Accident and Death Insurance for Serving Members

Recent press reports have highlighted the issue of accident and life insurance being offered to members of the ADF, including those who may be deployed overseas.

Members of the ADF should be aware that as their employer, the Australian Government provides a range of benefits and entitlements for those members who may be injured whilst on duty (by way of compensation and ongoing medical support) as well as to their dependants should death in service occur. This includes cases where death or injury occurs whilst on operational service.

This document does not outline these entitlements: however Defence Personnel and the Department of Veterans’ Affairs can provide current information. It behoves all members to be fully conversant to their entitlements and, if they then consider it prudent, consider taking out additional personal insurance. In the latter case members have an obligation to fully understand the policy they are purchasing.

Insurance companies are obliged to provide full information on their policies: issues members may wish to consider include:

• Is the policy being offered cover operational service or training ? Most companies
• do not provide cover for any war related (ie operational service) injury or death.
• Is there a waiting period for benefits to be payable ? Is there a point taking out insurance if no claims will be accepted for say 12 months if you are about to embark on a six month tour of duty !

By taking out personal insurance, your employer may assist by making payments direct from your salary. This does not mean that your employer – in this case the Department of Defence – endorses or supports the policy being purchased: it is your decision to take out the policy and your decision to have a allotment made from your pay.

Defence policy correctly draws attention to the need (or otherwise) for extra cover and the importance of ‘ independent advice’. The Association fully supports this.