Changes to Chubb Life underlying premium rates

As part of our commitment to ensuring the long-term sustainability of our core covers, we wanted to let you know about some upcoming changes to the underlying premium rates on our current Life, Trauma and Disability covers across Assurance Extra, Business Assurance, Business Extra and Agribusiness Extra. 

The new underlying rates will come into effect on 26 June 2023. 

Why the change in rates?

We’ve recently reviewed our claims experience and are making some changes to ensure our prices remain sufficient to cover claims, and are sustainable for the future.

We’re confident these new rates continue to remain competitive and will contribute to the long-term sustainability of our products while remaining good value for your customers.

What’s changed?

• Yearly Renewable Term Life cover rates on Assurance Extra, Business Assurance, Business Extra and Agribusiness Extra are increasing by an average* of 3.2%. Level Life cover rates remain unchanged.
  
• Yearly Renewable Term Trauma cover rates on Assurance Extra, Business Assurance, Business Extra and Agribusiness Extra are increasing by an average of 4.7%.  
• Yearly Renewable Term Income Cover rates on Assurance Extra and Agribusiness Extra are increasing by an average of 2.9%.
• Mortgage Repayment Cover rates are increasing by an average of 8.1%. 
• Premium Cover rates on Assurance Extra, Business Assurance, Business Extra and Agribusiness Extra are increasing by an average of 2.9%.
• Key Person Cover rates are increasing by an average of 10% varying by occupation.

*For any given customer the increase may be more or less than the average depending on their age and gender.
 

How will this impact my customers? 

For new customers: The refreshed rates come into effect on 26 June 2023 for all new policies. 

For existing customers: The new rates will be applied to existing customers at their next premium review date or anniversary from 26 June 2023. They will receive communication from us to advise them of these changes.

What about pipeline business?

Original quotes submitted before 26 June 2023 can be honoured at the old rates for 30 days. Any quotes that are honoured on the old rates will need to be issued within the 30 day window, and will be subject to the new rates at their first premium review or anniversary, whichever comes first.

We’re here to help

If you have any questions about these changes or would like to discuss options for your customers, please get in touch with your Business Partnership Manager, they’ll be happy to help.