Insurance Guide netwealth Superannuation Master Fund 7 September 2012

Insurance Guide netwealth Superannuation Master Fund 7 September 2012

Gold Rating – Employer Sponsored, Standard Income Stream and Personal Super* SuperRatings does not issue, sell, guarantee or underwrite this product

Issuer/trustee details: netwealth Investments Limited Level 8/52 Collins Street MELBOURNE VIC 3000 ABN 85 090 569 109 AFSL 230975

Freecall 1800 888 223 Phone +61 3 9655 1300 +61 3 9655 1333 Fax Email [email protected]

Fund details: netwealth Superannuation Master Fund

ABN 94 573 747 704

This Insurance Guide has been prepared and issued by netwealth Investments Limited (ABN 85 090 569 109) (netwealth), AFS Licence No. 230975 as Trustee of the netwealth Superannuation Master Fund ABN 94 573 747 704 (the Fund). It is taken to be included in the Product Disclosure Statements for netwealth Super Wrap dated 11 October 2011 and netwealth Super Accelerator dated 23 April 2012. netwealth contact details Head office Level 8/52 Collins Street MELBOURNE VIC 3000 Postal address netwealth Investments Limited PO Box 336 SOUTH MELBOURNE VIC 3205 Freecall 1800 888 223 (within Australia) Phone 03 9655 1300 Fax 03 9655 1333 Email [email protected] Website www.netwealth.com.au A note about general advice This Insurance Guide may contain general advice, which does not take into account your individual objectives, financial situation or needs. You should assess whether the advice is appropriate for you having regard to your objectives, financial situation and needs, and consult a financial adviser before making a decision about whether to invest in any product of the Fund. Important notice Personal Super, Employer Sponsored Super, Standard Income Stream, Transition to Retirement Income Stream and Term Allocated Pension are available in netwealth Super Wrap and netwealth Super Accelerator and are issued by netwealth as Trustee of the netwealth Superannuation Master Fund ABN 94 573 747 704, a complying superannuation fund. The Product Disclosure Statements (PDS) for these products (of which this Insurance Guide forms a part) are available from our website (www.netwealth.com.au) or by calling us on Freecall 1800 888 223. You should consider all of the parts of the PDS applicable to you before making a decision to invest.

* SuperRatings, an independently owned superannuation research company, has completed its initial assessment and awarded netwealth Super Accelerator an inaugural Gold Rating for 2012. The netwealth Super Wrap – Personal Super, Standard Income Stream and Employer Super also hold for a fourth consecutive year the Gold Ratings by SuperRatings. Go to www.superratings.com.au for details of its rating criteria.

Insurance Guide | netwealth Superannuation Master Fund

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Contents

Contents About this Insurance Guide

2

Technical terms Information about Premium Rates AIA Australia Limited Important note about insurance benefits

2 2 2 2

Your insurance options

3

Personal Super  Employer Sponsored Super  Summary of insurance options

3 3 3

LifeWRAP Individual Policy

4

Group Policy

Transferring from Employer Sponsored Super to Personal Super Making a claim

22 23

Further information

23

5

Complaints Your duty of disclosure Consequences of non–disclosure Privacy and your personal information Risks associated with insurance Policy details Insurer’s Privacy Statement Underwriting requirements

23 23 23 23 23 24 24 24

Glossary

25

Forms you need to complete

27

Forms

29

Types of insurance

5

1. Death Only Insurance Cover 2. Death and Total & Permanent Disability Insurance (TPD) Cover 3. Income Protection Insurance Cover Employer Sponsored Group Insurance Options  Life Stage Cover

5 7 11 15 16

Premiums and fees

18

Premium rates Fees and Adviser Remuneration Employer Sponsored Super Premium payment Applying for cover Interim cover – Death Only insurance or TPD insurance Interim cover – Income Protection insurance Changing your cover Occupational loadings Continuation option Leaving the netwealth Superannuation Master Fund

18 18 19 20 20 20 21 21 22 22 22

Insurance Guide | netwealth Superannuation Master Fund

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About this Insurance Guide

About this Insurance Guide This Insurance Guide describes the insurance cover available in Super Wrap Personal Super and Employer Sponsored Super and in Super Accelerator Personal Super and Employer Sponsored Super. It is in three parts: • Your Insurance Options – this gives you a brief outline of the insurance options available to you in netwealth Super Wrap and netwealth Super Accelerator; • LifeWRAP Individual Policy – this outlines the individual life insurance (including Death & Total and Permanent Disablement) and Income Protection insurance that may be available to you in netwealth Super Wrap and netwealth Super Accelerator; and • Group Policy – this outlines the Group Life and Income Protection insurance cover that may be available to you in netwealth Super Wrap and netwealth Super Accelerator.

Technical terms Insurance involves technical terms which you need to keep in mind when reading about insurance products. Some more general terms used in this Insurance Guide are defined in Information Guide 1: Dictionary of terms used in Information Guides 1 to 12 and other terms more specific to insurance are defined in the glossary on page 25 and in other sections of this Insurance Guide. Technical terms are not always used in the same way in other documents so, for terms relating to any individual policy, you should see the latest version of the PDS for that policy which is available on our website, from us or from your financial adviser. In the event of a conflict between the definition of a term in this Insurance Guide and any other document forming part of the netwealth Super Wrap PDS and the netwealth Super Accelerator PDS, the term as defined in this Insurance Guide will prevail for the purposes of interpreting a Group Policy. In other words, you should rely on the term as defined in this Insurance Guide. However, in the event of a conflict between any document forming part of the netwealth Super Wrap PDS and the netwealth Super Accelerator PDS (including this Insurance Guide) and the PDS for an individual policy, the term as defined in the PDS for the individual policy will prevail for the purposes of interpreting that individual policy. In other words, you should rely on the term as defined in the PDS for the individual policy.

Information about Premium Rates Premium Rates for Personal Insurance are available on our website at www.netwealth.com.au or by calling us. Online quoting for Personal Insurance is also available on the website.

AIA Australia Limited The Group Policy is issued by AIA Australia Limited (ABN 79 004 837 861, AFSL 230043). AIA Australia has given and not withdrawn consent to this Insurance Guide containing information referable to it in the form and context in which that information appears. AIA Australia has not issued or caused the issue of this Insurance Guide and is not responsible for any statements in it which are not referable to it.

Important note about insurance benefits netwealth does not guarantee the payment of an insured benefit as this is determined by the insurer under the terms of the applicable policy. Any insurance benefit will be paid to netwealth as Trustee of the Fund. Insurance benefits received by the Trustee will be credited to the member’s account or paid to the member or their beneficiaries, subject to the Fund’s Trust Deed and Superannuation Law.

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Your insurance options

Your insurance options Life insurance should form an integral part of any financial plan. By providing yourself with adequate protection, you can help minimise the financial strain on family members in the event that you die or become permanently or temporarily disabled. Purchasing life insurance through your superannuation account may be tax effective, with most premium payments (or a proportion of the premium depending on the type of TPD insurance policy) considered allowable deductions to the Fund. These deductions are then passed on to your account. You should seek further advice regarding the deductibility of your specific premiums. The ideal amount of life insurance cover can vary significantly from person to person. Such factors as age, living expenses and your family situation can determine the appropriate level of cover. In order to find the level of cover that is right for you, we recommend that you discuss your situation with your financial adviser. Insurance cover is available to all eligible members of the netwealth Superannuation Master Fund Personal Super and Employer Sponsored Super.

Personal Super  If you are a member of Personal Super you can apply for cover under two types of policies within the Fund, a LifeWRAP Individual Policy or Personal Insurance under the Group Policy.

Employer Sponsored Super  If you are a member of Employer Sponsored Super your employer may have entered into a group insurance plan arrangement for its employees. In this case you will automatically have insurance cover based on standard terms when you join the Fund, with no application or qualification process required (subject to eligibility criteria). Where you wish to increase the level of cover above the automatic acceptance level applicable to your Employer Group Plan you can apply for additional cover by applying for Personal Insurance under the Group Policy, or you can apply for separate cover under a LifeWRAP Individual Policy. If you are a member of Employer Sponsored Super and your employer has not entered into a group insurance plan arrangement you can apply for cover either under a LifeWRAP Individual Policy or under the Group Policy.

Summary of insurance options LifeWRAP Individual Policy

Personal Insurance under the Group Policy

Policies available for:

Insurance available for:

• Death Only insurance;

• Death Only insurance;

• Death and Total & Permanent Disablement insurance; and/or

• Death and Total & Permanent Disablement insurance; and/or

• Income Protection insurance.

• Income Protection insurance.

The insurance policy is taken out by netwealth specifically on your behalf.

The insurance policy is taken out by netwealth for all the members of the Fund who choose to participate under a Group Policy issued by AIA Australia Limited.

You can choose from the available insurers and products listed on our website.

Both options provide flexibility in tailoring insurance to your needs however the various features of the policies and the premium rates differ. The LifeWRAP Individual Policy may give you greater choice. The Group Policy may have the advantage of less onerous acceptance requirements in certain circumstances. You should seek advice to determine which option is most appropriate for you.

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LifeWRAP Individual Policy

LifeWRAP Individual Policy LifeWRAP is an insurance offering that enables members to access individual Life insurance (including Death & Total and Permanent Disablement insurance) and Income Protection insurance through the netwealth Superannuation Master Fund. LifeWRAP Individual Policies are issued by the insurer and are subject to the terms and conditions of the LifeWRAP Individual Policies taken out by netwealth on behalf of each individual member with the insurer. Under a LifeWRAP Individual Policy netwealth purchases an individual policy on your behalf. Each policy is owned by netwealth as Trustee of the netwealth Superannuation Master Fund. In some cases you may be able to purchase optional benefits available from the insurer that are offered outside the netwealth Superannuation Master Fund under separate or linked policies issued in your name. These benefits will be owned by you directly rather than by netwealth on your behalf. The insurance products available under a LifeWRAP Individual Policy are listed on our website. For more information regarding the available products please refer to the insurer’s PDSs, available on our website, from netwealth or from your financial adviser. Before considering a LifeWRAP Individual Policy netwealth recommends that you seek advice from a licensed or authorised financial adviser. Payment of benefits Under a LifeWRAP Individual Policy, if you satisfy the conditions for the payment of an insured benefit, the benefit will be paid to netwealth as Trustee of the Fund. For example, under the terms of a life insurance policy, if you die or if you become totally or permanently disabled, netwealth will be paid a lump sum. Under the terms of an income protection policy, netwealth will be paid the income payments from the insurer. Provided you meet a condition of release these amounts can then be on-paid to you, otherwise they will be credited to your netwealth Superannuation Master Fund account. netwealth can only pay benefits, including any insurance proceeds, to you from the netwealth Superannuation Master Fund in accordance with the Fund’s Trust Deed, Superannuation Law and if a condition of release is met. The most relevant conditions of release are: • death; • permanent incapacity; • temporary incapacity (income protection only); and • terminal illness. For more information regarding conditions of release and payment of benefits, please refer to:

Information Guide 9: Preservation and Benefit Payments; Information Guide 11: Death Benefits. How to apply A LifeWRAP Individual Policy is only available through an adviser who is authorised by the insurance company who provides the policy. If your adviser is authorised by the insurance company, your adviser will provide you with a quotation detailing the policy you wish to purchase and assist you with the application process. You will also need to complete, sign and send to netwealth the “netwealth Superannuation Master Fund LifeWRAP Individual Policy Consent” on page 29 of this Insurance Guide and available on our website or by calling us on Freecall 1800 888 223.

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Group Policy

Group Policy

Types of insurance

The remainder of this Insurance Guide describes the Group Life and Income Protection insurance cover available to members under the Group Policy taken out by netwealth.

There are three types of Personal Insurance cover available to members of the superannuation service (Personal Super and Employer Sponsored Super) under the Group Policy:

If your application for cover is accepted on standard terms, cover will commence on the date that the insurer notifies netwealth in writing of its acceptance and you have an active netwealth Superannuation Master Fund account. If cover is offered only under special terms issued by the insurer, then cover will not commence until the insurer has received and accepted your completed Special Acceptance Terms form confirming your acceptance of those terms. Once your cover commences, you will be provided with coverage 24 hours a day worldwide, subject to the terms and conditions of the policy.

2. Death and Total & Permanent Disability (TPD) cover; and

Where your employer has established an Employer Group Plan for insurance, your cover under the applicable automatic acceptance limit will commence on the date you join the Fund and commencement of cover is subject to the terms and conditions of the policy. Once your cover commences, you will be provided with coverage 24 hours a day worldwide, subject to the terms and conditions of the policy. The netwealth Superannuation Master Fund’s Group Life and Income Protection insurance policies are provided by AIA Australia Limited (ABN 79 004 837 861, AFSL No. 230043) (“AIA Australia” or “the insurer”)”. The Group Life and Income Protection insurance cover is subject to the terms and conditions of the Group Policies issued by the insurer and held by netwealth, effective 1 January 2009. netwealth may consider other insurers for employer group policies at its discretion. Please check with your employer regarding your insurance arrangements as different terms and conditions may apply to your Employer Group Plan.

1. Death Only insurance cover; and 3. Income Protection insurance cover. The above types of insurance are also available where an employer establishes an Employer Group Plan. This is further explained at “Employer Sponsored Group Insurance Options” on page 15.

1. Death Only Insurance Cover Benefit description In the event of your death prior to the age of 75, the insurer will pay the insured amount to netwealth to credit to your account in the netwealth Superannuation. In accordance with the Trust Deed and Superannuation Law, netwealth can then pay the balance of your account (including the insurance proceeds) to a valid superannuation dependant named under a binding death benefit direction, your legal personal representative (usually the executor of your estate), or if you haven’t made a binding nomination and don’t have a legal personal representative, to your dependants at netwealth’s discretion. For more information regarding death benefits, please refer to: Information Guide 11: Death Benefits. Eligibility New and existing members of the netwealth Superannuation Master Fund – Personal Super and Employer Sponsored Super who are permanent residents of Australia and are aged between 15 and 75 can apply for Death Only cover. You are able to nominate the sum for which your life is insured. Levels of cover The maximum level of cover available is generally $10 million, but this is subject to individual consideration by the insurer. The amount of information required by the insurer during the underwriting process will depend on the level of cover you apply for. Please refer to the section headed ‘Underwriting requirements’ on page 24 to see what additional medical information may be required to process your application.

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Types of insurance

Premium rates

Exclusions

Premium rates for Personal Insurance Death Only cover are available on our website. The occupational loading factors for the Death Only cover premium rates are as follows:

No Death benefit will be payable as a result of any of the following:

Occupation Type

Loading Factor

• active service in the armed forces of any country or international organisation, and

Professional

0.90

White Collar

1.00

• any intentional, self-inflicted act, whether sane or insane, arising within 13 months of the cover commencing, being reinstated or increased.

Light Blue Collar

1.15

Cessation of cover

Heavier Blue Collar

1.30

Your Death Only cover will cease in the Fund due to any of the following occurring: • you attain the age of 75;

Examples of how to estimate your annual Death Only cover annual premium 1. Example: 39-year-old male accountant who is a nonsmoker and wishes to purchase an insured amount of $200,000, with the Upfront Fee1 option. His annual premium is calculated as:

• 120 days after you first join the netwealth Superannuation Master Fund where premium payments have not been paid; • 60 days after the cessation of premium payments which have fallen due;

= 0.73 × 200 × 0.90

• a Total & Permanent Disablement (TPD) benefit is paid to you by netwealth (note that if your level of Death cover is greater than your level of TPD cover, then your Death cover will not cease but will be reduced by the amount of the TPD benefit paid to you);

= $131.40 annual premium

• the policy is terminated;

Premium factor2 × (sum insured ÷ 1,000) × occupational loading factor = 0.73 × (200,000 ÷ 1,000) × 0.90

2. Example: 34-year-old male construction worker who is a smoker and wishes to purchase an insured amount of $175,000, with the Hybrid Fee1 option. His annual premium is calculated as: Premium factor  × (sum insured ÷ 1,000) × occupational loading factor 2

• the earlier of 60 days after leaving the netwealth Superannuation Master Fund or from the date you effect a continuation option; • you do not return to work after the expiry of an agreed period of approved leave;

= 1.18 × (175,000 ÷ 1,000) × 1.30

• you notify netwealth in writing that you wish to cancel your cover;

= 1.18 × 175 x 1.30

• you die; or

= $268.45 annual premium

• you are an Employer Sponsored Super member and a temporary resident and you cease employment with your employer who has an Employer Group Plan.



The Upfront Fee option and Hybrid Fee option are described below in the‘Premiums and Fees’ section on pages 18 to 19.



Personal Insurance premium rate tables can be found on our website www.netwealth.com.au.

1

2

Your annual premium is re-calculated on 30 June each year, based on your age next birthday.

netwealth will notify you if your policy lapses due to premiums not being paid. netwealth is not required to notify you if your cover is to cease for any other reason.

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Types of insurance

Special conditions If the insurer deems you to be involved in a hazardous occupation or pastime, or you have certain medical conditions, the insurer reserves the right to decline or defer cover, or to impose certain exclusions or additional premium loadings on your policy. You will be notified of any special conditions upon confirmation of your acceptance, and will be required to agree to those conditions by signing a Special Acceptance Terms form. You must agree to accept these special conditions within 30 days, or the offer for cover will be void. Terminal illness benefit

2. Death and Total & Permanent Disability Insurance (TPD) Cover Benefit description In the event of your death or you becoming totally and permanently disabled, Death & TPD cover will provide a lump sum benefit for the amount insured. Any Death or TPD benefit paid by the insurer will be paid to netwealth, and credited to your account in the netwealth Superannuation Master Fund. The ability to pay a lump sum benefit from the Fund is determined by the relevant terms in the Trust Deed and in accordance with superannuation law.

The insurer may pay a terminal illness benefit comprising an advance lump sum payment of 100% of the amount of Death Only cover up to a maximum of $500,000, where you have been diagnosed as terminally ill and in the opinion of the insurer, you are not expected to live for 12 further months from the date of diagnosis.

Eligibility

This benefit will only be payable where you are diagnosed as terminally ill after the commencement of Death Only cover, and you have ceased working as a result of the diagnosed illness. The insurer will pay the insured amount to netwealth to credit to your account in the netwealth Superannuation Master Fund. We may then be able to pay the insured amount and the balance of the account to you as permitted under the Trust Deed and superannuation law.

There are three types of TPD cover available:

Life Stage Cover Life Stage Cover allows an insured member to apply for an automatic increase to their Personal Insurance – Death cover amount on the occurrence of certain life stage events. See page 11 for further details.

New and existing members of the netwealth Superannuation Master Fund – Personal Super and Employer Sponsored Super who are permanent residents of Australia and aged between 15 and 65 can apply for Death & TPD cover. A. Standard (any occupation): this cover is available if you are a permanent resident of Australia, under the age of 65 and are permanently and gainfully employed for at least 15 hours per week, in each and every normal working week; and B. Own occupation: this cover may be available to you, if you are a permanent resident of Australia, under the age of 65 and are permanently and gainfully employed as a Professional Worker or White Collar Worker for at least 15 hours per week, in each and every normal working week. The table below provides a guide to the acceptable occupations, however, the insurer will assess each application for eligibility.

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Types of insurance

Occupations that may be covered by an ‘own occupation’ definition for TPD Accountant (registered CPA)

Consulting Engineer (office only)

Lecturer (university and CAE, full time)

Pharmacist (qualified)

Actuary

Coroner

Librarian (qualified)

Physician

Anaesthetist

Dental Surgeon

Management Consultant

Physicist

Analytical Chemist (not explosives)

Dentist

Market Analyst (not interviewing)

Physiotherapist

Architect

Dietician (qualified and registered)

Medical Practitioner

Principal (school)

Astronomer

Doctor

Medical Registrar

Professor (university)

Auditor

Editor (office only)

Metallurgist (not underground)

Psychiatrist

Bank Manager

Engineer (civil – office only)

Meteorologist

Psychologist

Barrister

Engineer (electrical)

Mineralologist (office only)

Solicitor

Biochemist (not marine)

Engineer (consultant – office only)

Minister of Religion

Surgeon

Chemist

Geologist (office only)

Optometrist

University Lecturer

Computer Analyst

Geophysicist

Ophthalmologist

University Professor

Computer Consultant (qualified)

Judge

Orthodontist

Veterinary Surgeon (domestic animals only)

Computer Programmer (qualified)

Key Executive (administration)

Pathologist

Computer Systems Analyst (qualified)

Lawyer

Peridontist

C. Activities of daily living: available if you are a permanent resident of Australia. This definition will apply if you meet any of the following criteria immediately prior to claim: • are aged 65 or over; or • work less than 15 hours per week; or • are a non-working spouse. TPD Definitions Standard (any occupation) You will be deemed to be totally and permanently disabled if: 1. In the opinion of the insurer, you have suffered a disability through injury, sickness or disease which has: • prevented you from performing any work for an uninterrupted period of at least six consecutive months solely due to the same injury, sickness or disease; and • you are attending and under the regular care and following the advice of a medical practitioner, and have undergone all reasonable and usual treatment including rehabilitation for the injury, sickness or disease; and • after consideration of all the medical evidence and such other evidence as the insurer may require have become, in the insurer’s opinion, incapacitated to such an extent as to render you unlikely ever to be able to engage in your own occupation and any occupation for which you are reasonably suited by education, training or experience.

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Types of insurance

OR 2. You have suffered the total and irrecoverable loss of use of both hands, both feet, one hand and one foot, the sight of both eyes, one hand and the sight of one eye or one foot and the sight of one eye.

• Toileting: The ability to get to and from and on and off the toilet, without the standby assistance of any other person, and ability to manage bowel and bladder functions through the use of protective undergarments or surgical appliances, if appropriate.

Own occupation

• Mobility: The ability to move in and out of a chair without the standby assistance of any other person.

You will be deemed to be totally and permanently disabled if:

OR

1. In the opinion of the insurer, you have suffered a disability through injury, sickness or disease which has: • prevented you from performing any work for an uninterrupted period of at least six consecutive months solely due to the same injury, sickness or disease; and • you are attending and under the regular care and following the advice of a medical practitioner, and have undergone all reasonable and usual treatment including rehabilitation for the injury, sickness or disease; and • after consideration of all the medical evidence and such other evidence as the insurer may require have become, in the insurer’s opinion, incapacitated to such an extent as to render you unlikely ever to be able to engage in your own occupation. OR 2. You have suffered the total and irrecoverable loss of use of both hands, both feet, one hand and one foot, the sight of both eyes, one hand and the sight of one eye or one foot and the sight of one eye. Activities of daily living (ADL) You will be deemed to be totally and permanently disabled if: 1. For a period of six consecutive months after the commencement of the sickness or injury you have been, and remain continuously and totally unable to perform at least three of the following activities of daily living, as certified by a medical practitioner appointed by the insurer, and provided such continued inability is irreversible as certified by a medical practitioner. The activities of daily living are: • Bathing: the ability to wash oneself either in the bath or shower or by sponge bath without the standby assistance of any other person. • Dressing: the ability to put on or take off all garments and medically necessary braces or artificial limbs usually worn and to fasten and unfasten them, without the standby assistance of any other person. • Eating: The ability to feed oneself once food has been prepared and made available, without the standby assistance of any other person.

2. You have suffered the total and irrecoverable loss of use of both hands, both feet, one hand and one foot, the sight of both eyes, one hand and the sight of one eye or one foot and the sight of one eye. Levels of cover For members under the age of 65, the maximum level of TPD cover available is the lesser of the Death cover sum insured and $5 million for professional and white collar occupations and $3 million for all other occupations (subject to individual consideration by the insurer). The level of TPD cover cannot be more than the level of Death cover. The amount of information required by the insurer during the underwriting process will depend on the level of cover you apply for. Please refer to the section ‘Underwriting requirements’ on page 24 of this Insurance Guide to see what additional medical information may be required to process your application. Scale-back of TPD cover Once you have attained the age of 61, your TPD cover will be scaled back by 20% each year until the time you reach age 64, where the remaining 20% of the amount insured is fixed until you reach age 75 (which is when cover expires). This 20% reduction in TPD cover will also apply if you apply for Death and TPD cover after age 60. For example, if you are age 61 and successfully apply for $100,000 Death & TPD cover, you will get $100,000 Death cover and $80,000 TPD cover. This does not apply to Employer Sponsored Group insurance where your TPD cover is based on a formula that automatically reduces the cover with age (e.g. future years’ service formula).

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Types of insurance

Example: Joe has $100,000 Death & TPD cover, with no CPI indexation. His benefits will reduce each year, when recalculated, once he reaches age 61. His insured benefits will reduce as follows: Age at recalculation

Example of how to calculate your annual Death & TPD cover premium 1. Example: 34-year-old female administrative clerk who is a smoker and wishes to insure a sum of $400,000 Death and ‘standard’ definition TPD cover with the Hybrid Fee option.

Death cover

TPD cover

Up to age 61

$100,000

$100,000

61

$100,000

$80,000

= 0.89 × (400,000 ÷ 1,000) × 1.00

62

$100,000

$60,000

= 0.89 × 400 × 1.00

63

$100,000

$40,000

64 to 75

$100,000

$20,000

Exclusions

(Death + TPD cover premium factor) × (sum insured ÷ 1,000) × combined occupational loading

= $356.00 annual premium 2. Example: 41-year-old male surgeon (professional rates) who is a non-smoker and wishes to insure a sum of $800,000 Death and ‘own occupation’ TPD cover with the Hybrid Fee option.

No TPD benefit will be payable as a result of any of the following:

(Death cover premium factor x occupation loading) + (TPD cover premium factor × occupation loading × ‘own occupation’ loading) 

• active service in the armed forces of any country or international organisation; or

= [(0.83 ×0.9) + (0.42 × 0.85 x 1.50)]

• any intentional, self-inflicted act, any attempted suicide or self-destruction while either sane or insane.

= 1.2825

= 0.747 + 0.5355 Combined premium factor × (sum insured ÷ 1000) 

Premiums

= 1.2825 × 800 

Personal Insurance premium rate tables can be found on the website along with an annual premium quote calculator. Occupational loading factors, may be applied to your Death & TPD premium rates as follows:

= $1,026.00 annual premium

Occupation type

Loading factors

Cessation of ‘standard’ or ‘own occupation’ TPD cover Your ’standard’ or ‘own occupation’ TPD cover will cease due to any of the following occurring: • you are no longer permanently and gainfully employed for at least 15 hours per week2;

Death Only

TPD Only

Death & TPD1

Professional

0.90

0.85

0.875

White Collar

1.00

1.00

1.00

Light Blue Collar

1.15

1.85

1.50

• 120 days after you first join the netwealth Superannuation Master Fund where premium payments have not been paid;

Heavier Blue Collar

1.30

2.70

2.00

• you die;

• 60 days after the cessation of premium payments which have fallen due;

• a TPD benefit is paid to you by netwealth; Please refer to the website for current premium rates.

• the policy is terminated;

Important note: ‘Own occupation’ definition TPD cover is subject to a loading factor of 1.50.

• you leave Personal Super or Employer Sponsored Super; • you notify netwealth in writing that you wish for cover to be cancelled; or • you reach age 652. netwealth is not required to notify you if your cover is to cease.

1

A combined occupation loading is used only where cover level & loading is the same. Add Death Only & TPD premium factors together to obtain a Death & TPD premium factor.

2

You may still be eligible for ‘activities of daily living’ TPD cover, which will cease as detailed below.

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Types of insurance

Cessation of ‘activities of daily living’ TPD cover

Eligibility

Your ‘activities of daily living’ TPD cover will cease due to any of the following occurring:

New and existing members of the netwealth Superannuation Master Fund – Personal Super and Employer Sponsored Super can apply for Income Protection insurance cover if they are:

• you reach age 75; • 60 days after the cessation of premium payments which have fallen due; • 120 days after you first join the netwealth Superannuation Master Fund where premium payments have not been paid;

• permanent residents of Australia and aged between 15 and 65, and • permanently and gainfully employed for at least 15 hours per week, in each and every normal working week.

• you die;

Definition of disability

• a TPD benefit is paid to you by netwealth;

There are two categories of disability for Income Protection insurance cover. They are defined as follows:

• the policy is terminated; • you leave Personal Super or Employer Sponsored Super; or • you notify netwealth in writing that you wish for cover to be cancelled. netwealth will notify you if your policy lapses due to premiums not being paid. netwealth is not required to notify you if your cover is to cease for any other reason. Special conditions If the insurer deems you to be involved in a hazardous occupation (including occupations where disability insurance is not normally offered) or pastimes, or you have certain medical conditions, the insurer reserves the right to decline or defer cover, or impose certain exclusions or additional loadings on your premiums. You will be notified of any special conditions upon confirmation of your acceptance. You must agree to accept these special conditions within 30 days by signing the Special Acceptance Terms form or the offer for cover will be void. Life Stage Cover Life Stage Cover allows an insured member to apply for an automatic increase in their Personal Insurance Death & TPD cover on the occurrence of certain life stage events. See page 16 for further details.

Total disability Total disability or totally disabled means, in respect of any insured member, disablement resulting solely from injury or sickness which occurs while the member is insured and as a result of that injury or sickness the insured member: • is continuously unable to perform at least one important duty* of his/her usual occupation necessary to producing income; and • remains under the regular care and attendance of, and is following the advice of a registered medical practitioner in relation to that injury or sickness; and • is not engaged in any occupation (whether paid or unpaid). If you are a Personal Super member and have been unemployed or if you are a Personal Super member or an Employer Sponsored Super member on maternity or paternity leave for less than three months at the time of the event giving rise to a claim, then the total disability definition as stated above will apply. If you are unemployed or on maternity or paternity leave for three months or more but less than twelve months immediately preceding the occurrence of an event giving rise to a claim, then the following total disability definition applies. You will be deemed to be totally disabled if, by reason of sickness or injury:

3. Income Protection Insurance Cover

• you are continuously unable to perform any occupation; and

Benefit description

• you remain under the regular care and attendance and following the advice of a Medical Practitioner in relation to that sickness or injury; and

Income Protection insurance cover can provide you with an ongoing monthly income in the event that you become totally disabled (either temporarily or permanently) and are unable to work due to sickness or injury.

• you are not engaged in any occupation (whether paid or unpaid). If you have been unemployed or on maternity or paternity leave for twelve months or more, cover ceases and you will need to reapply for cover if it is still required.

* An important duty is defined as involving 20% or more of occupational tasks responsible for generating at least 20% or more of the insurer member's pre-disability income.

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Types of insurance

Partial disability Partial disability means immediately following a period of total disability for at least fourteen (14) consecutive days and solely because of the injury or sickness which directly caused the total disability, the insured member is: • able to perform one or more duties of his/her usual occupation but is unable to perform all of the duties of his/her usual occupation; and • remains under the regular care and attendance of, and is following the advice of a registered Medical Practitioner in relation to that injury or sickness; and • solely due to that injury or sickness is earning an income at a monthly rate of less than his/her pre-disability income. Definition of income Depending on whether or not you are self-employed, ‘income’ is defined as follows for the purposes of Income Protection insurance cover: Self-employed If you are self-employed, a working director or a partner in a partnership, your income will be considered to be the income generated by the business or practice due to your share of personal exertion or activity, less your share of the necessarily incurred business expenses and investment income. Non self-employed If you are not self-employed, the total value of remuneration paid to you by your employer will be considered as your income. The income includes salary, fees, regular commission, regular bonuses, regular overtime, fringe benefits and salary sacrifice superannuation contributions but excluding mandated superannuation contributions (that is superannuation guarantee contributions). For the purposes of defining your income where a claim is being assessed, ‘pre-disability income’ is the average gross monthly income earned by you over the 12 months immediately before becoming disabled. Where you have been employed for less than 12 months, this income is averaged over the period of employment. Level of cover

The maximum level of monthly income you can receive in the event of claim is, the least of: • 75% of your income (plus an additional 10% to be paid directly to your superannuation account as contributions); or • $30,000 per month; or • the amount insured. The insurer reserves the right to limit increases in the amount insured per insured member to 30% in any 12 month period. Agreed value If you are a member of Personal Super, you can apply for an Agreed value benefit provided you are not in a heavy manual occupation. Agreed value cover is subject to a 20% premium loading and financial underwriting. In the event of an approved claim being paid, if the agreed amount is greater than 75% of your income at the time of claim (or greater than 85% if you are also insured for the superannuation benefit), the higher Agreed value will be paid. The monthly benefit in the event of claim is the lesser of: • the Agreed value amount insured; or • $30,000 per month. Details of the financial underwriting requirements can be found on page 24. Important note: If the Agreed value is greater than your pre-disability income, the excess will be retained in the Fund until you meet another Condition of Release. Increases in cover The insurer reserves the right to limit increases to your amount insured to 30% of the current amount insured in any 12-month period. The amount of information required by the insurer during the underwriting process will depend on the level of cover you apply for. Please refer to the section under the heading ‘Underwriting requirements’ on page 24 of this Insurance Guide to see what additional medical information may be required to process your application. Waiting period

Indemnity value

Your monthly Income Protection insurance benefit will commence after a waiting period. You can choose to have a waiting period of 30, 60 or 90 days. The longer the waiting period you choose, the lower your premium payments will be.

You can apply to receive an indemnity value benefit of up to 75% of your annual income (plus an additional 10% to be paid directly to your superannuation account as contributions).

The waiting period commences from the date that you are first examined and certified by a medical practitioner as totally disabled in relation to a condition that gave rise to a claim and you ceased work, due to that condition.

You can apply for Income Protection insurance cover up until your 65th birthday.

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Types of insurance

Benefit period You can choose whether to have a benefit paid for a period of two years or up to age 65, subject to you meeting the ongoing eligibility requirements for benefit payment for these periods.

11%

NT

10%

WA

10%

ACT

10%

These rates are subject to change from time to time. Example of how to calculate your annual Income Protection insurance cover premium

Other considerations Superannuation Contributions In addition to the maximum insured amount of 75% of your income, you can elect to have an additional amount of up to 10% paid to your superannuation account as contributions. Benefit escalation Where you select Income Protection insurance benefits payable up to age 65, you can choose to have these benefits indexed as follows: • your Income Protection insurance benefit payment is indexed at a rate of the lower of CPI and 5% per annum which is applied to the monthly benefit after you have continued to receive Income Protection insurance benefits for twelve consecutive months and every twelve months thereafter; or • no indexation applied to your Income Protection insurance benefit payment. Selecting benefit escalation will increase your premium. Premiums Personal Insurance premium rate tables can be found on our website at www.netwealth.com.au, along with an annual premium quote calculator. The occupational loading factors that may be applied to Income Protection insurance premium rates are as follows: Occupation Type

SA

Loading Factor

Professional

0.90

White Collar

1.00

Light Blue Collar

1.75

Heavier Blue Collar

3.50

Premium rates shown for Income Protection insurance cover do not include stamp duty. The level of stamp duty imposed varies between State and Territories. The rate of stamp duty that you are charged will depend on the State or Territory location of your residential address. The stamp duty rates (current at the date of this Insurance Guide) are set out below: NSW

5%

TAS 

8%

VIC 

10% 

QLD 

7.5%

1. Example: 34-year-old female clerical worker residing in NSW who is a non-smoker. She earns $5,000 per month and would like to receive 75% of this amount after a 30-day waiting period for a two year benefit period with no indexation of a benefit in payment. She has elected the Flat fee* option. Her annual premium is calculated as follows: Premium factor × 0.75 × (monthly income ÷ 100) × occupational loading × state stamp duty factor = 8.30 × 0.75 × (5000 ÷ 100) × 1.00 × 1.05 = $326.81 annual premium  *

The Flat Fee option is described below in the ‘Premiums and fees’ section on page 19.

2. Example: 41-year-old male professional worker residing in Victoria who is a smoker. He earns $10,000 per month and would like to receive 75% of this amount with benefit escalation after a 90-day waiting period until he reaches age 65. He has agreed on the Upfront fee option with his adviser. His annual premium is calculated as follows: Premium factor × 0.75 × (monthly income ÷ 100) × occupational loading × state stamp duty factor = 12.60 × 0.75 × (10000 ÷ 100) × 0.90 × 1.10 = $935.55 annual premium Tax If you receive an income stream under Income Protection insurance cover, that income stream will be taxed in the same way as your salary or wages, as the income is intended to be direct compensation for salary and wages during the period that you are considered temporarily disabled. Any amounts paid into your superannuation account will be treated as concessional contributions. Please refer to Information Guide 10: Tax and Social Security for further information about tax on contributions. Benefits and offset benefits Total disability benefit Where a benefit payment commences it will be paid monthly in arrears, calculated from the first day following the end of the waiting period until the benefit ceases to be paid. This means that you will receive your first payment one month after the end of the waiting period. Where payment to age 65 with benefit escalation has been selected, this escalation

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Types of insurance

will be applied where you have been in receipt of claim benefits for one full year and after every full year thereafter.

• any other payments made under any disability income type insurance policy; or

Partial disability benefit

• any other lump sum* payments (other than a TPD benefit paid by the insurer); or

A partial disability benefit will only be paid provided you return to work with the same employer or another employer and are earning less than you would have been earning had you not suffered from partial disability. Where a benefit payment is commencing it will be paid monthly in arrears, provided you have been totally disabled for a period of at least 14 consecutive days during the waiting period. This means that you will receive your first payment one month after the end of the waiting period. Where payment to age 65 with benefit escalation has been selected, this escalation will be applied where you have been in receipt of claim benefits for one full year and after every full year thereafter. Recurrent disability

• continued income from your employer or ongoing income generated from ownership of a business or practice. Exclusions No Income Protection insurance benefits will be payable as a result of any of the following: • any intentional self-inflicted injury or sickness, or attempt at suicide or self-destruction while either sane or insane; or • an uncomplicated pregnancy, childbirth or miscarriage; or • declared or undeclared war or any act of war, or • active service in the armed forces of any country or international organisation.

If you have made a claim and a further claim is made arising from the same or related cause as the first claim, the further claim:

Cessation of cover

• will be treated as a separate claim if it occurred after you have returned to work for at least six months; or

• you attain the age of 65; or

• will be deemed to be a continuation of the original claim if made within six months of payments ceasing from the earlier claim. A further waiting period will not apply in this case, but the maximum benefit period (for a two-year benefit period) will be adjusted to take into account prior claim payments. Rehabilitation expenses Rehabilitation expenses approved by the insurer will be reimbursed up to an amount equivalent to 6 monthly Income Protection insurance benefit payments, provided the expenses relate to rehabilitation programs designed to rehabilitate the disability of the member or to return the member to work. Offsets Any Income Protection insurance benefits which are payable will be reduced by the following other benefits you may be receiving, where the total amount you are receiving exceeds 75% of your pre-disability income (or where cover has been provided under Agreed value where the total amount you are receiving exceeds the higher of 75% of your predisability income or the amount insured).

Your Income Protection insurance cover will cease due to any of the following occurring: • 30 days after your expected return to work date if you are on approved leave with your employer; or • you are no longer permanently and gainfully employed for at least 15 hours per week (Employer Sponsored Super member); or • 60 days after the cessation of premium payments which have fallen due; or • 120 days after you first join the netwealth Superannuation Master Fund where premium payments have not been paid; or • 12 months after you have been unemployed (Personal Insurance only); or • the date you cease to be employed with your employer who has an Employer Group Plan, where you are an Employer Sponsored Super member; or • you die; or • the policy is terminated; or • upon leaving the netwealth Superannuation Master Fund, or • you notify netwealth in writing that you wish for cover to be cancelled.

• Workers’ Compensation, Motor Accident Compensation, Social Security or similar benefits as a result of the injury or sickness of the member; or

*

Any lump sum payments will be converted to a monthly amount, at the rate of 1/60th of the lump sum per month over a period of 60 months from the payment of the lump sum benefit, for the purposes of calculating any offset amounts.

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Types of insurance

Cessation of Income Protection insurance benefit payments Where you are receiving Income Protection insurance benefit payments, they will cease upon the earliest of any of the following events: • on your death; or • you attaining age 65; or • the expiry of the two-year benefit period (where applicable); or • you no longer satisfy the total disability or partial disability definition. Special conditions If the insurer deems you to be involved in a hazardous occupation or pastime, or you have certain medical conditions, the insurer reserves the right to decline or defer cover or impose certain exclusions or additional loadings on your premium. You will be notified of any special conditions upon confirmation of your acceptance. You must agree to accept these special conditions within 30 days by signing the Special Acceptance Terms form or the offer for cover will be void.

Employer Sponsored Group Insurance Options  Default Cover For employer groups with 5 or more members under Choice of Fund, the insurer offers, on application, Death Only and Death & TPD automatic acceptance cover. Death Only cover The first option is cover that may be purchased for 50¢ per week and will purchase the amount of Death Only cover shown in the table below. Death & TPD cover Death and ‘standard’ or ‘activities of daily living’ definition TPD cover will also be provided. Cover that may be purchased for $1.00 per week and the amount of cover purchased is also shown in the table below. Note that for one of the above options to apply, netwealth Superannuation Master Fund – Employer Sponsored Super must be the default fund for the employer group and only one type of cover (Death Only or Death & TPD) can be chosen for any single Employer Group Plan. Conditions apply to eligibility for automatic acceptance.

Levels of cover purchased Age

Fixed cover

16 to 34

$50,000

35 to 39

$35,000

40 to 44

$20,000

45 to 49

$14,000

50 to 55

$7,000

5 or more members For employer sponsored groups of members of not less than five, automatic acceptance is available for, Death and ‘standard’ or ‘activities of daily living’ definition TPD and Income Protection insurance cover. A Group Proposal form is required to be completed by the employer. Premium loading factors for the Employer Group Plan will be calculated by the insurer based on their assessment of the risk rating of the Employer Group Plan. These loading factors will apply to all members in that Employer Group Plan. The Employer Group Plan will meet the eligibility requirements if the following conditions are met: • the employer must nominate their plan within the netwealth Superannuation Master Fund as their ‘default’ superannuation fund for ‘super choice’; and • the employer must have at least five eligible employees within their Employer Group Plan and more than 75% of eligible employees must be insured under the Employer Group Plan; and • new members of the Employer Group Plan must join when they commence employment with the employer; and • suitable eligibility conditions and clear benefit terms are specified for membership of the Employer Group Plan; and • the sum insured for each member is established using a consistent and accepted basis. In addition, for an employee to be eligible the following conditions must be also satisfied: • the employer must notify the Trustee of the new employee’s details within 120 days of the employee commencing employment with the employer; and • members must be aged under 65 at commencement of cover; and • the employer has confirmed on the date of application of membership that the employee was ‘at work’ on the date of commencement of membership/employment. If the person was absent from work due to sickness or injury,

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Types of insurance

such person will be provided with New Events cover for TPD, Terminal Illness and Income Protection insurance cover (where applicable) until the insured member is ‘at work’ for one day at which time full cover under the policy will be provided. Death and Total & Permanent Disability cover The automatic acceptance limits available to Employer Group Plans which meet the above criteria, are as follows: Number of employees

Automatic acceptance limit

5 to 9

$350,000

10 to 19

$400,000

20 to 29

$450,000

30 to 49

$550,000

50 to 99

$600,000

100 to 199

$850,000

200 to 299

$950,000

300 to 499

$1,000,000

500 to 749

$1,100,000

750+

Individual consideration

Income Protection insurance cover Automatic acceptance is available for Income Protection insurance cover with the following additional conditions applicable to the Employer Group Plan: • the employer must specify a waiting period that is applicable to all eligible members; and • the employer must specify a benefit period that is applicable to all eligible members. An employee is eligible if: • the member is permanently and gainfully employed for at least 15 hours per week (excluding casuals) in each and every normal working week at the date of commencement of employment/membership; and

The automatic acceptance limits available to Employer Group Plans which meet the shown criteria, are as follows: Number of employees

Automatic acceptance limit

5 to 9

$5,000 per month

10 to 19

$6,000 per month

20 to 29

$7,000 per month

30 to 49

$8,000 per month

50 to 99

$9,000 per month

100 to 199

$11,000 per month

200 to 299

$11,500 per month

300 to 499

$12,000 per month

500 to 749

$12,500 per month

750+

Individual consideration

The Employer Group Plan will be separately underwritten by the insurer to determine eligibility for automatic acceptance limits for Income Protection insurance cover. Cancelling your cover You may cancel any cover provided under an automatic acceptance limit applicable to your Employer Group Plan by written notice to netwealth at any time.

Life Stage Cover Life Stage Cover allows you to apply for an automatic increase in your Personal Insurance Death & TPD Cover on the occurrence of certain life stage events including ‘personal’ and ‘business’ events without the requirement of underwriting. Events include the following. Personal • Birth or adoption of a child; • Marriage; • Divorce; • Child turning 12;

• the member is aged under 65.

• Child commencing education at a private school;

Agreed value cannot be selected under automatic acceptance.

• Turning 30;

Important note: Premium rates applicable for members of Employer Group Plans are not included in this Insurance Guide. Please contact netwealth on Freecall 1800 888 223 for a premium quote.

• Effecting a first mortgage on the purchase of a home or increasing an existing first mortgage for the purposes of building or renovation works on the home. The mortgage must be on the insured member’s principal place of residence and arranged with a licensed mortgage provider.

• Significant salary increase; and

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Types of insurance

Business Where you are a key person in a business (working partner, director or significant shareholder) and your value or financial interest in the business, averaged over the last three years has increased. Life Stage Cover benefit design

increased Death or TPD cover amount will only be paid if death or disablement occurs as a result of an accident; • no benefit will be payable on the increased amount insured if the claim is caused as a result of an intentional, self-inflicted act, whether sane or insane, within a period of thirteen (13) months from the date of any increase under this provision;

Life stage event

Death/TPD cover may be increased by the lesser of:

• your current Death/TPD cover must have been accepted by the insurer on standard terms without any exclusions, restrictions or premium loadings;

Personal event

• 25% of your current Death/ TPD amount insured;

• ‘at work’ conditions apply. If not ‘at work’, New Events cover will apply until such time as you return to work;

Birth or adoption of a child, marriage, divorce, child turning 12, child commencing education at a private school, you turning 30 or a significant salary increase. Personal event First mortgage or increase in an existing first mortgage.

and • $200,000.

• 50% of your current Death/ TPD amount insured; • the amount of the first mortgage; • the amount of the increase of the first mortgage; and • $200,000.

Business event

• 25% of your current Death/ TPD amount insured; • the increase in the value of your financial interest in the business or the value to the business, whichever is appropriate, averaged over the last three years; and • $200,000.

The following terms and conditions apply to Life Stage cover: • application for a life stage increase must occur within sixty days after the occurrence of a personal event or after your receipt of proof of a business event; • satisfactory proof of the personal or business event, as required by the insurer must be provided for consideration; • a ‘significant salary increase’ is a salary increase of over $10,000 (self-employed members are not eligible for the ‘significant salary increase’ event); • applications for more than one event per year are allowed, subject to overall increases not exceeding more than $200,000 in any twelve month period; • total increases made under this provision cannot exceed $1,000,000 over the duration of a member’s cover; • if you die or become disabled within six (6) months after being provided an increase under this provision, the

• you must not have made and must not be eligible to make a claim under this policy or any other life insurance policy issued by the insurer; and • you must be aged less than 65 years at date of application. To apply for an increase of cover based on any of the applicable events, a Life Stage Cover form must be completed and certified documentary evidence must be supplied to support your application. Important note: any increase to TPD cover is restricted to the increase in the level of Death cover. 

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Premiums and fees

Premiums and fees

There are three fee options available to you where you have Personal Insurance. The options are as follows:

Premium rates

1. Flat fee

Premium Rates for Personal Insurance are available anytime on our website at www.netwealth.com.au or by calling our Investor Services Team on Freecall 1800 888 223. These premium rates are based on such factors as age, gender, occupation and whether or not you are a smoker.

Where this option is selected your adviser will receive adviser remuneration of 20% p.a. of your gross calculated annual premium each year, or an amount less than this, as negotiated with your adviser. netwealth will receive 6.5% p.a. of the gross calculated annual premium each year as an administration fee.

Each 30 June, we will adjust your premium (if any) according to your age next birthday. You can obtain the current Personal Insurance premium rates or a Personal Insurance premium quote at any time on our website. If you are a member of Employer Sponsored Super, your premium rates may be different to the Personal Insurance rates. Please contact us for a premium quote on Freecall 1800 888 223. At the date of this document, the insurer has guaranteed that the premium rates provided for Death and Total & Permanent Disability cover and Income Protection cover will apply until 30 June 2013. The insurer reserves the right to alter the premium rates under the policy in the event of any war or invasion in which the Commonwealth of Australia’s armed forces becomes involved or if there are changes to taxation provisions impacting the insurer.

Fees and Adviser Remuneration Your financial adviser will normally be paid ongoing remuneration in relation to insurance. Where you have Personal Insurance, you may also agree with your adviser to pay adviser remuneration on commencement of your cover (Year 1 remuneration). The amounts of Year 1 and ongoing remuneration are negotiable with your financial adviser. The level of remuneration that you negotiate for Year 1 will also determine the level of ongoing remuneration that your adviser receives after the first year. If you do not have an adviser you will not be charged any fees relating to adviser remuneration. You may terminate the appointment of your financial adviser at any time by written notice to netwealth. The premium rates include the effect of GST. The netwealth Superannuation Master Fund is entitled to receive a reduced input tax credit (RITC) on the goods and services tax (GST) payable on fees and on remuneration paid to advisers in relation to your insurance cover. The value of the RITC is passed on to you by reducing the fee or premium by the amount of the RITC. RITCs are not applied until the premium or fee is actually deducted from your account. As a result, the premiums deducted from your account may be slightly lower than the gross calculated premium.

Example of remuneration If your gross annual premium each year is

$250.00

Your adviser will receive 20% remuneration each year

$50.00

netwealth will retain an administration fee of 6.5% each year

$16.25

The insurer will receive

$183.75

The ongoing adviser remuneration will be calculated and paid on a monthly basis as part of the monthly premium deduction. If you have no adviser, or have negotiated ’nil’ adviser remuneration, the premium charged to your account will comprise the amounts paid to the insurer and to netwealth only. Based on the above example: Your gross annual premium will be

$200.00

netwealth will retain an administration fee of 6.5% each year

$13.00

The insurer will receive

$187.00

The amount deducted from your cash account will be less than the gross annual premium once the effect of RITC is taken into account. The adviser remuneration and netwealth administration fee are included in the premium and are not deducted separately from your account. 2. Upfront fee Where this option is selected a total amount of 100% of your gross calculated annual premium will be paid to your adviser as year 1 remuneration when your insurance cover commences. Ongoing remuneration will be paid to your adviser in year two (and annually after that) of 14% of the premium at the time of calculation and netwealth will receive 7.5% p.a. of the premium in year two (and annually after that) as an administration fee. The premium will be subject to a loading of 12.06%. Example of remuneration in the first year Gross initial annual premium including 12.06% loading $280.15 Your adviser will receive 100% as year 1 remuneration

$280.15

netwealth will retain an administration fee of 0%

$0.00

The insurer will receive

$0.00

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Premiums and fees

Example of ongoing remuneration from year 2 If your gross annual premium is

$288.551

Your adviser will receive 14%

$40.40

netwealth will retain an administration fee of 7.5%

$21.64

The insurer will receive

$226.52

The premium amount deducted from your cash account will be less than the gross annual premium once the effect of RITC is taken into account. The ongoing adviser remuneration will be calculated and paid on a monthly basis as part of the monthly premium deduction. The adviser remuneration and netwealth administration fee are included in the premium and are not deducted separately from your account. Where you leave the Fund or otherwise cease your insurance cover in the Fund during the first 12 months, the full amount of the remuneration that has been paid in year 1 to your adviser will be recouped from your adviser. 3. Hybrid fee Where this option is selected, remuneration will be paid to your adviser, and fees to netwealth, based on the gross calculated premium at that date and the premium will be subject to a loading of 14.74%, as follows: netwealth

adviser

Year 1

7.5%

74%

Year 2

7.5%

24%

Year 3

7.5%

26%

Year 4 and after

7.5%

28%

The amount deducted from your cash account will be less than the gross annual premium once the effect of RITC is taken into account. The ongoing adviser remuneration will be calculated and paid on a monthly basis as part of the monthly premium deduction. The adviser remuneration and netwealth administration fee are included in the premium and are not deducted separately from your account. Where you leave the Fund or otherwise cease your insurance cover in the Fund during the first 12 months, the full amount of the remuneration that has been paid in Year 1 to your adviser will be recouped from your adviser.

Employer Sponsored Super Where your employer has an Employer Group Plan and has negotiated to pay remuneration to their adviser, the fee structure applicable to Employer Group Plans is the same as the Flat Fee option described above. Full details of the premium rates applicable to your Employer Group Plan can be obtained from your financial adviser or us. The premium rates are made up as follows: 73.5%

Premium payable to insurer

6.5%

Administration fee charged by netwealth

20%

Remuneration payable to your adviser

Your employer may negotiate a lower remuneration rate with their adviser, and if there is no adviser, your premium rate will be adjusted to reduce the ongoing remuneration payable to zero. Example of remuneration Where adviser remuneration of 20% p.a. is negotiated with your Employer Group Plan adviser – with a gross calculated premium of $250.

Example of remuneration in the first year Gross initial annual premium including 14.74% loading $286.85

If your gross annual premium each year is

$250.00

Your adviser will receive 74% as year 1 remuneration

$212.27

Your adviser will receive

$50.00

netwealth will retain an administration fee of 7.5%

$21.51

netwealth will retain an administration fee of 6.5%

$16.25

The insurer will receive

$53.07

The insurer will receive

$183.75

Example of ongoing remuneration from Year 2 Year 2

Year 3

Gross annual premium2

$295.46

$304.32

Your adviser will receive

$70.91

$79.12

$87.77

We will receive

$22.16

$22.82

$23.51

$202.39

$202.37

$202.17

The insurer will receive

Year 4 etc $313.45

Where ‘nil’ remuneration is negotiated with your Employer Group Plan adviser the premium charged will comprise the amounts paid to the insurer and netwealth only. Based on the above example: Your gross annual premium will be

$200.00

netwealth will retain an administration fee of 6.5% each year

$13.00

The insurer will receive

$187.00

1

Assumes that your premium increases by 3% based on your age and any CPI increases.

2

Assumes that your premium increases by 3% each year based on your age next birthday and any CPI increases.

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Premiums and fees

For details of the premium rates applicable to your Employer Group Plan, please contact your financial adviser or us. Important note: Where you are an Employer Sponsored Super member and your employer does not have an Employer Group Plan and you wish to purchase insurance cover, you will be insured under Personal Insurance. The Personal Insurance fees and adviser remuneration will apply. You can therefore negotiate with your financial adviser which fee option will apply to your cover from the upfront, hybrid or flat fee options as previously described.

Premium payment The monthly premium payments for your Death, Total & Permanent Disability (TPD) and/or Income Protection insurance cover will be deducted in arrears from your cash account. For the first month you are covered, your premium will be charged pro-rata from the day the cover commenced until the end of that month, and will be added to the next advance monthly premium charge. If you are a new member, your cover will be terminated 120 days after you became a member of the netwealth Superannuation Master Fund if your premiums have not been paid during that time. Your premium payments will continue to be deducted until you provide us with written notification that cover is no longer required. If there are insufficient funds in your account to pay premiums, your cover will be terminated 60 days after the day on which your premium was last due. It is therefore important that you ensure you have sufficient funds in your account to provide for your premium payments as they fall due. As premiums are deducted from your cash account, you should ensure that there is sufficient available cash to cover these premiums as they fall due. Please refer to Information Guide 2: Operating your account for further information about your cash account. A word of warning As with any insurance policy, continuing cover is dependent on premiums being paid and up to date. It is important to note that the netwealth Superannuation Master Fund insurance cover only applies if you have a sufficient balance in your account to cover the cost of your premiums – see ‘Premiums and fees’ on pages 18 to 20. If you do not have a sufficient account balance to cover your premiums, you will not have the netwealth Superannuation Master Fund Insurance. As detailed above, your insurance cover will lapse 60 days after the day on which your last premium was due.

If required, you can make extra contributions directly (or via your employer) to your account to maintain a sufficient account balance to pay your premiums. Please refer to Information Guide 5: Contributions to Superannuation or contact netwealth to find out how to make additional contributions. If your insurance cover lapses, a Personal Statement and possibly medical evidence will be required to reinstate any cover.

Applying for cover If you are: • a Personal Super member; • an Employer Sponsored Super member and your employer does not have an Employer Group Plan (or the type of insurance cover you want); or • an Employer Sponsored Super member and you want to apply for more cover than available under the automatic acceptance limit applicable to your Employer Group Plan; you can apply for cover or additional cover by completing an Application Form and Personal Statement at the back of this Insurance Guide. Depending on the type and level of cover you apply for, you may be required to complete further documentation and/or undergo medical examinations. Please refer to the section headed ‘Underwriting requirements’ on page 24, which details the level of medical and/or financial information we will require when processing your application. The insurance quote available at www.netwealth.com.au will also indicate any additional underwriting requirements that may be necessary when applying for cover in the netwealth Superannuation Master Fund.

Interim cover – Death Only insurance or TPD insurance While your application for Death Only insurance or TPD insurance is being assessed, you will be provided with interim Accidental Injury cover. The interim cover will apply until the earliest of: • 90 days after the insurer receives the fully completed Application Form and Personal Statement; • the application is either accepted or declined by the insurer; • you cancelling or withdrawing the application; and • the date the cover would have otherwise ceased under the policy.

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Premiums and fees

‘Accidental Injury’ means a physical injury that is caused solely and directly by violent, visible, external and unexpected means that is not traceable, even indirectly to any pre-existing mental or physical condition. The maximum benefit payable by the insurer under interim cover will be the lesser of: • the total amount of insurance applied for; and • $2,000,000. No benefit will be payable if death occurs or disability arises during the interim accidental cover period, directly or indirectly as a result of any event or activity for which the insurer would not normally provide cover at standard rates and terms.

Interim cover – Income Protection insurance While your application for Income Protection insurance is being assessed, you will be provided with interim Accidental Injury cover. The interim cover will apply until the earliest of: • 90 days after the insurer receives the fully completed Application Form and Personal Statement; • the application is either accepted or declined by the insurer; • you cancelling or withdrawing the application; and • the date the cover would have otherwise ceased under the policy. The benefit will be paid in the event of you suffering an Accidental Injury which results in your disability (‘Accidental Injury’ has the same meaning as above). The maximum monthly benefit payable by the insurer under interim cover will be the least of: • the total amount of insurance applied for; • the benefit that would normally be acceptable under the insurer’s underwriting rules; and • $15,000 per month. The benefit period will be the benefit period selected in your application or to age 65 if earlier. No benefit will be payable if death occurs or disability arises during the interim accidental cover period, directly or indirectly as a result of any event or activity for which the insurer would not normally provide cover at standard rates and terms. Cooling-off period for insurance Please note that the cooling-off period lasts for 14 days and starts from the day you receive a letter of acceptance of the insured amount, or the fifth business day after netwealth sends this letter of acceptance to you – whichever is the earlier. Within the cooling-off period you may cancel the insurance cover and receive a full refund of any premiums paid.

To do this, please return the letter of acceptance to us, and request in writing for your cover to be cancelled. If you have exercised any right or power you hold under the terms of the policy during the cooling-off period, you immediately forfeit the right to cancel your policy.

Changing your cover Once your application has been accepted, you can apply to have your level of cover varied. For an increase, complete the Application Form and Personal Statement at the back of this Insurance Guide and indicate that you wish to increase your cover. Other changes can also be made such as changing your occupation or smoking status, contact netwealth for the appropriate forms to do this. Before any requests can be approved, you may be required to provide us with further information. Where an increase to any type of insurance cover is affected it must be on the same fee option as the original cover. The original start date of the insurance cover determines the adviser remuneration and fees payable. If you wish to decrease your amount of cover, you must notify us in writing. Most members will have their level of cover increased by the CPI at the annual review date of 30 June each year. The increase of cover will be the lesser of CPI and 5% and you should be aware that your premium will change in line with the new amount of cover. This annual CPI increase of cover will apply for all members of the netwealth Superannuation Master Fund who have a nominated sum insured (Death Only, Death & TPD and/ or Income Protection Insurance). Please note that the CPI increases also apply to Employer Group Plan members, except for those Employer Group Plans which have their sum insured based on a fixed formula or fixed premium basis (refer to Employer Sponsored Group Insurance Options on pages 15 and 16). Members can notify us in writing if they wish to opt-out of the CPI arrangements. All notifications of an opt-out to the CPI arrangement will only come into effect on the next 30 June following receipt of your notification. Where a member has chosen to opt out of CPI increases they are no longer able to opt in to CPI increases at a later date.

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Premiums and fees

Occupational loadings The more risky your occupation is deemed to be, the higher your premium rates will be. Under the policy, the occupational classes are defined as follows: Professional worker – defined as: a) accountants, doctors, lawyers or other like professionals; and b) typically hold a tertiary qualification; and c) hold membership of a professional body or association; OR a) senior executives of companies with at least twenty (20) staff members; and b) have an annual salary in excess of $100,000; and c) satisfy the definition of a White collar worker. White collar worker – the duties of the member to be insured: a) are professional, managerial, administrative or similarly sedentary in nature; and b) do not involve any manual labour; and c) are undertaken entirely in an office or similar environment (excluding travel to and from the office or similar environment). Light blue collar: fully qualified trades people performing occupations involving light to medium manual work. Also includes office workers performing more than 10% of their duties outside the office. Heavier blue collar: includes both skilled and unskilled manual workers who are not exposed to unusual accident or health hazards, but perform heavier duties than typical light blue collar occupations.

Continuation option If you leave the netwealth Superannuation Master Fund or rollover to an income stream within the netwealth Superannuation Master Fund and you had Death Cover, you will have a 60-day period of free Death Cover, provided you are under the age of 60 and left for reasons other than sickness or injury. Subject to the insurer’s approval, your cover will be effective from the day you leave the netwealth Superannuation Master Fund or rollover within the Fund. During this period you have the option to apply for an individual Death Only insurance policy offered by the insurer. The amount of cover you apply for must not exceed the sum of the insurance cover that you had upon leaving the netwealth Superannuation Master Fund or transferring to a netwealth Superannuation Master Fund income stream product.

Eligibility to exercise the continuation option will be subject to: • satisfactory completion of the insurer’s Continuation Option Application Form; and • the availability of the most closely suited individual policy as offered by the insurer from time to time. If you wish to exercise a continuation option, you should contact AIA Australia (the insurer) directly on Freecall 1800 333 613.

Leaving the netwealth Superannuation Master Fund If you close your account in the netwealth Superannuation Master Fund, by receiving a lump sum benefit payment or rolling over your funds to another superannuation entity, then you will not be entitled to any further benefits from the netwealth Superannuation Master Fund. This will include life insurance benefits, notwithstanding a continuation option being made available to you, as described above.

Transferring from Employer Sponsored Super to Personal Super If you cease employment and are required to leave Employer Sponsored Super you may transfer your benefit to Personal Super. As explained in the PDS (in the section titled “The Superannuation Service” under the heading “Leaving current employment”), where your account balance is over $1,000 your benefit will be automatically transferred from Employer Sponsored Super to Personal Super. If your benefit is transferred and, at that time, you had insurance cover and your premiums were up to date, you will generally retain the same level of Death Only Cover or Death & TPD Cover that you had in Employer Sponsored Super without the need to provide a Personal Statement or medical evidence. Employer Group Plan insurance to Personal Insurance Where you were insured under an Employer Group Plan, your premiums will generally increase in Personal Super and will be based on the occupational rating that was applicable to your Employer Group Plan and on smoker rates. To find out the occupational rating and smoker status that applies to you and applicable premiums, please contact us. To advise us of your occupation or smoker status, please complete the ‘Insurance Occupation Questionnaire’ or the ‘Insurance Non Smoker Declaration’, as applicable. Both are available on the website, from your adviser or by calling us. Important note: If you had Income Protection insurance under an Employer Group Plan this cover does not automatically transfer from Employer Sponsored Super to Personal Super.

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Further information

Personal Insurance to Personal Insurance

Consequences of non–disclosure

If you had Personal Insurance in Employer Sponsored Super (that is, you made a personal application for insurance, completed a Personal Statement and/or were personally underwritten) you will retain the occupational rating and smoker status that you had in Employer Sponsored Super.

If you fail to comply with your duty of disclosure and the insurer would not have entered into the contract on any terms if the failure had not occurred, the insurer may avoid the contract within three years of entering into it. If your nondisclosure is fraudulent, the insurer may avoid the contract at any time. An insurer who is entitled to avoid a contract of insurance may, within three years of providing it, elect not to avoid but to reduce the sum that you have been insured for in accordance with a formula that takes into account the premium that would have been payable had all the relevant matters been disclosed.

If your occupation has changed and you wish to advise us of your current occupation, please complete the ‘Insurance Occupation Questionnaire’, available on the website, from you adviser or directly from us.

Making a claim If you need to make a claim, you should notify us in writing as soon as reasonably practicable after the insured event occurs. We will then provide you with the relevant claim forms. You may be required to provide medical and financial evidence to substantiate your claim, so that it may be properly assessed. You may also be required to attend medical examinations and complete authorities for the insurer to obtain additional information. Upon receipt of all the required claim forms and evidence, we will endeavour to have your claim assessed within approximately 12 business days.

Further information Complaints netwealth has procedures in place to consider and deal with any complaints within 45 days. See the Complaints section in the PDS.

Your duty of disclosure Before you enter into a contract with or become insured by the insurer you have a duty under the Insurance Contracts Act 1984 to disclose to the insurer every matter that is known, or could reasonably expected to be known, that is relevant to their decision whether to accept the risk of insurance, and if so, on what terms. The same duty of disclosure to disclose these matters to the insurer applies before you renew, extend, vary or reinstate your life insurance contract. Your duty does not, however, require you to disclose a matter: • that diminishes the risk to be undertaken by the insurer; • that is common knowledge; • that the insurer knows, or in the ordinary course of business should know; or • if your duty to disclose is waived by the insurer.

Privacy and your personal information The privacy of your personal information is important to netwealth. We will only collect personal information from you where it is necessary to: • properly assess your application for insurance; • administer and manage your policy; and • consider any claims you make. The insurer from time to time may also need to disclose your personal information to third parties such as re-insurers, medical practitioners, financial professionals and judicial or dispute resolutions bodies. We and the insurer will only disclose your personal information to third parties for the purpose for which it was collected. If you wish to access the personal information we have collected from you, please contact us in writing.

Risks associated with insurance It is important that you are aware of significant risks associated with these insurance arrangements. These risks are outlined as follows: Change of insurer risk netwealth has the right to change the Insurer by giving you 30 days’ notice. Future insurability risk As you get older there is a risk that you may not be able to obtain insurance, or obtain insurance with a significant premium loading or restriction/s. It is recommended that you consider this if you are considering cancelling your insurance cover. Low account balance risk There is a risk that your cover may lapse if there are insufficient funds in your Superannuation Master Fund account to pay your insurance premiums. To avoid this occurring, you may need to make personal contributions to ensure that there are sufficient funds in your cash account to pay your premiums when they are due.

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Further information

Limitations and exclusions to cover risk

Access to your information

Insurance policies tend to have various limitations and exclusions that may apply to your cover. It is important that you understand these limitations and exclusions.

If you fail to comply with your duty of disclosure the insurer may be able to avoid your insurance cover.

You are entitled at any time to request access to your personal information held by AIA Australia. All requests should be made in writing to the Compliance Manager, AIA Australia, PO Box 6111, St Kilda Road Central, Victoria 8008. You can ask AIA Australia to update your personal information at any time if it is inaccurate, incomplete or out of date.

Pre-existing conditions risk

Disclosure of information

If you apply for cover, or an increase in cover, you must disclose any pre-existing conditions with your request for cover or increase in cover. Non-disclosure could result in a claim being declined by the insurer.

AIA Australia may disclose your personal information to:

Replacing or changing your insurance

• mail houses and archive companies.

The terms and conditions between insurance policies can vary significantly. It is important that you compare differences when you are looking at replacing or cancelling your cover.

AIA Australia will only disclose your personal information to these parties for the primary purpose for which it was collected. In some circumstances, AIA Australia is entitled to disclose your personal information to third parties without your authorisation, such as law enforcement agencies or government authorities to protect our interests or to report illegal activities.

Non-disclosure risk

Policy details Full details of the insurance cover available to you in the netwealth Superannuation Master Fund are in the Insurance Policy that netwealth (as Trustee of the Fund) has with AIA Australia. A copy of the policy can be obtained free of charge by contacting our Investor Services team on Freecall 1800 888 223.

Insurer’s Privacy Statement AIA Australia follows the National Privacy Principles developed under the Privacy Amendment (Private Sector) Act 2000. AIA Australia will adhere to the privacy policies and procedures adopted by netwealth to protect its members’ personal information. AIA Australia provides you with the following information regarding privacy procedures and your rights. AIA Australia’s privacy policies and procedures may be found at www.aia.com.au. Purpose of collection AIA Australia collects personal information about you to: • process application(s) for insurance cover or changes to insurance cover; • administer and manage the policies, including claims; and • facilitate AIA Australia’s business operations. If you do not wish to provide all or part of the personal information requested, AIA Australia may not be able to provide you with the level of insurance cover you have applied for.

• AIA Australia contractors and third party service providers, for example medical practitioners and re-insurers; • financial institutions you nominate; and

Any questions or concerns on privacy? If you have any questions or concerns about your personal information, please write to the: Compliance Manager AIA Australia PO Box 6111 St Kilda Road Central, Victoria 8008 AIA Australia has given its consent to the use of its Privacy Statement.

Underwriting requirements Details of current underwriting requirements are available on our website, www.netwealth.com.au or by contacting netwealth. If you are applying for Personal Insurance, you will need to complete an Application Form and Personal Statement attached to this Insurance Guide. In some cases this will be all the information you need to provide, however, based on the information contained in your Personal Statement, you may be requested to complete further questionnaires. If you apply for a level of cover above certain limits (available on our website) further medical evidence will be required. If your cover is via an Employer Group Plan there are no underwriting requirements unless you wish to increase your cover above the automatic acceptance limits, in which case you should contact netwealth for information that may be required for underwriting purposes.

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Glossary

Glossary Accidental death cover Death directly or indirectly caused as a result of an unforeseen and unintended accident happening to an insured member and caused by violent, external and visible means. At work ‘At work’ means that the member: • is actively performing or is capable of performing all the duties and hours of his or her usual occupation; and • in the insurer’s opinion, is not restricted by sickness or injury from carrying out the usual duties of their occupation; and • is not in receipt of, or entitled to claim, any income support benefits from any source including workers’ compensation benefits, statutory transport accident benefits and disability income benefits; or • is a person who is on approved leave (parental leave, annual leave, bereavement leave, long service leave or any other leave approved by an employer who participates in an Employer Group Plan, or arising from the operation of any law other than leave taken for reasons related to injury or sickness). Automatic acceptance limits The maximum amount of cover that can be provided to an Employer Sponsored Super member without any underwriting requirements, where their employer has established an Employer Group Plan. See pages 15 and 16 for further details. Continuation option The option for a member leaving the Fund, who had Death cover, to take up Death Only cover with the insurer without the need for further underwriting or medical evidence. Cooling-off period The 14-day period from the date a member is advised of acceptance of cover, where the member has the opportunity to not take up the cover and be refunded any premiums that may have been charged.

Employer Sponsored insurance Insurance cover applicable to members of Employer Sponsored Super, where the member’s employer has established an Employer Group Plan for insurance. Goods and services tax (GST) A tax on the supply of goods and services. Group Life and Income Protection insurance Group Policies and Income Protection insurance policies. Group Policy The policy taken out by netwealth described in the section commencing on page 5. Income Protection insurance See the description on page 11. Insurance quote Quotation of annual premiums applicable to a certain amount of cover at a given point in time. insurer The insurance company that issues the insurance policy. LifeWRAP Individual Policy An insurance policy available through LifeWRAP. LifeWRAP enables members to access individual Life insurance through the Fund. New Events cover New Events cover is applicable to Employer Group Plans and means cover other than cover in relation to the medical condition or any directly or indirectly related condition arising from sickness or injury which has caused the member either: • to not be ‘at work’ on the date of commencement of membership of the Fund or employment; or • in respect of any event occurring in the period prior to the commencement of membership of the Fund or employment to be absent from work or to be working in a reduced capacity on the date of commencement of membership of the Fund or employment.

Death Only Cover, Death Only Insurance and Death Only insurance cover See the description on page 5.

Occupational loading A premium loading, determined by the insurer, applicable to the standard premium rates, usually based on the insured member’s occupation, pastimes or health and medical history.

Employer Group Plan An arrangement where employers have applied for automatic acceptance limits for their employees, subject to certain conditions being met.

Occupational rating Rating factor applied by the insurer based on the type of occupation that a Personal Insurance member is employed in.

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Glossary

Ongoing adviser remuneration An ongoing fee that you may have negotiated with your financial adviser, which is included in the monthly premium deducted from your cash account. See pages 18 and 19 for further details. Personal Insurance Insurance cover applicable to members of Personal Super and Employer Sponsored Super (where the member’s employer has not established an Employer Group Plan for insurance). Personal Statement Statement attached to the Application Forms at the back of this Insurance Guide which collects minimum health details for Personal Insurance. Pre-existing condition An injury or a sickness which first occurred before the insured member had cover. Premium Rates Rates provided by the insurer to be applied in the calculation of your gross annual premium. Current premium rates for Personal Insurance are published on the website, for Employer Group Plan premium rates, please contact netwealth. Reduced input tax credit (RITC) GST that can be claimed back from the ATO in certain circumstances. Special acceptance terms Special conditions that the insurer may place on your cover after you have been through the underwriting process. This may relate to pre-existing conditions, or may limit the circumstances in which a benefit will be paid to the Fund on your behalf. Total & Permanent Disability (TPD) cover, TPD insurance and TPD insurance cover See description on page 7. Trustee netwealth as trustee of the netwealth Superannuation Master Fund. Underwriting requirements Medical evidence, including blood tests, that the insurer may request before agreeing to insure a member. Financial information may also be required in some instances. Upfront and ongoing remuneration A fee you may have negotiated with your financial adviser, dependent on the fee option you have elected to apply to your insurance cover within the Fund. This is payable to your adviser as detailed on pages 18 and 19.

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Forms you need to complete

Forms you need to complete LifeWRAP Individual Policy To apply for a LifeWRAP Individual Policy

LifeWRAP Individual Policy Consent

Page 29

AND



Insurance application for the chosen product

Available with the PDS for the chosen product

Personal Insurance - Short personal statement

Page 31

Personal Insurance - Application and personal statement

Page 35

Personal Insurance transfer

Page 43

Group Policy To apply for Personal Insurance under the Group Policy. If you: • are under age 55; and • require Death and TPD Cover less than $1million; and/or • require Income Protection less than $8,000 per month. To apply for Personal Insurance under the Group Policy. If you: • are over age 55; or • require more than $1million death and/or TPD Cover; or • require Income Protection for more than $8,000 monthly benefit; or • require Agreed value Income Protection. To transfer existing insurance cover to the Group Policy

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Forms you need to complete

Notes

29

netwealth Superannuation LifeWRAP individual policy consent NWINSUINSR

Please use BLACK pen and BLOCK letters.

This form accompanies the Insurance Guide, referred to in the netwealth Super Wrap PDS (dated 11 October 2011) and the netwealth Super Accelerator PDS (dated 23 April 2012). The PDS contains important information regarding membership of the netwealth Superannuation Master Fund. You should read the PDS, the Insurance Guide and the Information Guides referred to in the PDS.

Step 1. Provide member details Client name

Client number Insurer policy number

netwealth account number Insurer

AIA

TAL

Step 2. Read this privacy statement netwealth respects and protects your privacy. The netwealth privacy policy describes how we collect, use, disclose and handle your personal information. netwealth may collect, use or disclose your and any insured persons’ personal information (including health and sensitive information) to assist you in applying for insurance and making any claim under the policy. Any information, including health and sensitive information, is collected by netwealth directly from you or from the insurer to assist with the underwriting or claims assessment by the insurer. If this information is not provided, your application for insurance or an insurance claim may not be processed by the insurer. netwealth may disclose your and any insured persons’ personal information (including health and sensitive information) to the insurer and a range of service providers including financial advisers, re-insurers, past or present medical practitioners, health professionals, hospitals, government department(s) which retain health records or as part of our regulatory requirements, personal accountants, current or former employers, lawyers, claim investigators and other third party service providers. You and any insured persons have a right to access any personal information held about you unless netwealth is legally entitled to deny access. If you wish to access the personal information we have collected from you, please contact us in writing. A copy of netwealth’s privacy policy can be obtained by visiting www.netwealth.com.au. The privacy of your personal information is important to netwealth. We will only collect personal information from you or the insurer where it is necessary to administer your linked insurance policy. The insurer from time to time may also need to disclose your personal information to third parties such as re-insurers, medical practitioners, financial professionals and judicial or dispute resolutions bodies. We and the insurer will only disclose your personal information to third parties for the purpose for which it was collected and any related secondary purpose.

Step 3. Read and sign this declaration 1. I authorise netwealth to deduct from my cash account the insurance premium calculated by the insurer and to pay this amount to the insurer on my behalf. 2. I consent to netwealth charging my cash account the LifeWRAP administration fee as described in the netwealth Super Wrap or netwealth Super Accelerator Product Disclosure Statement (PDS) under the heading “LifeWRAP administration fee” and deducting it monthly from my cash account. 3. I have read the insurer’s current Product Disclosure Statement and acknowledge that any insurance cover will only be provided to netwealth (on my behalf) by the insurer on the terms and conditions set out in the policy with the insurer and that all decisions relating to insurance cover and claims under the policy are made by the insurer. 4. If there is insufficient cash in my cash account to pay the insurance premiums as they fall due, I authorise netwealth to redeem units from the largest managed fund investment holding in my portfolio (at its discretion) and use the proceeds to top up my cash account. If there are still insufficient funds after redeeming all of my managed fund investments I authorise netwealth to sell the largest holding in ASX listed securities or any other investment held to top up my cash account, or such other investment/s as I have previously instructed netwealth about. 5. Despite paragraph 4 above, I understand that it is my responsibility to ensure that there is sufficient cash in my cash account to pay the insurance premiums for my insurance cover and if, for any reason, there is insufficient cash in my cash account to pay the insurance premiums as they fall due, my insurance policy with the insurer will lapse 60 days after the insurance premium due date.

MOT-S-LIPC_0812

6. I have read the privacy statement and I consent to my and any insured persons’ personal information (including health and sensitive information) being collected, used and disclosed by netwealth and the insurer including to each other and to their external service providers/contractors and third parties as contemplated in the privacy statement in order to assess, verify or process my application for insurance with the insurer or any claim I may make under the policy. 7. netwealth has agreed with the insurer that netwealth will receive a LifeWRAP Policy fee as described in the netwealth Super Wrap or netwealth Super Accelerator PDS for providing services to the insurer under an administration agreement in relation to the LifeWRAP Individual Policies offered as part of the netwealth Superannuation Master Fund. (Note that this is not an additional charge to you but paid by the insurer. Advisers employed by our related parties may also receive commissions or other benefits from the insurer). Client initial

netwealth Investments Limited ABN 85 090 569 109 AFSL 230975, Trustee of the netwealth Superannuation Master Fund ABN 94 573 747 704. netwealth Super Wrap and netwealth Super Accelerator are products available in the Fund.

2432

TC2036

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30

Step 3. Read and sign this declaration (continued) Name

Date D

Signature

D /M

M / Y

Y

Step 4. Once completed please send to us Mail

netwealth Investments Limited Reply Paid 336 SOUTH MELBOURNE VIC 3205

Fax Email

(03) 9655 1333 [email protected]

MOT-S-LIPC_0812

If you have any questions please contact your adviser or call us on Freecall 1800 888 223.

Client initial

netwealth Investments Limited ABN 85 090 569 109 AFSL 230975, Trustee of the netwealth Superannuation Master Fund ABN 94 573 747 704. netwealth Super Wrap and netwealth Super Accelerator are products available in the Fund.

2432

TC2036

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netwealth Superannuation Personal Insurance Short personal statement

NWINSUSPSP

Please use BLACK pen and BLOCK letters. This form accompanies the Insurance Guide, referred to in the netwealth Super Wrap PDS (dated 11 October 2011) and the netwealth Super Accelerator PDS (dated 23 April 2012). The PDS contains important information regarding membership of the netwealth Superannuation Master Fund. You should read the PDS, the Insurance Guide and the Information Guides referred to in the PDS. You cannot complete this form if you: • are aged 55 or older; • require more than $1,000,000 Death and Total & Permanent Disablement insurance cover; • earn over $128,000 per annum and therefore require more than $8,000 monthly benefit of Income Protection cover; or • wish to apply for agreed value Income Protection cover. If you meet one of the above criteria please complete the Application form and personal statement.

Disclosure notice Your duty of disclosure – Before you enter into a contract with or become insured by the insurer you have a duty under the Insurance Contracts Act 1984 to disclose to the insurer every matter that is known, or could reasonably expected to be known, that is relevant to their decision whether to accept the risk of insurance, and if so, on what terms. The same duty of disclosure to disclose these matters to the insurer applies before you renew, extend, vary or reinstate your life insurance contract. Your duty does not, however, require you to disclose a matter: • that diminishes the risk to be undertaken by the insurer; • that is common knowledge; • that the insurer knows, or in the ordinary course of business should know; or • if your duty to disclose is waived by the insurer. Non-disclosure – If you fail to comply with your duty of disclosure and the insurer would not have entered into the contract on any terms if the failure had not occurred, the insurer may avoid the contract within three years of entering into it. If your nondisclosure is fraudulent, the insurer may avoid the contract at any time. An insurer who is entitled to avoid a contract of insurance may, within three years of providing it, elect not to avoid it but to reduce the sum that you have been insured for in accordance with a formula that takes into account the premium that would have been payable had all the relevant matters been disclosed.

Step 1. Provide member details Exisiting netwealth clients Client name

Client number

Account number

New clients Mr/Mrs/Miss/Ms/Dr/Other

Family name

Given name(s) Date of birth

D

D /M

M / Y

Y

Sex

Male

Female

Residential address Suburb/town Postcode

2432

MOT-S-SPSP_0812

State

AIA Australia Limited ABN 79 004 837 861 AFSL 230043. netwealth Investments Limited ABN 85 090 569 109 AFSL 230975, Trustee of the netwealth Superannuation Master Fund ABN 94 573 747 704. netwealth Super Wrap and netwealth Super Accelerator are products available in the Fund.

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Step 2. Nominate adviser and adviser fees Adviser name

Dealer code

Adviser stamp

Adviser code

Please select the fee structure that will apply to any new insurance – as negotiated with your adviser*. This will apply to new insurance attached to your account. Do not complete the fee option if you have existing cover with the netwealth Superannuation Master Fund. Increases to any type of insurance will retain the same fee option as the original cover. Flat fee

Annual adviser remuneration

% (0-20%)

Upfront fee

Adviser remuneration Year 1 – 100%, Year 2 onwards – 14%

Hybrid fee

Adviser remuneration Year 1 – 74%, Year 2 – 24%, Year 3 – 26%, Year 4 onwards – 28%

Please refer to the Insurance Guide for a full description of the remuneration associated with each option. *Where you have no adviser the fee structure will automatically default to Flat fee with 0% ongoing remuneration.

Step 3. Insurance options OR

New insurance

Increase to existing insurance (if applying for an increase please enter total required insurance amounts below)

Type of insurance Death only (only complete this section where no TPD cover is required) 1)

Sum insured

2)

$

,

,

I wish to opt out of annual CPI increase

Death and Total & Permanent Disability 1)

Sum insured

$

2)

TPD options (select one)

,

,

If TPD cover required is less than death cover, please specify

$

,

,

Standard (any occupation) or activities of daily living. Own occupation (please refer to the Insurance Guide for details of eligible occupations). A 50% loading will apply to own occupation TPD cover. 3)

I wish to opt out of annual CPI increases.

Income protection 1)

Amount of income insured

% (up to 75% of Annual income)

OR Fixed amount of $

,

per month (monthly benefit can be up to 75% of annual income as described in the Insurance Guide)

PLUS (optional) Superannuation contributions

Benefit payment period (select one)

30 days

2 years

60 days

Up to age 65 (no escalation)

90 days

Up to age 65 (with escalation)

I wish to opt out of annual CPI increases

2432

3)

Waiting period (select one) AND

MOT-S-SPSP_0812

2)

% up to 10% of annual income (these are paid directly to your superannuation account)

AIA Australia Limited ABN 79 004 837 861 AFSL 230043. netwealth Investments Limited ABN 85 090 569 109 AFSL 230975, Trustee of the netwealth Superannuation Master Fund ABN 94 573 747 704. netwealth Super Wrap and netwealth Super Accelerator are products available in the Fund.

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33

Step 4. Personal questionnaire and declaration At the date of this application 1)

Do you permanently reside in Australia?

Yes

No

2)

Occupation

Yes

No

on a full time basis, due to an injury or illness (even if you are not currently working on a full time basis or are unemployed)?

Yes

No

6)

Do you drink more than 20 standard drinks per week?

Yes

No

7)

Do you participate or intend to participate in any of the following: Yes

No

Yes

No

Yes

No

Industry Annual salary

$

,

Number of hours worked

,

If you are self employed, please supply evidence of income per week (must be regular and consistent hours each week)

Daily duties (incluing % time spent performing each duty including any manual work):

3)

Please state your height

cm

Please state your weight

4)

Have you smoked any tobacco or any other substance in the last 12 months?

kg

If yes, please state forms and quantities

5)

At the date of this application, are you absent from work or unable to carry out all of the duties of your current or usual occupation

aviation (other than as a passenger on a recognised airline), football (all codes), scuba diving (more than 40 metres), motor racing or any other hazardous activity? 8)

Have you ever suffered symptoms of, or had, or been told you have or received any advice or treatment for: • high blood pressure, high cholesterol, heart complaint, chest pain or stroke; • mental or nervous disorder including stress, anxiety, depression or neurological condition; • cancer or a tumour of any type; • back/joint disorder, arthritis, loss of limb or paralysis; • loss of sight of any eye(s) or blindness; • kidney, bladder, bowel or stomach disorder and or disease; or • diabetes or liver disease (including hepatitis)?

9)

Have you ever: • suffered from AIDS or been infected with the HIV virus; • used or injected yourself with any illicit drugs not prescribed by a medical practitioner; or • engaged in male-to-male anal sexual activity?

2432

MOT-S-SPSP_0812

Important note: if you answered ‘Yes’ to any question from 4 to 9 you are required to complete the Application form and personal statement in the Insurance Guide.

AIA Australia Limited ABN 79 004 837 861 AFSL 230043. netwealth Investments Limited ABN 85 090 569 109 AFSL 230975, Trustee of the netwealth Superannuation Master Fund ABN 94 573 747 704. netwealth Super Wrap and netwealth Super Accelerator are products available in the Fund.

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Step 5. General declaration 1. Truth and accuracy – I hereby declare that to the best of my knowledge and belief all of the answers to questions on this short personal statement are true and accurate and I have not deliberately withheld any information material to the proposed insurance. 2. Changes to contract – I understand that I must advise the Insurer of any material change in my health during the period between the application date shown below and the cover commencement date. I understand that my failure to advise of such a change may make the contract of insurance avoidable by the insurer. 3. Acceptance of this application – I note that this application is subject to acceptance by the Insurer and that the insurance cover does not commence until I have been advised by the insurer or netwealth Investment Limited about the acceptance of my application. 4. Duty of disclosure – I acknowledge that I have read and understood the Disclosure notice at the beginning of this form and understand its contents and what is meant by my duty to disclose and I understand that my duty to disclose continues after I have completed this application until the insurer has accepted the risk. 5. Privacy statement – I have read and understood the ‘Privacy’ section as detailed in the Insurance Guide. I consent to my personal information being collected and used in accordance with the privacy statement. Name

Date D

D /M

M / Y

Y

2432

MOT-S-SPSP_0812

Signature of person to be insured

AIA Australia Limited ABN 79 004 837 861 AFSL 230043. netwealth Investments Limited ABN 85 090 569 109 AFSL 230975, Trustee of the netwealth Superannuation Master Fund ABN 94 573 747 704. netwealth Super Wrap and netwealth Super Accelerator are products available in the Fund.

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netwealth Superannuation Personal Insurance Application and personal statement

NWINSUINPA

Please use BLACK pen and BLOCK letters. This Application form accompanies the Insurance Guide, referred to in the netwealth Super Wrap PDS (dated 11 October 2011) and the netwealth Super Accelerator PDS (dated 23 April 2012). The PDS contains important information regarding membership of the netwealth Superannuation Master Fund. You should read the PDS, the Insurance Guide and the Information Guides referred to in the PDS.

Disclosure notice Your duty of disclosure – Before you enter into a contract with or become insured by the insurer you have a duty under the Insurance Contracts Act 1984 to disclose to the insurer every matter that is known, or could reasonably expected to be known, that is relevant to their decision whether to accept the risk of insurance, and if so, on what terms. The same duty of disclosure to disclose these matters to the insurer applies before you renew, extend, vary or reinstate your life insurance contract. Your duty does not, however, require you to disclose a matter: • that diminishes the risk to be undertaken by the insurer; • that is common knowledge; • that the insurer knows, or in the ordinary course of business should know; or • if your duty to disclose is waived by the insurer. Non-disclosure – If you fail to comply with your duty of disclosure and the insurer would not have entered into the contract on any terms if the failure had not occurred, the insurer may avoid the contract within three years of entering into it. If your nondisclosure is fraudulent, the insurer may avoid the contract at any time. An insurer who is entitled to avoid a contract of insurance may, within three years of providing it, elect not to avoid it but to reduce the sum that you have been insured for in accordance with a formula that takes into account the premium that would have been payable had all the relevant matters been disclosed.

Step 1. Provide member details Exisiting netwealth clients Client name

Client number

Account number

New clients Mr/Mrs/Miss/Ms/Dr/Other

Family name

Given name(s) D

Date of birth

D /M

M / Y

Y

Sex

Male

Female

Residential address Suburb/town State

Postcode

Postal address (optional) Suburb/town State

Postcode

Phone number

(

)

Facsimile

(

)

Work phone (

)

Mobile

MOT-S-INS-APP_0812

Email

2432

Country of residence (if not Australia)

AIA Australia Limited ABN 79 004 837 861 AFSL 230043. netwealth Investments Limited ABN 85 090 569 109 AFSL 230975, Trustee of the netwealth Superannuation Master Fund ABN 94 573 747 704. netwealth Super Wrap and netwealth Super Accelerator are products available in the Fund.

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36

Step 2. Occupation Occupation Industry Annual salary

$

,

Number of hours worked

If you are self employed, please supply evidence of income. per week (Must be regular and consistent hours each week.)

Daily duties (including % time spent performing each duty including any manual work):

Step 3. Nominate adviser and adviser fees Adviser name

Dealer code

Adviser stamp

Adviser code

Please elect the fee structure that will apply to any new insurance – as negotiated with your adviser*. This will apply to new insurance attached to your account. Do not complete the fee option if you have existing cover with the netwealth Superannuation Master Fund. Increases to any type of insurance will retain the same fee option as the original cover. Flat fee

Annual adviser remuneration

% (0-20%)

Upfront fee

Adviser remuneration Year 1 – 100%, Year 2 onwards – 14%

Hybrid fee

Adviser remuneration Year 1 – 74%, Year 2 – 24%, Year 3 – 26%, Year 4 onwards – 28%

Please refer to the Insurance Guide for a full description of the remuneration associated with each option. * Where you have no adviser the fee structure will automatically default to Flat fee with 0% ongoing remuneration.

Step 4. Insurance options OR

New insurance

Increase to existing insurance (if applying for an increase please enter total required insurance amounts below)

Type of insurance Death only (only complete this section where no TPD cover is required) 1) 2)

Sum insured

$

,

,

I wish to opt out of annual CPI increase

Death and Total & Permanent Disability Sum insured

$

2)

TPD options (select one)

,

,

If TPD cover required is less than death cover, please specify

$

,

, MOT-S-INS-APP_0812

1)

Standard (any occupation). Own occupation (please refer to the Insurance Guide for details of eligible occupations). A 50% loading will apply to own occupation TPD cover. I wish to opt out of annual CPI increases.

2432

3)

AIA Australia Limited ABN 79 004 837 861 AFSL 230043. netwealth Investments Limited ABN 85 090 569 109 AFSL 230975, Trustee of the netwealth Superannuation Master Fund ABN 94 573 747 704. netwealth Super Wrap and netwealth Super Accelerator are products available in the Fund.

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37

Step 4. Insurance options (continued) Income protection 1)

Amount of income insured

% (up to 75% of Annual income)

OR Fixed amount of $

,

per month (monthly benefit can be up to 75% of annual income as described in the Insurance Guide)

PLUS (optional) Superannuation contributions 2)

Waiting period (select one) AND

% up to 10% of annual income (these are paid directly to your superannuation account) Benefit payment period (select one)

30 days

2 years

60 days

Up to age 65 (no escalation)

90 days

Up to age 65 (with escalation)

3)

I wish to opt out of annual CPI increases

4)

Agreed value. For full details refer to the Insurance Guide. A 20% premium loading will apply to Agreed value cover. You must select one of the below options and provide the evidence specified with your application. Employed For cover up to $12,500 per month - Income tax return and Notice of Assessment for the last year. For cover above $12,500 per month - Income tax returns and Notice of Assessments for the last 2 years. For cover above $15,000 per month - Income tax returns and Notice of Assessments for the last 2 years plus Statement of Assets and Liabilities (held personally or in Trust), from the insured’s accountant. Self-employed Profit & loss statements for the business or practice (including any trusts if applicable) for the last 2 years. Income tax returns and Notice of Assessments for the insured and all business entities for the last 2 years Statement of Assets and Liabilities (held personally or in trust), from the insured’s accountant for cover of $15,000 per month or more.

Step 5. Personal statement At the date of this application: 1)

Do you permanently reside in Australia?

Yes

No

2)

Are you absent from work or unable to perform your usual duties of your normal occupation?

Yes

No

Yes

No

Yes

No

Yes

No

If yes, please provide details

3)

Has any company ever refused or applied special or modified conditions or cancelled any proposal to insure you for a life or disablement policy?

4)

Have you smoked any tobacco or any other substance in the last 12 months?

5)

Have you used or injected yourself with any prescribed, illegal or illicit drugs?

6)

Please state your height

cm

Please state your weight

kg

AIA Australia Limited ABN 79 004 837 861 AFSL 230043. netwealth Investments Limited ABN 85 090 569 109 AFSL 230975, Trustee of the netwealth Superannuation Master Fund ABN 94 573 747 704. netwealth Super Wrap and netwealth Super Accelerator are products available in the Fund.

2432

If yes, please state forms and quantities

MOT-S-INS-APP_0812

If yes, please provide details

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38

Step 5. Personal statement (continued) 7)

Do you intend to work, live or travel overseas?

Yes

No

Yes

No

If yes, please state the destination, duration, frequency and purpose

8)

Have you ever engaged or are you ever likely to engage in aviation (other than as a fare-paying passenger) or in any hazardous occupation, recreation, pastime, or sport (e.g. motor racing, football, martial arts, scuba diving)? If yes, please provide details

Section A – Medical details Have you ever had or received treatment for or had symptoms of: Yes No

Yes No

a)

High blood pressure or blood disorder e.g. leukaemia, anaemia or haemophili

i)

Cancer, tumour or any form of breast lump (even if you have not seen a doctor)?

b)

Heart, vein or circulatory disorder, including chest pain, heart attack, heart murmur, raised cholesterol or rheumatic fever?

j)

Impairment/disorder of hearing or sight (other than short or long sightedness fully correctable by glasses) or loss of any limb?

c)

Mental or nervous disorder (e.g. stress, anxiety, depression, insomnia), fainting, epilepsy, paralysis, multiple sclerosis, migraines, brain disorder or any neurological disorder?

k)

Dermatitis, thyroid or prostate disorder?

l)

Kidney, bladder, blood in urine or reproductive organ disorder?

Gout, arthritis, rheumatism, cartilage or ligament injury, bone fracture or hernia?

n)

Drug or alcohol dependence?

o)

Any other symptoms, medical condition or departure from good health not mentioned above?

p)

Females only

d)

e)

Back or neck pain, whiplash, sciatica orany muscle or joint disorder?

f)

Asthma, bronchitis or other respiratory disorder?

g)

Stomach, intestinal or rectal disorder, ulcer, bleeding from bowel, gall bladder or liver disorder, including hepatitis?

h)

m) Sexually transmitted diseases?

i) Female organ disorder (including abnormal pap smear, breast ultrasound or mammogram)? ii) Are you currently pregnant?

Diabetes, thyroid or prostate disorder?

If yes, date of expected delivery

D

D /M

M / Y

Y

Section B – Medical details Yes No

2)

Are you considering consulting a doctor, or any other health professional for any medical examination, advice, treatment, tests or an operation? During the last 5 years have you: a) Had any examination, advice or treatment by a medical practitioner, chiropractor or other health professional?

b) Been in hospital, clinic or nursing home? c) Been advised to have an operation? d) Had any tests, including blood tests, ECG, x-rays, or genetic tests? e) Occasionally or regularly taken any medication, drugs, stimulants, sedatives or tranquillisers? MOT-S-INS-APP_0812

1)

Yes No

2432

Important note: If you answered yes to any of the questions in Sections A or B, please complete all sections below. Otherwise, complete Sections D,E, F and G (Income Protection).

AIA Australia Limited ABN 79 004 837 861 AFSL 230043. netwealth Investments Limited ABN 85 090 569 109 AFSL 230975, Trustee of the netwealth Superannuation Master Fund ABN 94 573 747 704. netwealth Super Wrap and netwealth Super Accelerator are products available in the Fund.

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Step 5. Personal statement (continued) Section C – Answers in detail If you answerd yes to any question in Section A or B, please provide details. If there is insufficient space, please provide a signed and dated Supplementary Statement. Question reference (Section A or B)

Tests, or nature of condition or complaint

Commencement Duration date

Time off work

Degree of recovery (%)

Full details of treatment Full name and address of and results ( include type doctor or hospital (if any) of operations)

Section D – Other details 1)

Do you drink alcohol?

Yes

No

If yes, what type of alcohol 2)

How much (daily intake)?

Do you have existing life, disability or trauma cover on your life (including any current applications held with any insurer)?

Yes

No

If yes, please provide details in the following schedule. Commencement date

Terms of acceptance

Type of cover

Amount of cover

To be replaced ‘Y’ or ‘N’

Section E – Doctor’s details (please provide current details of your usual doctor) Name

Date of last consultation D

D /M

M / Y

Y How long have you been a patient?

Years

months

Reason for consultation

Address State

Postcode

Telephone (

)

2432

MOT-S-INS-APP_0812

Email address/facsimile

AIA Australia Limited ABN 79 004 837 861 AFSL 230043. netwealth Investments Limited ABN 85 090 569 109 AFSL 230975, Trustee of the netwealth Superannuation Master Fund ABN 94 573 747 704. netwealth Super Wrap and netwealth Super Accelerator are products available in the Fund.

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Step 5. Personal statement (continued) If you have been a patient of your current doctor for less than two years, please provide the details of your previous doctor below: Name

Date of last consultation D

D /M

M / Y

Y How long have you been a patient?

Years

months

Reason for consultation

Address State

Postcode

Telephone (

)

Email address/facsimile

Section F – Family history 1) Have any of your parents, brothers or sisters (living or deceased) had Huntington’s disease, muscular dystrophy, cystic fibrosis, familial polyposis, polycystic disease or any other hereditary disorder?

Yes

No

Have any of your parents, brothers or sisters (living or deceased) been diagnosed prior to age 65 with any of the following 2) conditions: diabetes, heart disease, mental illness, haemophilia, haemochromatosis, high blood pressure, high cholesterol, breast cancer, bowel cancer or any other cancer (please specify type), stroke or kidney disease?

Yes

No

If yes, please provide details in the schedule below. If there is insufficient space, please provide a signed and dated Supplementary Statement Relation

Condition/illness (For cancer – specify type)

Age at onset (approximately)

Age at death (if applicable)

Section G – Further income details (if applying for Income Protection) 1)

a)

Please state your monthly income from your current occupation (net of business expenses but before tax). Please refer to the definition of income in the Insurance Guide for further information – DO NOT INCLUDE Investments and Superannuation ,

Previous year

per month

b)

How long have you been at your current occupation?

years

c)

How much of the above income will continue if you are disabled? $

,

For how long?

ii)

State source of income (e.g. sick leave, director’s fee, other salary continuance insurance)

Did your business make a loss in the last financial year?

e)

How many people do you employ?

Do you work at home?

,

months

i) d)

$

Yes

No

Yes

No

If yes, state percentage of the time

%

2432

2)

$

MOT-S-INS-APP_0812

Principal occupation: Current year

AIA Australia Limited ABN 79 004 837 861 AFSL 230043. netwealth Investments Limited ABN 85 090 569 109 AFSL 230975, Trustee of the netwealth Superannuation Master Fund ABN 94 573 747 704. netwealth Super Wrap and netwealth Super Accelerator are products available in the Fund.

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Step 6. Declarations AIDS Declaration I hereby declare that: 1. I am not suffering from Acquired Immune Deficiency Syndrome (AIDS); 2. I am not infected with the HIV virus and I am not carrying antibodies to the HIV virus; 3. Since 1990, I have not used intravenous drugs, I have not engaged in male to male anal sexual activity and I have not worked as or had sexual intercourse with a sex worker; and 4. I have not had sexual intercourse with someone I know or suspect to be HIV positive. I am able to declare that to the best of my knowledge all of the above statements are true. I am unable to declare that all the above statements are true.* * If ticked, a Confidential Supplementary Personal Statement will be required.

Name

Signature of person to be insured

Date D

D /M

M / Y

Y

General declaration 1. Truth and accuracy – I hereby declare that to the best of my knowledge and belief all of the answers to questions on this Application form and Personal Statement are true and accurate and I have not deliberately withheld any information material to the proposed insurance. 2. C  hanges to contract – I understand that I must advise the Insurer of any material change in my health during the period between the application date shown below and the cover commencement date. I understand that my failure to advise of such a change may make the contract of insurance voidable by the Insurer. 3. Acceptance of this application – I note that this application is subject to acceptance by the Insurer and that the insurance cover does not commence until I have been advised by AIA Australia Limited or netwealth Investments Limited about acceptance of my application. 4. Duty of disclosure – I have read and understood the Disclosure notice at the beginning of this form and understand its contents and what is meant by my duty to disclose and I understand that my duty to disclose continues after I have completed this application until the insurer has accepted the risk. 5. P  rivacy statement – I have read and understood the ‘Privacy’ section as detailed in the Insurance Guide. I consent to my personal information being collected and used in accordance with the Privacy Statement. 6. Do you wish to receive direct marketing material from AIA Australia

Yes

No

Name

Date D

D /M

M / Y

Y

2432

MOT-S-INS-APP_0812

Signature of person to be insured

AIA Australia Limited ABN 79 004 837 861 AFSL 230043. netwealth Investments Limited ABN 85 090 569 109 AFSL 230975, Trustee of the netwealth Superannuation Master Fund ABN 94 573 747 704. netwealth Super Wrap and netwealth Super Accelerator are products available in the Fund.

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Step 6. Declarations (continued) Consent Consent to disclose – I consent to AIA Australia and to netwealth on behalf of AIA Australia, seeking medical information from any doctor or other health professional who at any time I have consulted prior to the date below. While I am insured, I authorise the provision of such information to AIA Australia. I consent to the use of my personal information to be used as outlined in the Insurance Guide. I agree to be bound by the provisions of the policy document between AIA Australia and netwealth, which govern the terms of life insurance and conditions set out in this document. Name

Signature of person to be insured

Date D

D /M

M / Y

Y

Medical authority I, (name of person to be insured) authorise any medical practitioner, clinic, reinsurer, underwriter, medical record collector or other person to disclose to AIA Australia full details of my health and medical history. Name

Signature of person to be insured Would you like an underwriter to contact you to clarify any information?

Date D Yes

D /M

M / Y

Y

No

For any additional information, please complete the details below Section No.

Section No.

MOT-S-INS-APP_0812

Section No.

2432

Section No.

AIA Australia Limited ABN 79 004 837 861 AFSL 230043. netwealth Investments Limited ABN 85 090 569 109 AFSL 230975, Trustee of the netwealth Superannuation Master Fund ABN 94 573 747 704. netwealth Super Wrap and netwealth Super Accelerator are products available in the Fund.

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netwealth Superannuation Personal Insurance transfer NWINSUINTR

Please use BLACK pen and BLOCK letters.

This form accompanies the Insurance Guide, referred to in the netwealth Super Wrap PDS (dated 11 October 2011) and the netwealth Super Accelerator PDS (dated 23 April 2012). The PDS contains important information regarding membership of the netwealth Superannuation Master Fund. You should read the PDS, the Insurance Guide and the Information Guides referred to in the PDS. To apply to transfer your existing insurance cover to the netwealth Superannuation Master Fund you need to: 1. complete Steps 1-9 and provide the required details; 2. and acknowledge the Duty of Disclosure section of this form. If the insurer accepts your application you will have the sum of the total level of covers provided to you by your former funds or insurers added to your existing netwealth Superannuation Master Fund account subject to the underwriting terms provided by the previous insurer, including premium loadings, restrictions, exclusions or any other limitations imposed on the previous cover.

Disclosure notice Your duty of disclosure – Before you enter into a contract with or become insured by the insurer you have a duty under the Insurance Contracts Act 1984 to disclose to the insurer every matter that is known, or could reasonably expected to be known, that is relevant to their decision whether to accept the risk of insurance, and if so, on what terms. The same duty of disclosure to disclose these matters to the insurer applies before you renew, extend, vary or reinstate your life insurance contract. Your duty does not, however, require you to disclose a matter: • that diminishes the risk to be undertaken by the insurer; • that is common knowledge; • that the insurer knows, or in the ordinary course of business should know; or • if your duty to disclose is waived by the insurer. Non-disclosure – If you fail to comply with your duty of disclosure and the insurer would not have entered into the contract on any terms if the failure had not occurred, the insurer may avoid the contract within three years of entering into it. If your nondisclosure is fraudulent, the insurer may avoid the contract at any time. An insurer who is entitled to avoid a contract of insurance may, within three years of providing it, elect not to avoid it but to reduce the sum that you have been insured for in accordance with a formula that takes into account the premium that would have been payable had all the relevant matters been disclosed.

Step 1. Provide member details Exisiting netwealth clients Client name

Client number

Account number

New clients Mr/Mrs/Miss/Ms/Dr/Other

Family name

Given name(s) D

Date of birth

D /M

M / Y

Y

Sex

Male

Female

Residential address Suburb/town State

Postcode

Postal address (optional) Suburb/town Postcode

Phone number

(

)

Facsimile

(

)

Work phone (

)

MOT-S-INS-TRN_0812

State

Mobile

Email

AIA Australia Limited ABN 79 004 837 861 AFSL 230043. netwealth Investments Limited ABN 85 090 569 109 AFSL 230975, Trustee of the netwealth Superannuation Master Fund ABN 94 573 747 704. netwealth Super Wrap and netwealth Super Accelerator are products available in the Fund.

2432

Country of Residence (if not Australia)

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44

Step 2. Provide your employment details Current employer details (if applicable) Occupation Industry Annual salary

$

,

Please refer to the Insurance Guide for definition of ‘income’. If you are self employed, please supply evidence of income as described in the Insurance Guide. Number of hours worked

per week (Must be regular and consistent hours each week.)

Daily duties (including % time spent performing each duty including any manual work):

Step 3. Personal statement and confirmation of requirements Please confirm (by ticking the box below) that all of the following statements are true and correct: 1. I will cancel my existing insurance cover to which this Insurance transfer form applies; 2. I will not be transferring the cover under my former fund/policy to any other division or section of the former fund/policy or to any other fund/policy, other than to arrangements under the netwealth Superannuation Master Fund; 3. I will not effect a continuation option, or subsequently reinstate cover within the former fund/policy or any other divisions or associated funds of the former fund; 4. Have you smoked any tobacco or any other substance in the last 12 months?

Yes

No

If Yes, please state forms and quantities

I confirm that all above statements are true and correct and agree to abide by these requirements

Yes

No

If ‘No’ you will not be eligible to transfer your existing insurance cover to the netwealth Superannuation Master Fund. You are not required to complete the remainder of this form.

Step 4. Your former super fund/insurer details Fund/insurer No. 1 Name of fund/Insurer Member account/policy number I confirm that my current level of cover is as follows: $

,

,

TPD cover

$

,

,

Income Protection

$

Own occupation (Tick only if transferring TPD cover previously approved for own occupation)

,

per month (maximum amount of cover you can transfer is $10,000 per month)

Current Income Protection waiting period (please tick a box)

30 days

60 days

Current Income Protection benefit payment period (please tick a box)

2 years

up to age 65 (no escalation)

Is your current cover for an agreed value?

90 days

180 days

other

up to age 65 (with escalation)

other

MOT-S-INS-TRN_0812

Death cover

Yes (refer to the Insurance Guide for full details)

Fund/insurer No. 2 Name of fund/Insurer

AIA Australia Limited ABN 79 004 837 861 AFSL 230043. netwealth Investments Limited ABN 85 090 569 109 AFSL 230975, Trustee of the netwealth Superannuation Master Fund ABN 94 573 747 704. netwealth Super Wrap and netwealth Super Accelerator are products available in the Fund.

2432

Member account/policy number

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45

Step 4. Your former super fund/insurer details (continued) I confirm that my current level of cover is as follows: Death cover

$

,

,

TPD cover

$

,

,

Income Protection

$

Own occupation (Tick only if transferring TPD cover previously approved for own occupation)

,

per month (maximum amount of cover you can transfer is $10,000 per month)

Current Income Protection waiting period (please tick a box)

30 days

60 days

Current Income Protection benefit payment period (please tick a box)

2 years

up to age 65 (no escalation)

Is your current cover for an agreed value?

90 days

180 days

other

up to age 65 (with escalation)

other

Yes (refer to the Insurance Guide for full details)

Fund/insurer No. 3 Name of fund/Insurer Member account/policy number I confirm that my current level of cover is as follows: Death cover

$

,

,

TPD cover

$

,

,

Income Protection

$

Own occupation (Tick only if transferring TPD cover previously approved for own occupation)

,

per month (maximum amount of cover you can transfer is $10,000 per month)

Current Income Protection waiting period (please tick a box)

30 days

60 days

Current Income Protection benefit payment period (please tick a box)

2 years

up to age 65 (no escalation)

Is your current cover for an agreed value?

90 days

180 days

other

up to age 65 (with escalation)

other

Yes (refer to the Insurance Guide for full details)

Fund/insurer No. 4 Name of fund/Insurer Member account/policy number I confirm that my current level of cover is as follows: Death cover

$

,

,

TPD cover

$

,

,

Income Protection

$

Own occupation (Tick only if transferring TPD cover previously approved for own occupation)

,

per month (maximum amount of cover you can transfer is $10,000 per month)

Current Income Protection waiting period (please tick a box)

30 days

60 days

Current Income Protection benefit payment period (please tick a box)

2 years

up to age 65 (no escalation)

Is your current cover for an agreed value?

90 days

180 days

other

up to age 65 (with escalation)

other

Yes (refer to the Insurance Guide for full details)

Fund/insurer No. 5 Name of fund/Insurer Member account/policy number

$

,

,

TPD cover

$

,

,

Income Protection

$

Own occupation (Tick only if transferring TPD cover previously approved for own occupation)

,

per month (maximum amount of cover you can transfer is $10,000 per month)

Current Income Protection waiting period (please tick a box)

30 days

60 days

Current Income Protection benefit payment period (please tick a box)

2 years

up to age 65 (no escalation)

Is your current cover for an agreed value?

90 days

180 days

other

up to age 65 (with escalation)

other

Yes (refer to the Insurance Guide for full details)

AIA Australia Limited ABN 79 004 837 861 AFSL 230043. netwealth Investments Limited ABN 85 090 569 109 AFSL 230975, Trustee of the netwealth Superannuation Master Fund ABN 94 573 747 704. netwealth Super Wrap and netwealth Super Accelerator are products available in the Fund.

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Death cover

MOT-S-INS-TRN_0812

I confirm that my current level of cover is as follows:

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46

Step 5. Total cover required Total cover required is as follows (can be up to the total of each respective cover): Death cover

$

,

,

TPD cover

$

,

,

Income Protection

$

,

per month

The level of cover for Income Protection will be indemnity only. If agreed value is required you will need to complete a new Application form and Personal Statement. To be eligible for Income Protection under the netwealth Superannuation Master Fund you must be permanently employed and working at least 15 hours per week.

Step 6. Provide Transfer Type Transfer of existing insurance cover to the netwealth Superannuation Master Fund may proceed under one of the following two options; A – Standard transfer Standard transfer may proceed if the maximum age next birthday is 55 for Death & TPD cover or 50 for Income Protection. The previous acceptance must have been accepted only at standard rates and without medical exclusions. The policy being replaced must have been fully underwritten by another insurer within the last five (5) years for Death & TPD cover or three (3) years for Income Protection cover and the maximum cover to be transferred is $3,000,000 Death, $2,000,000 TPD and $10,000 per month Income Protection. If you do not meet the above conditions for a standard transfer you may apply for transfer of existing cover to the netwealth Superannuation Master Fund by supplying the documentation listed below and completing the following section: OR B – Non-standard transfer Where you do not meet the requirements shown above for a Standard Transfer – you must complete this section. The maximum age next birthday is 65 for Death & TPD and Income Protection.The maximum cover to be transferred is $1,000,000 Death & TPD cover and $10,000 per month Income Protection. 1. Are you absent from work or unable to carry out all of the duties of your current or usual occupation on a full time basis, due to an injury or illness (even if you are not currently working on a full time basis or are unemployed)?

Yes

No

2. Have you been paid, or are you eligible to be paid, or have you lodged a claim for a TPD benefit with the netwealth Superannuation Master Fund, another superannuation fund or life insurance policy?

Yes

No

3. Have you been diagnosed with an illness that reduces your life expectancy to less than 12 months from today?

Yes

No

If you answered ‘Yes’ to any of the questions (1) to (3) you will not be eligible to transfer your existing insurance cover to the netwealth Superannuation Master Fund. You are not required to complete the remainder of this form. 4. Is your existing cover subject to any premium loadings and or exclusions including but not limited to pre-existing conditions exclusions, or restrictions in regards to medical or other conditions?

Yes

No

If ‘Yes’ please provide details of the premium loadings, exclusions and/or restrictions, including a copy of the advice you received from the insurer or former fund advising you of the acceptance of your cover subject to these additional terms.

Required documentation The following documentation must be supplied for both Standard and Non-Standard Transfers; 1. a copy of the original acceptance, and the original policy schedule or statement; and 2. the existing currency of the policy; and For multi-policy takeovers please provide a policy schedule or statement; and/or currency of policy; and/or recent statement for each policy.

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Important note: You must obtain and attach an up to date statement from your former fund or former direct insurer, confirming the type and level of cover you had with them. This up to date statement must be received by netwealth within 30 days of it being issued by your former fund or insurer.

MOT-S-INS-TRN_0812

3. the most recent annual statement from your former fund or renewal notice from your insurer.

AIA Australia Limited ABN 79 004 837 861 AFSL 230043. netwealth Investments Limited ABN 85 090 569 109 AFSL 230975, Trustee of the netwealth Superannuation Master Fund ABN 94 573 747 704. netwealth Super Wrap and netwealth Super Accelerator are products available in the Fund.

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Step 7. Nominate adviser and adviser remuneration Adviser name

Dealer code

Adviser stamp

Adviser code

Please elect the fee structure that will apply - as negotiated with your adviser*. This will apply to all insurance attached to your account. Do not complete the fee option if you have existing cover with the netwealth Superannuation Master Fund. Increases to any type of insurance will will retain the same fee option as the original cover with the Fund. Flat fee

Annual adviser remuneration

% (0-20%)

Upfront fee

Adviser remuneration Year 1 – 100%, Year 2 onwards – 14%

Hybrid fee

Adviser remuneration Year 1 – 74%, Year 2 – 24%, Year 3 – 26%, Year 4 onwards – 28%

Please refer to the Insurance Guide for a full description of the remuneration associated with each option. * Where you have no adviser the fee structure will automatically default to Flat fee with 0% ongoing remuneration.

Step 8. Declaration and signature I understand that the transfer of my existing Death, TPD or Income Protection cover once accepted by the insurer, will be subject to the terms and conditions of the netwealth Superannuation Master Fund’s insurance arrangements with AIA Australia and that my Income Protection (if applicable) benefit payment period and waiting period will be matched to the netwealth Superannuation Master Fund offer where possible. If the waiting period is different, the member’s waiting period will be rounded up to the next highest offer under netwealth, i.e. a 45 day waiting period will be rounded up to a 60 day waiting period under netwealth. If the benefit period is different this will be the lesser benefit period offered under netwealth. I acknowledge that: 1. If I do not fully complete, sign and date this Insurance transfer form, I will not be eligible to transfer my existing cover to netwealth; 2. If the insurer accepts my application, my existing amount of cover as at the transfer date under my former fund or former direct policy will be replaced in my netwealth account, but will be subject to a maximum of $3,000,000 Death cover and $2,000,000 TPD cover for a standard transfer or $1,000,000 Death & TPD cover for a non-standard transfer and $10,000 per month Income Protection; 3. My replacement cover will not commence under the netwealth Superannuation Master Fund until the later of: (a) the insurer accepting my application; and (b) cancellation of my existing insurance cover under my former fund; or directly with my insurer; 4. netwealth and the insurer may undertake appropriate enquiry and investigation to verify the answers I have provided; 5. netwealth and the insurer may investigate whether any premium loadings, restrictions and exclusions applied to my cover within the former fund or former direct policy. 6. I agree to provide netwealth or the insurer with access to the health and or financial evidence I provided to any former fund and their insurer in an application for the cover. Any non-disclosure to a former fund or insurer may be acted upon by netwealth or their insurer; and 7. Should it become apparent to netwealth or the insurer that I have not responded truthfully or satisfied the requirements that I confirmed in Steps 3-7 above, then any insured benefit that may be payable to me, my beneficiaries or my estate by netwealth may be reduced by the insured amount paid or payable by my former fund or former insurer; an associated section or division of the former fund; or any other fund; or any policy issued under any option that I exercised, as a consequence of my failure to abide by these conditions. I hereby declare that: MOT-S-INS-TRN_0812

8. The information contained in this Insurance transfer form (whether written in my hand or not) is true and correct and that no information material to this application for transfer has been withheld;

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9. I have read and understood the Disclosure notice at the beginning of this form and understand its contents and what is meant by my duty to disclose and I understand that my duty to disclose continues after I have completed this application until the insurer has accepted the risk;

AIA Australia Limited ABN 79 004 837 861 AFSL 230043. netwealth Investments Limited ABN 85 090 569 109 AFSL 230975, Trustee of the netwealth Superannuation Master Fund ABN 94 573 747 704. netwealth Super Wrap and netwealth Super Accelerator are products available in the Fund.

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Step 8. Declaration and signature (continued) 10. I have read the netwealth Super Wrap Product Disclosure Statement or the netwealth Super Accelerator Product Disclosure Statement (as applicable) and the Insurance Guide – carefully; 11. To the best of my knowledge the above details provided by me are correct; 12. I am currently employed and able to carry out the identifiable duties of my employment without restriction due to any injury or illness on a full-time basis. I acknowledge that the insurance cover will only be provided on the terms and conditions set out in the policy with AIA Australia and as agreed with netwealth Investments Limited. I have read and understood the Privacy section as detailed in the Insurance Guide and I consent to my personal information being collected and used in accordance with the Privacy Statement. Name

Signature of member

Date D

D /M

M / Y

Y

Step 9. Once completed please send to us: Ensure you also attach the required documentation. Mail

netwealth Investments Limited Reply Paid 336 SOUTH MELBOURNE VIC 3205

Fax Email

(03) 9655 1333 [email protected]

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MOT-S-INS-TRN_0812

If you have any questions please contact your adviser or call us on Freecall 1800 888 223.

AIA Australia Limited ABN 79 004 837 861 AFSL 230043. netwealth Investments Limited ABN 85 090 569 109 AFSL 230975, Trustee of the netwealth Superannuation Master Fund ABN 94 573 747 704. netwealth Super Wrap and netwealth Super Accelerator are products available in the Fund.

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Notes

Notes

Notes

A dedicated investor services line is available for all client enquiries on Freecall 1800 888 223.

SA-IG-09/2012

Postal address netwealth Investments Limited PO Box 336 SOUTH MELBOURNE VIC 3205