TAL cuts medical tests to streamline underwriting process
TAL cuts medical tests to streamline underwriting process | Insurance Business Australia
Life & Health
TAL cuts medical tests to streamline underwriting process
New limits outlined
Life & Health
By
Roxanne Libatique
TAL has introduced significant changes to its underwriting process, simplifying the steps for customers applying for life, total and permanent disability (TPD), and income protection insurance.
The changes aim to reduce the reliance on mandatory medical tests, enabling faster access to coverage, particularly for younger applicants.
TAL noted that the turnaround time for test results is typically over a week, which the new approach seeks to minimise.
Liesje Jansen van Rensburg (pictured), TAL’s general manager for performance, portfolio management, and underwriting, said the changes aim to streamline the underwriting process.
“TAL’s ambition is to make underwriting as quick and simple as possible. A more streamlined underwriting process saves our customers and advisers time and makes it easier to do business with us,” she said.
She said that the company is leveraging data, insights, and expertise from its health services team to better manage risk and maintain fair pricing across its products.
“These changes mean we’ll continue to ask the right questions to appropriately manage risk, price our products fairly, and ensure we’re here to support all our customers and partners over the long term,” van Rensburg said.
TAL’s new underwriting limits
The new underwriting limits include:
Life and TPD insurance: Customers under the age of 49 can now apply for up to $2 million in coverage without needing to undergo medical testing, up from the previous limit of $1.5 million.
Income protection insurance: Customers under 44 can apply for up to $15,000 per month in coverage without mandatory medical tests, an increase from $12,500.
Further test reduction: Certain mandatory tests for higher coverage amounts have been eliminated to make the process even more efficient.
Gavin Teichner, chief executive for individual life at TAL, said the changes reflect the company’s focus on making it easier for financial advisers to work with TAL and help Australians access the life insurance coverage they need.
“Making it easier and faster for advisers to do business with us is crucial to ensuring risk advice is
sustainable, and more Australians can access the guidance and advice they need,” he said.
Changes in life insurance underwriting in Australia
These underwriting updates come as the Australian government moves to introduce new legislation banning life insurers from using adverse genetic test results when evaluating applicants.
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