Westpac Income Protection Insurance
What income protection does Westpac offer?
Westpac offers three types of income protection to its members at the time of writing:
- Income Protection – provides a monthly benefit if you become totally or partially disabled
- Income Protection as Superannuation – Income Protection which is held through Westpac’s superannuation fund
- Income Protection Plus – A more comprehensive income protection product, which adds a range of support benefits designed to provide financial assistance during your recovery
What features does Westpac income protection offer?
As a provider of income protection, Westpac offers the following features
- A maximum benefit period of either two years, or until you turn 80 depending on your policy and occupation. The PDS states that any benefit amount which exceeds $30,000 is limited to a two-year benefit period
- Flexibility when it comes to choosing your monthly benefit
- A maximum entry age of 59, or 69 if your policy provides a monthly benefit less than $5,000 and you pay stepped premiums
What does Westpac income protection cost?
The cost of your income protection insurance will vary depending on several different factors such as:
- Your age and gender
- Benefit period and waiting period
You can either speak to Westpac or contact a financial adviser to find out how much Westpac income protection may cost you depending on your insurance needs. Keep in mind that if you choose to take out income protection through Westpac’s superannuation fund, the weekly cost of your income protection cover will be deducted from your Westpac super balance, and not paid out of pocket.
In 2019, Canstar Research calculated the average monthly income protection premiums for non-smoking male and female workers aged 27 and 52. Click here to see how the premiums differed, but keep in mind that these figures relate to direct income protection premiums rather than income protection taken out through Westpac’s super fund or a financial adviser.
Considering taking out income protection insurance? While we don’t compare advised income protection policies or income protection taken out through super funds, we do compare direct income protection policies.
Click here to compare direct income protection policies more policies based on your circumstances.
Are your Westpac income protection premiums tax deductible?
While the ATO (Australian Taxation Office) states that you can claim the cost of premiums you pay that cover the loss of your income, this does not extend to premiums that compensate you for physical injury or are taken out through your super fund. Ask your tax accountant or financial adviser for more details on this.
How do I lodge a claim with Westpac?
Lodging a claim for income protection with Westpac can be a straightforward process if you have your policy number, claim form, proof of identification, and copies of medical reports on hand. You can begin the claims process by calling Westpac on 131 817 (8am-6:30pm Monday to Friday).
How to apply for Westpac income protection
You can apply for Westpac’s standard Income Protection product through a financial adviser, however if you want to apply for income protection through Westpac’s super fund, you will need to be a member of the fund.
As you need to be a Westpac member before you can apply for Westpac income protection, they will have some of the necessary personal details already. However, you may need to answer questions about things such as your occupation, income, and smoker status.
Eligibility to apply
Westpac’s PDS document states that you must satisfy the following criteria to be eligible for an income protection policy:
- You must be at least 15 years old and below the relevant entry age
- You must be an Australian resident
- If you’re looking to apply for income protection through Westpac’s superannuation fund, you must be a member of the fund.
Westpac says it was Australia’s first bank, and its first officially incorporated company. Established in 1817 as the Bank of New South Wales, Westpac now serves around 13 million customers.
Westpac is one of the big four Australian banks and it owns a number of other banking brands including St. George, Bank of Melbourne, BankSA, and RAMS.