If the Future Insurability Benefit applies for a life assured, then the Loss of Earnings Benefit sum assured for the life assured may be increased without the need to provide further medical evidence, subject to the following conditions: > The Loss of Earnings Benefit sum assured for the life assured may be increased by up to the lower of $12,000 per annum or 10% of the Loss of Earnings Benefit sum assured for the life assured set out in the schedule . > You can only apply for an increase in cover under this Future Insurability Benefit for a life assured once every three years, or in the case relating to an increase in income once per year, and you must apply to Sovereign in writing within 60 days either side of the applicable policy anniversary date . > If the increase is related to your increase in income you must apply in writing to Sovereign and provide evidence satisfactory to Sovereign of the life assured’s increased income within 60 days of the increase in income. This evidence is either:
> the life assured is no longer totally disabled or partially disabled; and
> the life assured has ceased to be on claim with Sovereign.
The Back to Work Payment is a lump-sum payment equivalent to 3 times the life assured’s monthly disability benefit for the last full month immediately before the claim ceased, as calculated in accordance with Section 2 for a total disability , and Section 5 and (if applicable) Section 7 for a partial disability. The Back to Work Payment will be limited to once per claim and will not be paid where the benefit payment period is one or two years. If the life assured suffers a recurrence of the same or a related illness or injury within 12 months of a Total or Partial Disability Income Benefit ceasing, then any Back to Work Payment made in respect of that claim will be deducted from the amount of the Total or Partial Disability Income Benefit payable.
- confirmation of the increase in salary from the life assured’s employer; or
18.
What is the Pregnancy Premium Waiver?
- in the case of a life assured who is self-employed, the life assured’s annual accounts showing an increase in the Net Profit amount before tax, less expenses. > The total of all Future Insurability Benefit increases for a life assured cannot exceed 100% of the original Loss of Earnings Benefit sum assured for the life assured. > Sovereign will increase the Loss of Earnings Benefit sum assured for the life assured from the date we accept your request. > Sovereign will not accept an application under this Future Insurability Benefit to increase cover for a life assured if you are entitled to or are receiving payment of a claim for a disability that the life assured suffered on or before the date of the application.
Sovereign will waive the premium for this Loss of Earnings Benefit for six consecutive months at any stage between the second trimester and six months after the life assured’s pregnancy finishes if the life assured becomes pregnant while this Loss of Earnings Benefit is in force provided: the life assured provides Sovereign with a confirmation of pregnancy from an appropriate registered medical practitioner ; and the birth of the child occurs at least 12 months after: − the risk commencement date ; or − the most recent reinstatement of this Loss of Earnings Benefit; and
the life assured is on maternity leave .
You must notify Sovereign in writing when the premium is to be waived.
> A life assured over the age of 55 is not eligible for Future Insurability Benefit increases.
This Pregnancy Premium Waiver will cease when six consecutive months premium have been waived.
> Any exercise of the Future Insurability Benefit will require an increase in premium . The premium increase will be based on Sovereign’s premium rates applicable at the time the Future Insurability Benefit is exercised.
19.
What is the Return Home Benefit?
If the life assured is outside of New Zealand and suffers, for the first time a total disability , upon acceptance of the claim Sovereign will pay the lesser of:
17.
What is the Back to Work Payment and when will Sovereign pay it?
three times the monthly benefit specified in the schedule; or
Sovereign will pay you a Back to Work Payment if:
> a Total or Partial Disability Income Benefit has been paid for a life assured for a continuous period of longer than 12 months but less than 24 months; and
a single standard economy flight back to New Zealand for the life assured and one support person.
In total the maximum Sovereign will pay over the life of the Policy under the Return Home Benefit is $10,000.
> the life assured engages in work or carries on business; and
819 TCP-LOE version 9 Effective 12 May 2026
Page 7 of 12
Powered by FlippingBook