Life and Trauma Insurance

What's a job in helicopters pay? Does it pay? Why do you get paid more than me?
blades
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Life and Trauma Insurance

Postby blades » Thu Oct 7 2010, 05:02

I have spent a long time looking for insurance companies that will cover helicopter pilots and have not had much luck until now. I just took out a policy through Millennium3 Financial Services on behalf of CommInsure for what I thought was a reasonable price considering it covers Ag. If I wasn’t flying Ag I think it would have brought the premium down considerably more. Anyway here are the details.


John Ellis

Authorised Representative
Millennium3 Financial Services Pty Ltd
GPO Box 2127
BRISBANE QLD 4001

Tele: 07 3220 3960
Fax: 07 3229 5104
Mob: 0418 885 752
Email: johnmellis@telstra.com
A woman drove me to drink and I never even had the courtesy to thank her
pavlov's dog
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Re: Life and Trauma Insurance

Postby pavlov's dog » Thu Oct 7 2010, 06:12

I think you can get it through Australian Super with pre-tax dollars. At least I know of at least one MPT pilot that is doing that. Rates are apparently quite reasonable, but you have to be in that fund (industry fund).
jamessmith
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Re: Life and Trauma Insurance

Postby jamessmith » Fri Mar 4 2011, 11:31

Trauma or crisis insurance is also known as critical illness cover.Trauma insurance, as per rules, gives you coverage in around 40 kinds of illnesses which are specified by insurance companies. You won't get its coverage if your diagnosis doesn't prove any of these illnesses.

:oops: :( :o
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Capt Hollywood
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Re: Life and Trauma Insurance

Postby Capt Hollywood » Fri Mar 4 2011, 12:00

I recently went down this road after a financial advisor asked if he could reassess my insurances. In the end he couldn't do better than I had. I currently have a Trauma Insurance policy through AMP which has a benefit of $1,000,000.00 should I suffer from any of the listed traumas/illnesses. It costs me $183/month. Not cheap I know but the coverage is among the best as it covers quite a wide variety of traumas/illnesses and the payout is quite high. The one benefit I found in other policies though is that they will cover you for partial claims, ie if you lose one arm or one leg then they'll pay out a percentage of the total payout. Most policies it seems, including my AMP policy, require you to lose both arms or both legs to make a claim.

I have Life Insurance through me AMP Super policy also, these seem pretty common. I don't contribute directly to this one as the premiums come out of my Super policy.

I was able to find plenty of Life Insurance policies though that would cover me but they had a particular exclusionary clause, they would cover except whilst engaged in rotary wing aviation!

Cheers,

CH 8)
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FerrariFlyer
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Re: Life and Trauma Insurance

Postby FerrariFlyer » Sat Mar 5 2011, 06:07

That $183 is pretty steep mate. Is that able to be 'legally and legitimately' claimed as a deduction? I know income protection insurance is claimable.
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Capt Hollywood
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Re: Life and Trauma Insurance

Postby Capt Hollywood » Sat Mar 5 2011, 09:51

I haven't looked into whether it's deductable but I doubt it as it's not related to work in any way.

As I said the premium is not terribly cheap but the policy is quite a good one, the financial advisor who was trying to get my business even admitted he couldn't be beat that policy with that payout for that price. It is a premium level policy that covers a large list of possible traumas/illnesses.

I took out Trauma Insurance after not being able to obtain a stand alone life insurance policy or income protection

I don't think I know any pilots that have managed to get income protection AFTER becoming a pilot. If you already had it prior to becoming a pilot then you should be able to keep it once you start flying as a career. The reason it's basically impossible for heli pilots to get income protection (for an affordable premium) is that compared to the average worker it's very easy for us to lose our source of income. If my hearing deteriorates, if I lose a couple of fingers, if my blood pressure gets a bit high, then my medical may be in jeopardy. Most other professions would be affected to a much lesser extent, if at all.

CH 8)
astrodad
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Re: Life and Trauma Insurance

Postby astrodad » Sat Mar 5 2011, 10:49

I am currently a financial planner (and still sell insurance) and used to sell insurance for 20 years before this.

Just to explain a difference between covers.

Trauma (or critical illness) insurance - pays a lump sum upon the diagnosis of major illnesses such as cancer, heart attack etc. There is no requirement to not be able to work - simply diagnosis of a serious ailment. Payment of a benefit will vary dependant on the disease and policy conditions. This is generally not tax deductible although the superannuation industry is trying to get rules changed to allow this type of cover to be incorporated in superannuation funds which would then allow for premiums to be paid on a pre tax basis.

Income Protection insurance - this pays a benefit to replace income (usually to a maximum of 75% of full pay). It is paid with after tax dollars but can be claimed on your tax as it relates to taxable income.

Life and Total Permanent Disability (TPD) insurance - pays on death or total permanent disablement from any cause but may have exclusions or premium loadings for certain occupations - guess what this includes???

As you would most likely be aware, obtaining cover for aerial work is expensive if obtainable at all. Most life and TPD policies have an exclusion but, if arranged at a time when you had no intention of becoming a pilot, may remain in force at standard premium rates. So, for those not in the industry, arrange cover before you start flying!
kymboa
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Re: Life and Trauma Insurance

Postby kymboa » Sun Mar 6 2011, 06:55

I have a question for those in the know about Insurance, in particular income protection.
It relates to the idea that you can start your cover before you start working in the industry in order to pay lower premiums etc.
I have been reading through my Super providers PDS and Insurance guide and cant seem to find anything that relates specifically to aviation, but rather groups the premiums in the low - medium - high range.
My question is, if I take out the insurance holding my current job, then 6 months down the track start my first flying job and bend the thing sometime after that (touch wood), couldn't my provider argue that I have not kept them current with my job role and not pay the benefit?
Has anyone been unfortunate enough to experience this?
I cant seem to find anything in the documents covering this scenario.

Any advice would be appreciated.....cheers slappers.
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Capt Hollywood
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Re: Life and Trauma Insurance

Postby Capt Hollywood » Sun Mar 6 2011, 08:25

I asked my AMP agent that exact question one month ago and was told that I would have been able to maintain my income protection had I had it prior to engaging in a flying career.
astrodad
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Re: Life and Trauma Insurance

Postby astrodad » Mon Mar 7 2011, 11:44

Capt Hollywood wrote:I asked my AMP agent that exact question one month ago and was told that I would have been able to maintain my income protection had I had it prior to engaging in a flying career.


This is where the insurance industry have you by the short & curlies!

If you apply for income protection cover but do not have any income, they will refuse the cover as there is no income to protect! :x This also happens with people starting their own business. You need to be able to show that you have an income history. Some policies will pay benefits depending on the Initial income (after seeing proof of this) while other policies pay benefits dependant on income at the time of the loss. So, check the policy wording - you need to be a bush lawyer to understand a lot of these.

Generally with a new business you may be able to arrange a short term "Sickness & Accident" policy (something like a 12 month cover) rather than an Income Protection policy which may pay benefits (indexed) to age 65. Quite a large difference in benefits.

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