Malignant Melanoma

I was referred a new client by one of the Poole Group accountants to review the clients existing policies. As part of the review process I discussed the clients pre-existing health issues and was informed that he was diagnosed with a malignant melanoma in 2001.

On review of the clients existing policies I noticed that the income protection contract had an inbuilt ancillary benefit which pays a lump sum of six times the monthly benefit in the event of a trauma condition, e.g. cancer. I asked the client if he had ever claimed under the policy regarding his melanoma and he said no because he was never off work. He also said that the previous advisers he had consulted in the past did not mention anything about the inbuilt trauma benefit. I informed the client that the benefit is unique and that he didn’t have to be off work, even though the policy is an income protection contract. Although the diagnosis was in 2001, I submitted the claim in 2010.

The Result:

Within one week the client received over $14,000 in benefits which was based on six times his monthly benefit in 2001. In addition to backdating the claim over 9 years I was also able to restructure the client’s life insurance policy which saved him over $1,400 p.a. in tax savings and premium reductions.