if you were not working and you were engaged in Domestic Duties for a minimum of 15 hours per week on average for the six months prior to the date of disablement (or such shorter period where applicable).

The Activities of Daily Working TPD definition applies if you were not working and engaged in Domestic Duties or work for less than 15 hours per week on average for the six months prior to the date of disablement (or such shorter period where applicable).

Income Protection

When are payments made?To obtain monthly payments for income protection, you must have Income Protection cover and:

• have been working a minimum of 15 hours or more per week averaged over the six consecutive months prior to your date of disablement or if you have been working for less than six months, the period since your cover commenced; and

• have been unable to work for your employer (and off work) for the applicable waiting period; and

• satisfy the TAL Policy definition of total disablement.

You may be eligible to receive partial disablement payments if:

• you are totally disabled for no less than seven of the first 12 consecutive days of the applicable waiting period; and

• you are either partially or totally disabled for the rest of the applicable waiting period; and

• you decide to return to work on a reduced capacity resulting in a reduction in your income; and

• you are under the ongoing care of a registered medical practitioner.

If eligible, income protection payments are paid monthly in arrears from the end of the applicable waiting period after the day you last worked for your employer. Up to 75% of your salary (excluding super) is paid directly to you, and 10% is paid to your Telstra Super Personal Plus account.

Income protection payments will be reduced by the amount of any other payments you receive during a payment period (such as sick leave payments or workers’ compensation payments). Social security benefits and motor accident compensation are not offset against insurance benefits.

Where a member is receiving income protection payments over a five year benefit period without a break†, payments are indexed annually by 5% or the CPI increase (for the 12 months ending 30 September in each year), whichever is lesser.

Under current legislation your income protection payments are treated as income and will be taxable. Premiums are waived by TAL while you are receiving income protection payments.

When do payments stop?Your income protection payments cease upon occurrence of one of the following conditions (whichever occurs first):

• you return to work‡

• you have received payments for the total benefit period

• you cease to satisfy the definition of total or partial disablement

• you reach age 65, or

• you die.

Income protection payments are subject to the continued approval of your eligibility by TAL and the Trustee.

‡ Partial disablement benefits may be payable depending upon your income.

* TAL may exercise its discretion and waive any requirement that the member be absent from all active work for at least three consecutive months.

† Any period in which a benefit was payable but is calculated to be zero does not amount to an interruption to an entitlement to a disability benefit.

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07/ Overseas or on leave?Subject to satisfying the relevant Policy conditions, worldwide Death & TPD cover is provided 24 hours a day, 7 days a week for insured members who are overseas, as well as members who are on leave. Income Protection cover continues for two years for members who are on unpaid leave.

08/ Leaving Telstra SuperIf you decide to withdraw your benefit from Telstra Super Personal Plus and leave the fund any Death & TPD insurance cover you have will continue for a period of 60 days*. If you leave Telstra Super any outstanding premiums will be deducted from your account at that time.

09/ Need more information about insurance cover?

Call us on 1300 033 166 from 8.00am to 5.30pm (Melbourne time), Monday to Friday.

Visit www.telstrasuper.com.au Find out everything about your current insurance arrangements on our website.

* The trustee will presently meet the cost of this extended insurance cover but reserves the right to pass this cost on to members in the future. Members will be advised of any change. Extended cover excludes income protection benefits once you leave your employer.

Your insurance needs are covered with Telstra Super

Comprehensive We offer Death, TPD and Income Protection insurance cover. You also have the option to apply to transfer any external insurance you may have, or to apply for extra cover when significant changes occur in your life. Our insurance cover is provided 24 hours a day, 365 days a year whether at work or play, offering genuine peace of mind.

AffordableWe’ve negotiated bulk insurance rates to cover 100,000 members, potentially saving you hundreds of dollars per year in premium payments compared to insuring yourself individually.

ConvenientHaving your insurance and super with the one provider simplifies your financial arrangements, with premiums conveniently deducted from your account at the end of each quarter.

Page 16Page 16

The following words or expressions used in the Day 1 TPD definition have the meanings set out below.

blindnessThe permanent loss of sight in both eyes, whether aided or unaided, due to sickness or accident to the extent that visual acuity is 6/60 or less in both eyes or to the extent that the visual field is reduced to 20 degrees or less of arc, as certified by an ophthalmologist.

cardiomyopathyCondition of impaired ventricular function of variable aetiology (often not determined) resulting in significant physical impairment, i.e. Class 3 on the New York Heart Association classification of cardiac impairment.

chronic lung diseasePermanent end stage respiratory failure with FEV1 test results of consistently less than one litre, requiring continuous permanent oxygen therapy.

dementia and alzheimer’s diseaseClinical diagnosis of dementia (including Alzheimer’s disease) as confirmed by a consultant neurologist, psycho-geriatrician, psychiatrist or geriatrician. The diagnosis must confirm permanent irreversible failure of brain function resulting in significant cognitive impairment for which no other recognisable cause has been identified. Significant cognitive impairment means a deterioration in the person’s Mini-Mental State Examination scores to 24 or less and deterioration would continue but for any effective treatment. Dementia related to alcohol, drug abuse or AIDS is excluded.

diplegiaThe total loss of function of both sides of the body due to sickness or accident where such loss of function is permanent.

hemiplegiaThe total loss of function of one side of the body due to sickness or accident, where such loss of function is permanent.

loss of hearingComplete and irrecoverable loss of hearing, both natural and assisted, from both ears as a result of sickness or accident, as certified by a specialist we consider appropriate.

loss of speechThe total and irrecoverable loss of the ability to produce intelligible speech as a result of permanent damage to the larynx or its nerve supply or the speech centres of the brain. The loss must be certified by an appropriate medical specialist.

major head traumaInjury to the head resulting in neurological deficit causing either:

• a permanent loss of at least 25% whole person function (as defined in the American Medical Association publication “Guides to the Evaluation of Permanent Impairment” 4th Edition or an equivalent guide to the evaluation of impairment approved by us); or

• the permanent and irreversible inability to perform without the assistance of another person any one of the following activities of daily living:

• dressing – the ability to put on and take off clothing

• toileting – the ability to use the toilet, including getting on and off

• mobility – the ability to get in and out of bed and a chair

• feeding – the ability to get food from a plate into the mouth

• continence – the ability to control bowel and bladder function

as certified by a consultant neurologist.

motor neurone diseaseMotor neurone disease diagnosed by a consultant neurologist.

multiple sclerosisThe unequivocal diagnosis of multiple sclerosis as confirmed by a consultant neurologist and characterised by demyelination in the brain and/or spinal cord evidenced by Magnetic Resonance Imaging or other investigations acceptable to us. There must have been more than one episode of well-defined neurological deficit with persisting neurological abnormalities.

10/ Definitions of medical conditions

Page 17

muscular dystrophyThe unequivocal diagnosis of muscular dystrophy by a consultant neurologist.

paraplegiaThe permanent loss of use of both legs or both arms, resulting from spinal cord sickness or accident.

Parkinson’s diseaseThe unequivocal diagnosis of Parkinson’s disease by a consultant neurologist where the consultant neurologist confirms that the condition:

• is the established cause of two or more of the following:

• muscular rigidity

• resting tremor

• bradykinesia; and

• has caused significant progressive physical impairment, likely to continue progressing but for any treatment benefit.

The person must be following the advice and treatment of a specialist neurologist.

primary pulmonary hypertensionPrimary Pulmonary Hypertension associated with right ventricular enlargement established by cardiac catheterisation resulting in significant permanent physical impairment to the degree of at least Class 3 of the New York Heart Association classification of cardiac impairment.

quadriplegiaThe permanent loss of use of both arms and both legs resulting from spinal cord sickness or accident.

severe burnsTissue injury caused by thermal, electrical or chemical agents causing third degree burns to 20% or more of the body surface area as measured by the 'rule of 9' of the Lund and Browder Body Surface chart.

severe rheumatoid arthritisThe unequivocal diagnosis of severe rheumatoid arthritis by a Rheumatologist. The diagnosis must be supported by, and evidence, all of the following criteria:

• at least a six week history of severe rheumatoid arthritis which involves three or more of the following joint areas:

• proximal interphalangeal joints in the hands

• metacarpophalangeal joints in the hands

• metatarsophalangeal joints in the foot, wrist, elbow, knee or ankle

• simultaneous bilateral and symmetrical joint soft tissue swelling or fluid (not bony overgrowth alone)

• typical rheumatoid joint deformity and at least two of the following criteria:

• morning stiffness

• rheumatoid nodules

• erosions seen on X-ray imaging

• the presence of either a positive rheumatoid factor or the serological markers consistent with the diagnosis of severe rheumatoid arthritis.

Degenerative osteoarthritis and all other arthritidies are excluded.

tetraplegiaThe total and permanent loss of use of both arms and both legs, together with loss of head movement, due to brain sickness or accident or spinal cord sickness or accident.

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Accident

The occasioning of any injury caused by some violent, external and visible means and which is capable of direct proof.

Active EmploymentActive employment means either:

a) If you work a minimum of 15 hours per week or perform Domestic Duties for a minimum of 15 hours per week you must be:

i) performing all duties of your gainful work or Domestic Duties; and

ii) in TAL's opinion, be capable of performing all of the duties of your normal work or Domestic Duties on a full time basis (this being at least 30 hours per week) even if you are not currently doing so.

b) If you work less than 15 hours per week, perform Domestic Duties for less than 15 hours per week or are not working:

i) you must not be absent from work or prevented from engaging in work or Domestic Duties due to illness or injury; and

ii) in TAL’s opinion, you must be capable of performing the duties of your gainful work or Domestic Duties on a full time basis (30 hours per week) even if you are not currently in work or performing Domestic Duties.

Activities of Daily Working TPD definitiona) you are, as a result of accident or

sickness which occurred after cover has commenced, permanently unable to perform at least two of the five everyday working activities without the physical assistance of another person, despite the use of appropriate assistive aids and that permanent inability has lasted for a continuous period of six months or more following the date of disablement; and

b) you are unlikely ever to engage in any gainful work for which you are reasonably qualified by education, training or experience;

where everyday working activities means Mobility, Communicating, Vision, Lifting and Manual Dexterity and:

• unable to perform Mobility means:

i) you cannot walk more than 200m on a level surface without stopping due to breathlessness or severe discomfort; and/or

ii) you cannot bend, kneel or squat to pick something up from the floor and straighten up again after bending, kneeling or squatting; nor can you get in and out of a standard sedan car.

• unable to perform Communicating means:

i) you cannot speak in your first language so that you are understood in a quiet room; nor can you hear (with or without a hearing aid or other aid) an instruction given in a normal voice in your first language in a quiet room; and/or

ii) you cannot understand a simple message in your first language, and relay that message to another person.

• unable to perform Vision means you cannot, with or without glasses or contact lenses read ordinary newsprint, nor can you pass the standard eyesight test for a car license.

• unable to perform Lifting means you cannot lift, carry or move objects weighing up to 5kg using either or both hands.

• unable to perform Manual Dexterity means you cannot use either or both hands or fingers to manipulate small objects with precision (such as picking up a coin or fastening shoelaces or buttons, using cutlery, or using a pen or keyboard to write a short note).

Anti-detriment paymentsWe may pay an additional amount, known as an anti-detriment payment, in addition to a lump sum death benefit, if the death benefit is paid to eligible beneficiaries.

The anti-detriment payment is a reimbursement of the contributions tax paid on the deceased member’s taxable contributions. An anti-detriment payment will only be made where a lump sum death benefit is paid to the deceased member’s spouse, former spouse or child of any age.

An anti-detriment payment may also be made if a lump sum death benefit is paid to the deceased member’s estate and is distributed to the deceased member’s spouse, former spouse or child of any age.

Consumer Price Index (CPI)The latest Consumer Price Index (weighted average of eight capital cities combined) as last published by the Australian Bureau of Statistics or its successors in respect of the 12 month presiding 30 September in each year.

11/Glossary

Page 19

Day 1 TPD definitionIf you suffer from one of a range of medical conditions and don’t meet the definition of Terminal illness, you may be eligible for a benefit if your condition is so severe that you are no longer able to work.

You will be considered totally and permanently disabled if, following your date of disablement, you have been continuously absent from all active work as a result of suffering from:

• Cardiomyopathy, primary pulmonary hypertension, major head trauma, motor neurone disease, multiple sclerosis, muscular dystrophy, paraplegia, quadriplegia, hemiplegia, diplegia, tetraplegia, dementia and Alzheimer’s disease, Parkinson’s disease, blindness, loss of speech, loss of hearing, chronic lung disease, severe burns or severe rheumatoid arthritis (as defined in the Definitions of Medical Conditions on page 16); and

• in the opinion of TAL, after considering medical and other evidence, you are unlikely ever to be able to engage in any gainful work for which you are reasonably suited by education, training or experience and that you are likely to be disabled for life.

Eligibility for a benefit payment under this definition may allow for a quicker assessment and payment of a TPD benefit.

DependantsYour dependants include your spouse, children of any age (including adopted and stepchildren), and any person totally or partially financially dependent on you at the time of your death or any person with whom you have an interdependent relationship. You can only nominate your dependants or your legal personal representative(s) as your beneficiary in the event of your death.

Domestic DutiesMeans the performance of all of the following unpaid tasks by you:

a) cooking meals for yourself or your family

b) cleaning the home

c) shopping for food

d) doing laundry and

e) where applicable, taking care of dependent children

but excludes any of the above tasks performed for salary, reward or profit.

Domestic Duties TPD definitiona) you are, as a result of an accident or

sickness, under the ongoing care of a medical practitioner and are unable to perform any Domestic Duties, or be engaged in any active work for a period of three consecutive months; and

b) at the end of the period of three consecutive months, are disabled to such an extent as to render you likely to require ongoing medical care and never again be able to perform Domestic Duties or engage in any gainful work for which you are reasonably qualified by education, training or experience.

ExclusionA medical exclusion may be placed on members’ insurance cover as a result of assessment of medical information supplied by the member to TAL as part of their application for new or additional insurance. An exclusion means that a member cannot claim an insurance benefit in relation to that condition. Common exclusions include knee, back or cardiovascular exclusions.

Other exclusions such as suicide or self-injury may also apply in the event of a claim. Please refer to the Insurance Policy documents for details of applicable exclusions.

Page 20

IncomeYour level of Income Protection cover is dependent upon your income and working status at the time of making your application.

Your income will be assessed as:

• the total of a, b and c:

a) for a member who is employed on a permanent basis or works as a contractor:

i) the total annual remuneration (excluding super contributions) received from your gainful work, before the deduction of income tax, including:

• cash salary; and

• the monetary value of non-cash benefits or fringe benefits provided by your employer in direct substitution of salary.

Income does not include commissions, bonuses, or overtime unless we agree in writing that it is included.

b) for a member who is employed on a casual basis:

i) the total remuneration (excluding super contributions) received from your gainful work, before the deduction of income tax, including:

• cash salary; and

• the monetary value of non-cash benefits or fringe benefits provided by your employer in direct substitution of salary;

averaged over the lesser of:

• the previous 12 months; and

• the period since you commenced employment in this role.

Income does not include commissions, bonuses, or overtime unless we agree in writing that it is included.

c. for a member who directly or indirectly owns all or part of a business from which they earn their regular salary (excluding super contributions) and before the deduction of income tax and they are an employee of that business:

i) the regular salary earned from your personal exertion through your gainful work after the deduction of your share of all business expenses incurred in earing the income averaged over the previous three financial years or lesser period as agreed by us. 

Income does not include investment income, profit distributions or similar payments that may continue in the event of disability.

If you make a claim for income protection payments, the amount of the benefit will be assessed against your pre-disability income during the month immediately prior to the date of disablement (up to the amount of existing cover). Payments are subject to maximum cover limits of $50,000 per month for a two year benefit period and $30,000 per month for a five year benefit period.

Interdependent relationshipYou have an interdependent relationship with someone when:

• you have a close personal relationship; and

• you live together; and

• one or each of you provides financial support; and

• one or each of you provides the other with domestic support and personal care.

You may also have an interdependent relationship with someone when you have a close personal relationship but do not satisfy the other criteria listed above by reason that either or both of you suffer from a physical, intellectual or psychiatric disability.

Legal personal representativeThe person nominated by you to be the executor of your will or appointed to distribute your assets according to the laws of the relevant State or Territory (if you do not have a will). You can only nominate your legal personal representative(s) or dependants as your beneficiary.

Limited CoverLimited Cover means you are only covered for:

a) sickness that first becomes apparent; or

b) an accident that first occurs;

on or after the date the cover commences, recommences or increases under the Policy.

If you make a claim in the future, TAL will consider whether Limited Cover will apply and for how long.

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Monthly in arrearsA payment relating to the past month and deducted at the end of the month.

Partial DisablementFollowing a period of Total Disablement (of at least seven out of the first 12 consecutive days of the applicable waiting period) a member may remain partially disabled yet able to return to work in some capacity. In this instance, reduced income protection payments may be paid after the applicable waiting period provided you continue to meet the definition of partial disablement in the insurance Policy document and remain under the ongoing care of a medical practitioner and have an income less than the amount of income prior to the disability.

Premium loadingA loading (or increase) may be applied to a member’s premium due to their occupation, health or lifestyle. Loadings are applied when certain circumstances place the member at a higher risk to TAL. Loadings may be issued at TAL’s discretion, based on medical evidence and information supplied to TAL for assessment.

SpouseSpouse means a person to whom you are legally married, a person whether of the same or a different sex with whom you are in a relationship that is registered under an Australian State or Territory law, and a person whether of the same or a different sex with whom you are not legally married but who lives with you on a genuine domestic basis as a couple.

Terminally ill A person who has been diagnosed by two registered medical practitioners as having less than 12 months* to live due to illness or injury and that at least one of these medical practitioners is a specialist practising in the area related to the illness or injury suffered by the person.

* You can apply to Telstra Super for a full or partial early release of your Telstra Super account balance if you are expected to live less than 24 months. However, you should consider leaving enough funds in your super account to cover your insurance premiums otherwise your insurance cover will cease. This will mean that you will not be eligible for a terminal illness insured benefit, which is based on a 12 month prognosis.

Total DisablementTotal Disablement means the member has been absent from employment with that employer through accident or sickness for the applicable waiting period and:

• has been rendered unable for the time being to perform the regular duties of their occupation and,

• is not working in any occupation and,

• is under the ongoing care of a medical practitioner.

Unable to Work TPD definitionTo satisfy the Unable to Work TPD definition, you must:

• have been continuously absent from all active work for a period of three consecutive months† and have been required by your employer to participate in a rehabilitation program; and

• have ceased to be an employee and be unlikely to ever engage in any gainful work for which you are, for the time being, reasonably qualified by education, training or experience.

† TAL may exercise its discretion and waive any requirement that the member be absent from all active work for at least three consecutive months.

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Call

1300 033 166

8.00am to 5.30pm (Melbourne time) Monday to Friday

Webwww.telstrasuper.com.au

Emailcontact@telstrasuper.com.au

Telstra Super Pty Ltd PO Box 14309 MELBOURNE VIC 8001

217759/FA PG008/22/0716