AIA Premier Disability Cover Brochure - AIA Singapore

PROTECTION AIA PREMIER DISABILITY COVER
Have you got a
substitute income
earner?
If not, protect your income when you are unable to work
AIA.COM.SG

Stroke is the top
cause of disability*
More than
60 %
of stroke survivors remain
significantly disabled
3 months
after they are afflicted*
* Source: Supervised therapy helps stroke patients recover faster – The Straits Times,
29 March 2012.

Your biggest financial asset is yourself
It is often said that the family home is the biggest financial commitment
that most of us will make in our lifetime. That’s true. But your biggest
financial asset is not your home, it’s yourself. And for the average
employed Singaporean, this asset could be worth close to $4m + .
Surprised?
Perhaps you don’t feel like a millionaire now, but the cumulative power
of your earnings should not be underestimated. You insure your car,
your home, and your valuables, so isn’t it wise to also protect your
single biggest asset - your ability to earn an income?
Example
Kelvin Lee is a 34-year-old marketing executive. He earns $4,500 per month, and
expects to get a 5% pay rise each year until he retires at age 65. From now, until he
retires, his cumulative lifetime earnings will amount to about $3,821,000.
Cumulative
Lifetime
Earnings ($)
4,000,000
3,000,000
2,000,000
1,000,000
0
34 40 45 50 55 60 65
+ $4,655 monthly nominal earnings per employee (all-industry average) in Q4 2011.
Source: Singapore Department of Statistics, Monthly Digest of Statistics February 2012.
Age
AIA Premier Disability Cover 4
Your lifetime
earnings can
easily amount to
$4 million + .
Wouldn’t you want
to protect that
asset?

Hospital income, or
hospital cash plans
“I’m concerned about loss
of income or expenses
not covered by my basic
medical plan.”
Medical or hospital
expense plans
“I’m concerned about
paying for medical
expenses if I am
hospitalised.”
Disability income
plans
“I’m concerned about loss of
income for 3 months or more
due to disability through
accident or illness.”
Critical illness
plans
“I’m concerned about
the costs associated
with a major illness,
like Cancer.”
Personal accident
plans
“I’m concerned about medical
bills and loss of income if I am
injured in an accident.”
AIA Premier Disability Cover 6
Financially speaking, disability can be worse than
passing away. It is one of the most devastating threats
to a family’s financial security. And it’s a mistake to think
that disability only strikes the elderly.
Every year, more than 10,000 people in Singapore suffer a stroke and are admitted to
hospital; it’s the top cause of disability^. And 1 in 10 of all hospital admissions are the
result of an accident^. We are all at risk, all the time, and an illness or injury that prevents
you from working can start a downward slide that wipes out all of your assets. First a
family can lose its main source of income, and then its savings, as it struggles to pay the
mortgage, regular bills and children’s education expenses. Other types of insurance may
take care of most of your medical expenses, and offer cash payouts for lost income in
the short term. But they will not protect you against the impact of loss of income over an
extended, or permanent, period of time. AIA Premier Disability Cover has been designed
to complement your other accident, health and severe disability insurance coverage for
360° protection.
^ Source: Ministry of Health website – Top 10 conditions of hospitalisation.

Effective protection for your biggest asset - income
Your lifetime income is your biggest financial asset. AIA Premier
Disability Cover is an effective way to protect it. It pays a monthly
benefit of up to 75% of your existing income if you are unable to work
and earn an income due to illness or injury. We offer certainty of benefit
payout regardless of any future changes to your income or payouts
from other disability income policies1 .
4,000
Your
Income
Your income
before disability
3,000
AIA
gives
First 2 years:
Income protection
when you cannot work
1,000
2,000
Your
Income
AIA
Supplements
Subsequent years:
Income supplement
if you are able to work
at a reduced capacity
Key benefits of this plan include:
AIA Premier Disability Cover 8
Income Benefit
When you are not earning any income
If you become disabled and are unable to perform your own occupation to earn an
income, the plan will, at the expiry of the deferment period, pay out the monthly benefit
for up to 2 years. Thereafter, you are still eligible to receive the monthly benefit (up to
age 65 or until you recover from your disability, whichever is earlier) if you are unable to
perform any suitable occupation by training, experience or education to earn an income.
When you are still earning income
If you can find paid work of another kind with pay that is lower than the monthly benefit
you have purchased, the plan will top up your earnings to match the amount of the
monthly benefit.
Lump sum payouts
• Rehabilitation Benefit reimburses necessary rehabilitation expenses 2 of up to 6 times
the monthly benefit per disability.
• Catastrophic Disability Benefit 3 pays 24 times the monthly benefit.
• Death Benefit 4 of 12 times the monthly benefit.
Payback Benefit
A deferment period of 60 days of disability must elapse before the first payout is made.
AIA Premier Disability Cover offers a Payback Benefit of up to 2 times the monthly
benefit to replace lost income during the deferment period.
Premium waiver with continued protection
Your premium will be waived when you are receiving the monthly benefit, up to age 65
or until you recover from your disability, whichever is earlier. This means that you will
not have to pay future premiums, but you will continue to be protected and eligible to
receive benefits.
Age 45 and below? Enjoy protection of up to $6,000 per month with
no routine medical examination required.

Example 1 5
Jack Tan is a 34-year-old sales executive, married with one child. As the family’s
main income earner, he decides to protect his future earnings with AIA Premier Disability
Cover at the protection level of 50% of his existing income of $8,000 per month ($4,000
monthly benefit), for an annual premium of $1,376.
At the age of 45, he suffers a stroke leaving him with significant speech impairment. He
is unable to communicate effectively with his clients and therefore, unable to work as a
sales executive.
During the 60-day deferment period, he receives sick pay. After the 60-day deferment
period where he has no income, Jack will receive the monthly benefit of $4,000 for
the next 2 years as his disability persisted and prevented him from working as a sales
executive. His future premium payments are waived but he continues to be covered
under the plan.
On his doctor’s recommendation, and approved in advance by AIA, he undergoes
speech therapy and is reimbursed for the full cost of $16,800 under the
Rehabilitation Benefit.
After claiming 2 years of benefits, his condition improves but he is still unable to work
as a sales executive. He is also unable to work in a suitable occupation that he has
been taught, experienced, or been trained for so he can only work part-time as a
data-entry clerk earning $1,500 per month. As long as the disability persists or up to the
age of 65, whichever is earlier, he receives a monthly benefit of $2,500, thereby topping
up his earned income to the value of the monthly benefit.
Age 45:
Suffers
stroke
60-day
deferment
period
No
improvement
in condition
Undergoes
speech
therapy
Rehabilitation
Benefit:
$16,800
Receive Monthly Benefit
of $4,000
After claiming 2 years of benefits:
Condition improves & is able to work as a data-entry
clerk earning $1,500 per month
Premium waived
Monthly Benefit minus current earning:
$4,000 – $1,500 = $2,500
Receive Monthly Benefit
of $2,500
He pays: 11 years x $1,376 = $15,136
AIA pays: (24 months x $4,000/month) + $16,800 + (214 months x $2,500/month) = $647,800
Age 65
Example 2 6
AIA Premier Disability Cover 10
Eric Lim is a 39-year-old accountant, single and living with his widowed mother. As the
family’s sole breadwinner, he decides to protect his future earnings with AIA Premier
Disability Cover at 75% of his existing income of $10,000 per month ($7,500 monthly
benefit), for an annual premium of $2,130.
At the age of 43, he is involved in a road traffic accident which leaves him permanently
paralysed from the waist down. Therefore, he is unable to work as an accountant or
any suitable occupation that he has been taught, experienced, or been trained for
throughout his lifetime. He is on medical leave for a month before quitting his job as he
is no longer able to work as an accountant. He receives a Catastrophic Disability Benefit
in the form of a lump sum payout of $180,000 immediately. He also receives a Payback
Benefit of $5,000 to cover for the lost income during the deferment period. His future
premium payments are waived and he starts to receive a monthly benefit of $7,500 two
months later.
At the age of 60, he passes away unexpectedly. The Death Benefit of $90,000 is paid to
his mother.
Age 43:
Permanently paralysed
60-day deferment
period
Catastrophic Disability Benefit: 24 x $7,500 = $180,000
Receive Payback Benefit: (2 x $7,500) – $10,000 = $5,000
Receive Monthly Benefit
of $7,500
Premium waived
He pays: 4 years x $2,130 = $8,520
AIA pays: $180,000 + $5,000 + (202 months x $7,500/month) + $90,000 = $1,790,000
Age 60:
Passed away unexpectedly
Death Benefit:
12 x $7,500 = $90,000

Frequently Asked Questions
It is always our intention to write in plain English, and to be as transparent as
possible when describing our products. The questions and answers below reflect the
most common concerns raised by our customers. If you have any other questions
not addressed here, please ask your AIA Financial Services Consultant for more
information. Alternatively, you may visit our website at AIA.COM.SG or contact our
AIA Customer Care Hotline at 1800 248 8000.
Q1. Who can apply for AIA Premier Disability Cover?
You can apply if you are aged between 16 and 60 years old on your last birthday. You do
not need to be currently in paid employment to apply. Housewives and retirees may apply
with a maximum monthly benefit of $2,500.
Q2. Under what circumstances will the plan pay out?
AIA Premier Disability Cover will pay out benefits if you are disabled and unable to work
to earn an income. If you are working in a paid job of another kind and earn a reduced
income, the benefit payable will be reduced by your current earnings to top up to the
monthly benefit. It also pays out a lump sum benefit if you suffer catastrophic disability. In
the event of any qualifying disability claim, you will also be eligible to make a claim for the
Rehabilitation Benefit. If you should pass away, a Death Benefit may be claimed by your
dependents. Please refer to the Product Summary for a comprehensive description of
qualifying criteria and definitions.
Q3. Is there a waiting period before a claim is payable?
Yes. There is a deferment period of 60 continuous days from the first day you meet the
disability definition till the day the monthly benefit payout starts. For recurrent disability
occurring within 12 months of the last disability payout and catastrophic disability, the
60-day deferment period does not apply.
Q4. How would my claim be assessed if I am disabled while I am not working?
If you are disabled while you are not working, the plan will pay out the monthly benefit
after the deferment period, for up to 2 years if you are unable to perform 1 out of 5
Activities of Daily Living (ADL) (transferring, mobility, dressing, washing and feeding).
Thereafter, you are still eligible to receive the monthly benefit (up to age 65 or until
you recover from your disability, whichever is earlier) if you are unable to perform
2 out of 6 ADL (as listed above and includes toileting).
AIA Premier Disability Cover 12
Q5. Are my premiums guaranteed?
The premium rates for this plan are not guaranteed and may be adjusted based on future
experience.
Q6. Can I increase the monthly benefit amount during the policy term?
You may increase the monthly benefit amount during the first year of the policy term only,
subject to underwriting. If you wish to increase your level of protection in subsequent years,
you may purchase an additional policy.
Q7. How will claims be paid out?
Benefits payable under the plan are paid in cash to spend as you wish, with the exception
of the Rehabilitation Benefit which is paid on a reimbursement basis. In the event of death,
the Death Benefit will be paid to your beneficiaries. Any payment or continued payment of
the monthly disability benefit is subject to us receiving proof of disability and proof of loss
and/or change of income to our satisfaction. If you are residing outside of Singapore at the
time when a claim is admitted, you will be required to furnish further evidence to support
the claim. Please refer to the Policy Contract for more details.
Q8. What happens if my country of residence and/or occupation changes?
You need to write and let us know when your country of residence; occupation and/or
the material or substantial duties of your occupation change. We may increase or
reduce the premiums payable, and/or the benefits payable or impose different terms and
conditions or terminate the Policy, according to the risk classification of your new country
of residence and/or new occupation.
Q9. What conditions are excluded from this policy?
Common exclusions include HIV/AIDS, suicide and pre-existing conditions. For more
information on exclusions, please refer to the Product Summary.
Q10. Can I change my mind and cancel the policy after I’ve purchased?
Yes. You may cancel the plan by writing to us within 14 days from the date you receive
your policy document (free-look period) and receive a refund of your premium paid
without interest (less any expenses incurred for your medical examination).

1 Subject to full disclosure and no over insurance at the point of application.
2 Any rehabilitation treatments and expenses shall be approved in writing by AIA, and
where appropriate, be certified in writing by a physician to be necessary prior to the
incurrence of such expenses.
3 Catastrophic Disability Benefit is payable only once during the lifetime of the policy.
4 Death Benefit is applicable for standalone policy only.
5 The example is based on a 34-year-old Male non-smoker, occupational class 2 and is
for illustration purpose only.
6 The example is based on a 39-year-old Male non-smoker, occupational class 1 and is
for illustration purpose only.
Important notes
All terms in upper case set out in this brochure are defined in the Policy Contract. This
insurance plan is underwritten by AIA Singapore Private Limited (Reg. No. 201106386R)
(“AIA”). All insurance applications are subject to AIA’s underwriting and acceptance. This
brochure is not a contract of insurance. The precise terms and conditions of this plan,
including exclusions whereby the benefits under your policy may not be paid out, are
specified in the policy contract. You are advised to read the policy contract.
Buying a life insurance policy is a long-term commitment. You should consider carefully
before terminating the policy or switching to a new one as there may be disadvantages
in doing so. The new policy may cost more or have fewer benefits at the same cost.
The information in this brochure is correct at the time of printing (1 June 2012).
We Are Asia
About AIA Group
AIA Premier Disability Cover 14
The AIA Group is a leading pan-Asian life insurance organisation that traces its roots in
the Asia Pacific region back more than 90 years. It provides consumers and businesses
with products and services for life insurance, retirement planning, accident and health
insurance AIA Group as well Limited as wealth and management its subsidiaries solutions. (collectively “AIA” or “the
Group”) comprise the largest independent publicly listed pan-Asian
life insurance group in the world. It has wholly-owned main operating
subsidiaries or branches in 14 markets in Asia Pacific – Hong Kong,
Thailand, Singapore, Malaysia, China, Korea, the Philippines, Australia,
Indonesia, Taiwan, Vietnam, New Zealand, Macau and Brunei and a
26 per cent joint venture shareholding in India.
The business that is now AIA was first established in Shanghai over
90 years ago. It is a market leader in the Asia Pacific region (ex-Japan)
based on life insurance premiums and holds leading positions across
the majority of its markets. It had total assets of US$114,461 million
as of 30 November 2011.
AIA meets the savings and protection needs of individuals by offering
a range of products and services including retirement planning, life
insurance and accident and health insurance. The Group also provides
employee benefits, credit life and pension services to corporate clients.
Through an extensive network of agents and employees across Asia
Pacific, AIA serves the holders of more than 24 million individual policies
and over 10 million participating members of group insurance schemes.
AIA Group Limited is listed on the Main Board of The Stock Exchange
of Hong Kong Limited under the stock code “1299” with American
Depositary Receipts (Level 1) traded on the over-the-counter market
(ticker symbol: “AAGIY”).

AIA Singapore Private Limited (Reg. No. 201106386R)
1 Robinson Road, AIA Tower, Singapore 048542 Monday - Friday 8.45am - 5.30pm AIA Customer Care Hotline: 1800 248 8000 AIA.COM.SG
SGPD2012002-071-01062012