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What does Flexi Loan Repayment Protection cover?

It’s important to understand when and how your Flexi Loan Repayment Protection policy can help support you if you suddenly lose your job, or get sick or injured and can’t work.

Could I be covered if I’m also getting other benefits?

Yes, you can make a claim even if you’re eligible for benefits from somewhere else such as workers’ compensation, sick leave or Centrelink benefits.

When will my policy cover my Flexi Loan repayments?

Your policy will help cover your repayments:

  • After you become unfit for work until you return to work.  The maximum payable is the balance owing at the time you become unfit for work plus interest, up to $75,000.
  • After you unexpectedly lose your job for up to 180 days or until you return to work where you are or will be employed at least 15 hours per week, whichever happens first.
  • Pay off your balance up to $75,000 if you pass away.

Subject to the exclusions set out below.

The date your policy would actually start making your repayments depends on when you make your claim, when it’s accepted and your situation.

How much will my policy pay?

Insured event Benefit
If you're unfit for work
  • 3% of the balance owing on your Flexi Loan at the time you became unfit for work, divided by 30 to get a daily amount, multiplied by the number of days you’re unfit for work
  • The maximum for any one continuous period that you’re unfit for work is the balance owing  at the time you became unfit for work plus any interest that accrues on this balance, up to $75,000
  • For example, if you owed $15,600 when you became unfit for work, and ended up being unfit to work for 165 day:
    Your monthly benefit: 3% of $15,600 = $468 2. $468 divided by 30 to get a daily amount = $15.60 per day 3. 165 days x $15.60 = $2,574 paid either progressively or in one payment
If you lose your job
  • 3% of the balance owing on your Flexi Loan at the time you lost your job, divided by 30 to get a daily amount, multiplied by the number of days you’re unemployed and up to a maximum of 180 days for any one continuous period of unemployment
  • For example, if you owed $15,600 when you lost your job, and started a new job 70 days later:
    Your monthly benefit: 3% of $15,600 = $468 2. $468 divided by 30 to get a daily amount = $15.60 per day 3. 70 days x $15.60 = $1,092 paid either progressively or in one payment
If you pass away
  • We pay the balance you owe on your Flexi Loan at the time of death, up to a maximum of $75,000
  • For example, if you pass away and the balance owing on your Flexi Loan is $15,600, your policy would pay $15,600 to your Flexi Loan.

What's not covered?

Insured event Benefit
If you're unfit for work
  • If you were not employed at least 15 hours per week at the time you became unfit for work
  • If you have more than one usual job and you’re still able to perform the duties of one or more of your usual jobs
  • Sickness, injury or disease occurring within 180 days of your policy commencing,  for which you sought medical advice or treatment during the 180 days prior to your policy commencing
  • Pregnancy or childbirth
  • War or warlike activities, civil war, revolution etc, unless you pass away on war service
  • Nuclear material or waste, or ionising radiation.
If you lose your job
  • If you were employed by more than one employer and you continue to be employed by at least one of those employers
  • Voluntary redundancy or resignation
  • If you were engaged in seasonal or contract work and your employment ceases at the end of that season or contract
  • If you were hired to complete a specific task or to work for a specified period and your employment ceases at the end of that task or period
  • If you’re self-employed or in a business partnership and your business temporarily ceases to trade, or your status as a partner was automatically discontinued under law or the relevant partnership agreement
  • Industrial stoppage or you being on strike
  • Pregnancy or childbirth
  • War or warlike activities, civil war, revolution etc, unless you pass away on war service
  • Nuclear material or waste, or ionising radiation.
If you pass away
  • Suicide within 14 days of your policy commencing
  • War or warlike activities, civil war, revolution etc, unless you pass away on war service
  • Nuclear material or waste, or ionising radiation.

Protection for your credit card or loan

Things you should know

Flexi Loan Repayment Protection is issued by Westpac General Insurance Limited ABN 99 003 719 319 (WGIL) and Westpac Life Insurance Services Limited ABN 31 003 149 157 (WLIS) each of which is liable for separate risks under the terms of the policy. This insurance product is distributed by Westpac Banking Corporation ABN 33 007 457 141 (the Bank). The policy is not an investment in or deposit with the Bank. No Westpac Group company (other than the Bank as policy distributor and WGIL and WLIS as the product issuers) has any liability in connection with the policy or this document. The Bank does not guarantee payments under the policy.

Before making a decision about this insurance, read the Flexi Loan Repayment Protection Product Disclosure Statement (PDS) (PDF 120KB) for the full terms and conditions and to see if Flexi Loan Repayment Protection is right for you.