What is Income Protection?

Income Protection (IP) is designed to help you get back on your feet, covering 75% of your Pre-injury base salary if you're unable to work due to sickness or injury.

TAL Life Limited (TAL) will pay a monthly benefit into your bank account so you're able to stay on top of bills and maintain your lifestyle while focusing on your recovery.

On Duty Income Protection - 9-month waiting period followed by a 7-year benefit period.

Off Duty Income Protection - 2-month waiting period followed by a 2-year benefit period.

Key features

  • For on Duty claims, Officers will receive 100% of their current salary from NSW Police from the date of illness or injury for a continuous 9-months;
  • After the 9 month waiting period Non-commissioned Officers will be entitled to receive up to 75% of their base salary (salary is defined as base salary plus 17% loading for non-commissioned officers);
  • After the 9 month waiting period Commissioned officers are entitled to up to 75% of award salary;
  • Officers have the option of using their recreation, extended or additional leave to top up their salary to 100%;

Impact on your income

On Duty IP claims

After the waiting period, Officers will only receive their statutory entitlement under Workers Compensation (WC) plus payment for the hours an officer is working (if applicable). This Workers Compensation payment will continue to be paid in the fortnightly pay cycle by NSWPF.

To maximise your Workers Compensation entitlement, please ensure that your Dependant Declaration, listing your dependants is up to date.

This will also ensure your maximum superannuation contribution guarantee is received.

Off Duty IP claims

After the 60-day waiting period expires, an Officer will be placed on Sick Leave without Pay or Leave without Pay.

Taking paid leave during IP

As it can take up to a month for you to receive your first IP payment, there is an option to use IP Make-Up Leave - that is, using your recreation, extended or additional leave to cover the initial gap of the end of your 9-month waiting period and the start of your monthly benefit.

You can also use IP make up leave for the gap between normal salary and the IP payment, once your benefit commences.

Officers are advised they cannot use sick leave, special sick leave or special leave whilst on income protection.

The receipt of IP benefits will not affect an officer's capacity to accrue leave entitlements.

Payroll

The insurance provider has advised that they will not be making deductions, apart from income tax, from the income protection payments to an officer.

Deductions

After the end of your waiting period, this may impact your nominated payroll deductions, as there may not be enough funds available to meet your deduction obligations.

NSW Police Force has a legal obligation to make superannuation, death and disability, garnishee and Centrelink deductions on a fortnightly basis. It is therefore your responsibility to ensure you have sufficient funds to meet all non-legislative deductions or make alternative arrangements prior to commencing IP. Examples would include mortgages, Health Funds contributions, memberships to associations, lease payments, if your pay is split across additional bank accounts etc.

SASS and PBRI payments will continue to be made on your behalf by the NSW Police Force during the period of IP. If there are insufficient funds, the amounts paid will be recovered from you upon return to work or separation.

Receiving payslips

If you are not receiving your payslips and wish to receive them via email, please advise the IP team and we will arrange this for you.

Taxation

Both the NSWPF and TAL will deduct tax separately. You may be under taxed depending on whether you chose the Tax-Free Threshold with the NSWPF or TAL. You may wish to speak to the IP team or your Accountant for further clarification.

Income Statement

Officers will receive an Income Statement from the ATO. You will need to log on to 'My Gov' website to access your Income Statement. You will be able to view your Income Statement at any time.

Superannuation

Superannuation Guarantee Contributions (SGC) may also be impacted when receiving IP benefits. This is because the insurer does not make SGC on IP benefits. The 9.5% SGC will only be payable from what you receive from the NSWPF.