Leading Australian life insurance specialist, TAL, has launched its new range of Income Protection products for retail customers, developed to deliver fit-for-purpose benefits at claim time, while ensuring all customers can access affordable cover over the long term.
The new suite of products – named Income Protection Enhance, Income Protection Focus, and Income Protection Assist (more details at bottom) – has been designed with fairness for all customers front-of-mind, balancing the needs of customers who claim, and those that don’t, to provide valuable cover that remains affordable for the long term.
Drawing on expertise and insights from all parts of TAL, including claims, product development, underwriting, health services, customer experience and distribution, TAL adopted an evidence-led design approach involving in-depth research. This included extensive review and back-testing on more than ten years of historical Income Protection claims, alongside in-depth research conducted with more than 1,500 customers, advisers and Licensees.
The result is a range of product solutions that are tailored to customer needs, featuring revised definitions aligned to sound insurance principles, which balance value and affordability while ensuring the right benefits are paid when they are needed most.
TAL is offering two long-term options which will provide benefits to age 65, both designed with a focus on customer needs and delivering balanced outcomes for all customers over the long term. Income Protection Enhance is TAL’s most affordable long-term cover, while Income Protection Assist features additional support at the start of the claim through an Early Support Booster for the first six months.
Also available is a short-term benefit option, Income Protection Focus, which applies an ‘own occupation’ definition for the entire 1, 2 or 5 year benefit period, removing any uncertainty around ongoing eligibility for benefits over those shorter benefit periods.
TAL Group CEO and Managing Director, Brett Clark, said TAL’s strong commitment to advisers and customers was the focus in the development of the new Income Protection products.
“TAL’s ambition is that our customers understand and value the protection they have and are confident we will be there when they need us most, and central to achieving that is offering easily understood, good value products which meet customers’ individual needs,” Mr Clark said.
"TAL has been highly engaged with the industry discussion around the need for reforming Income Protection products and the launch of these redesigned products is an important next step in ensuring we continue to meet the needs of all of our customers, while also staying true to the principles of value, fairness and sustainability.
“Income Protection insurance is a critical tool used by Australians to protect their most important asset – their ability to earn an income – and it is essential that, as an industry, we get these products right for them.
“This is an important piece of work for the entire industry, and we must persist in our goal of designing sustainable and fair products that work well for all customers, including those customers who need to make a claim, as well as those customers who may not claim.”
TAL’s Income Protection products will be available from 24 September 2021. For further information, advisers can contact their local TAL Sales representative or visit: adviser.tal.com.au.