Ways to manage affordability concerns

We understand that increases to your clients' premiums may cause them to re-evaluate their cover. This may lead them to reduce their cover or consider cancelling their policies.

Lump Sum and Income Protection policy adjustments

Here are some adjustments you may consider making to your client’s policy:

Decreasing the cover

Review your client’s personal income, expenses or liabilities to see if they have changed.

Removing Automatic Benefit Indexation

Choose to stop this increase for 12 months, or permanently.

Update your client’s lifestyle choices

Review whether smoking, health or pastime loadings can be removed if your client’s health or lifestyle have improved.

Change premium structure type

Compare Variable age-stepped (also known as stepped), Variable (also known as level) or optimum premiums

Switch from TPD Own occupation to TPD Any occupation

Review your client’s needs to see if TPD Any occupation definition may be an option.

Reducing the benefit period

Reduce the benefit period for IP from To Age ‘65’^{^} to 5 years. Also, discuss if TPD cover could offer a cost-effective alternative for longer term income replacement needs.

Change the waiting period

Consider an increase to the waiting period for IP, particularly if liquid forms of capital are available (leave entitlements, cash reserves etc).

Review type of Income Protection policy

Removing PLUS Optional or Advantage Optional or move to Income Protection CORE. Is an Agreed Value contract still warranted?

Fund by Superannuation

Consider restructuring cover inside superannuation but noting product differences as well as impact on retirement planning and objectives.

Convert some Crisis Recovery to Crisis Extension

Consider if a combination of Crisis Recovery and Crisis Extension is suitable, as this combination can provide a more affordable premium.

^To age ‘65’ means to the policy anniversary prior to the life insured turning 65.

How AIA is supporting clients

We’re here to support you and your clients through these changes. We want to proactively assist clients so they can manage their premiums and inform them of changes they can consider and action themselves.

Benefit indexation

Save on premiums by turning off automatic indexation

Keep premiums the same

Keep premiums the same, by lowering the sum insured

Easier budgeting

Update the payment frequency

Smoking declaration

Let us know if your clients have quit smoking

Download our FAQs for more details on which clients will receive self-directed options that can be actioned, without needing their adviser to complete a policy alteration.

AIA Vitality

AIA Vitality is a personalised, science-backed health and wellbeing program that supports you every day to make healthier lifestyle choices. The program incentivises you to know your health, improve your health and get rewarded with lower insurance premiums,^## discounts and cashbacks on great partners and more.

_{##with eligible policies}

Add AIA Vitality to an existing policy

Clients receive an initial premium discount of 7.5% for IP and 17.5% for Lump Sum policies^#

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Add AIA Vitality to an existing policy

Clients receive an initial premium discount of 7.5% for IP and 17.5% for Lump Sum policies^#

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AIA Vitality Silver Status Reward

A $500 adviser and $500 client payment if your client reaches Silver Status within the first 6 months of joining. T&Cs apply.

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AIA Vitality Silver Status Reward

A $500 adviser and $500 client payment if your client reaches Silver Status within the first 6 months of joining. T&Cs apply.

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Earn up to $760 in rewards

Your client can earn rewards of up to $760 in e-gift cards or cashback, discounted gym memberships, cashback on eligible Virgin Australia Flights and more.

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Earn up to $760 in rewards

Your client can earn rewards of up to $760 in e-gift cards or cashback, discounted gym memberships, cashback on eligible Virgin Australia Flights and more.

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Ensure clients are engaging with AIA Vitality

Don’t miss the discounts, your client can receive up to a 20% discount on their premium.

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Ensure clients are engaging with AIA Vitality

Don’t miss the discounts, your client can receive up to a 20% discount on their premium.

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Download the AIA Vitality app

Manage AIA Vitality activities and rewards in one location.

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Download the AIA Vitality app

Manage AIA Vitality activities and rewards in one location.

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#The 17.5% initial lump sum discount is only available for applications on the 7 December 2019 SPDS and after. Policies issued on the 18 May 2019 PDS and prior will only receive a 12.5% lump sum discount.

Clients can receive up to 20% premium discount** as their discount flexes up or down depending on how they maintain their AIA Vitality status.

Status	Bronze	Silver	Gold	Platinum
Initial discount*	17.5%	17.5%	17.5%	17.5%
Premium flex*	-2.5%	-1.25%	-0.0%	+1.0%

* Note: The initial discount is only applied once, from the first premium due date after the member has joined AIA Vitality. AIA reserves the right to adjust this discount at any time. The discount may also increase from time to time as part of a campaign.

** Maximum 20% discount p.a.

'-' means the discount is eroded each year by this amount

AIA Vitality Statement Of Advice Flyer

To support your SOA or ROA, use this single page flyer that outlines the AIA Vitality program.

Download SOA flyer

Access AIA Vitality Terms and Conditions

Reports on the Adviser Portal

Use the Upcoming Anniversaries report to see renewal premium estimates up to 90 days^{^^} in advance. It includes a breakdown of the changes to various premium components – such as age-based changes, rate increases and AIA Vitality discount changes - so you can more easily explain the total premium change to your clients. The report also includes premium estimates for several alterations such as changing waiting periods, removal of Benefit Indexation or adding AIA Health.

^^90-day report with repricing projections will be available from Mid-October

AIA Inforce quote tool

Use the AIA In force quote tool for a variety of alterations including increasing and decreasing existing sum insured, removing Maximiser Benefit, changes to a lower risk occupation category, smoking status, increasing or decreasing IP benefit period or waiting period, plus more.

Consider your client's age and current health condition

Your clients’ age and the likelihood of having to claim can be an important consideration when making policy changes. See how AIA Australia supported your clients in 2023 across a range of products, ages and claim conditions.

If your clients' circumstances still lead to them to reducing or cancelling their policy, having a final health check conducted by their General Practitioner may be a valuable step to take before making the change. By taking this step, your client can be sure that they have no underlying health conditions that may result in a claim or impact their ability to get cover in the future prior to reducing or cancelling their cover.

For further support

Contact your AIA Client Development Manager or the Adviser Support team can be contacted on 1800 298 400.