Protect your premiums.

What is waiver of premium and how does it work?

Mortgage life insurance is a great way to help protect your loved ones or mortgage in the event of your death. 

But what if you were unable to work due to incapacity caused by illness or injury and could no longer afford the premiums for your protection. Waiver of premium could be the solution. 

You can add waiver of premium to our mortgage life insurance policies at an additional cost. You would be responsible for maintaining your premiums for the first 26 weeks of incapacity, but choosing this option means that after 26 weeks, we’ll waive your monthly payments, giving you one less thing to think about at a potentially stressful time.

Your premiums are waived when you are too ill to undertake your normal occupation for 26 weeks or more due to incapacity caused by illness or injury. If you’re not working before the onset of incapacity, your premiums will be waived after 26 weeks if you’re unable to perform three or more of our functional assessment tests.

Things you need to know

• You must be under age 55 and accepted on standard terms and normal rates, if you choose to take out the waiver of premium option on your policy with us.
  
• If you are not in work before the onset of incapacity your premiums are waived if you're unable to perform at least three of the following functional assessment tests:
  
  • Walking - the ability to walk a distance of 200 metres on flat ground with or without the aid of a walking stick and without stopping or experiencing discomfort.
  • Bending - the ability to get into or out of a standard saloon car, and the ability to bend or kneel to pick up an object from the floor and straighten up again.
  • Communicating - the ability to answer a telephone and to take a message.
  • Reading - having the required eyesight (corrected if necessary) to be able to read a daily newspaper.
  • Writing - the physical ability to write legibly using a pen or pencil without aid.
  • Climbing - having the ability to climb up a flight of 12 stairs without stopping or suffering severe discomfort.
• We will continue to waive premiums until one of the following occurs:
  • you're fit to return to work;
  • your policy ends; or
  • you no longer fulfil our definition of incapacity.