28 March 2026 Pricing Updates

Total and Permanent Disability (TPD)

Wealth Protection policies written prior to 5 May 2023 will have; 

• Variable premiums* increase by 25%
• Variable age-stepped premiums* increase by 12.5%

All FutureWise policies will have:

• Variable premiums* increase by 25%
• Variable age-stepped premiums* increase by 12.5% 

Income Protection (IP)

Wealth Protection policies written prior to 1 April 2020 and Active IP written from 15 May 2017 to 1 April 2020 will have; 

• IP Indemnity - Variable premiums* increase by 20% and variable age-stepped premiums* increase by 15%
• IP Agreed Value - Variable premiums* increase by 25% and variable age-stepped premiums* increase by 20%

Wealth Protection and Active IP policies written between 1 April 2020 and 21 September 2021 (before the launch of the new IDII products) will have; 

• IP Indemnity - Variable and variable aged-stepped premiums* increase by 10%
• IP Agreed Value - Variable and variable aged-stepped premiums* increase by 20%

All FutureWise policies and Active IP written prior to 15 May 2017 will have; 

• IP Indemnity - Variable and variable aged-stepped premiums* increase by 15%
• IP Agreed Value - Variable and variable aged-stepped premiums* increase by 25%

These changes are in addition to age and inflation- related increases. The updates will not apply for any policies within their two-year rate lock until the end of the rate lock. 

*Variable Premiums (previously Level), Variable Aged Stepped Premiums (previously Stepped)

In addition to changes for existing customers, there will also be a reshape in rates for customers quoted from 28 March 2026. 

We’re also refining the soft cap for personal TPD cover to better manage portfolio sustainability.

• The personal TPD soft cap will reduce from $3M to $2.5M.
• Applies where the any/own occupation TPD exceeds the amount required so that the TPD and Income Protection insurance exceeds income to age 65
• Business‑purpose TPD is unchanged.
• Where cover exceeds the cap, Non‑Working TPD or Continuous Care can be offered as alternatives.
   

To support the long-term sustainability of our portfolio, Zurich is introducing a new premium class. In summary, a substantially higher premium rate will apply where a policy falls under the new risk category, which is defined as one where the policy owner:

• enters into an arrangement where someone else will have a legal or beneficial interest in the policy (such as co-ownership);
• that arrangement involves a business that carries on a financial services business related to life insurance policies; and
• in connection with that arrangement;
  • there is or may be an assessment of the insured person’s circumstances, such as a health assessment or statistical review; and
  • someone other than the current policy owner could receive some or all of the benefits from the policy.

If a transfer of ownership occurs, the new policy owner will be responsible for paying premiums in accordance with the policy terms. The full definition of this new class is available in the Adviser Guide from 28 March 2026.

This change does not apply to standard cancel and replace transactions, including transfers to superannuation ownership, unless the arrangement meets all conditions above.

You will be notified of the new premium rates that will apply to the policy prior to the new premiums taking effect.