Bonus Coverage

Modified on Tue, 4 Aug, 2020 at 11:53 AM

FAQs

What is Bonus Coverage?

The Bonus Coverage is a bolt-on life insurance component available to VeoSens clients. It rewards you for participating in the VeoSens program by wearing your device and achieving good health scores.

Starting from a fixed base value, you can accumulate additional life cover on a monthly basis.

How is my Bonus Coverage calculated?

Everyone starts out with the base cover value and then earn additional cover each month based on device usage and your heart, sleep, activity, and fitness score values. The cover amount accumulates monthly over the contract period on top of a base cover value. Each month is evaluated independently, and one month will not influence the previous or subsequent month’s bonus values. Once an amount is earned, it cannot be lost in the following months.

Watch usage refers to how often you wear your device over the course of a month. Data gathered across a range of activities, such as sleeping, working, exercising, and resting, is required to uncover greater insights into your health and lifestyle. Daily usage of the device will contribute to your monthly usage.

Your heart, sleep, activity, and fitness score values are calculated based on the data collected from your device. Daily values are calculated and the value at the end of each month is used to calculate the score component of the monthly bonus cover.

Your insurance plan is the specific insurance product you agreed to undertake with your insurer and specifies the rewards linked to your life cover. In general, the more you wear your device, and the better your scores, the more rewards you will earn.

How should I use my device?

Each day that you wear the device counts toward your monthly usage total. Usage is awarded as either 0%, 50%, or 100% according to the following conditions:

Between 20 and 31 days’ device use will contribute 100% usage toward the Bonus Coverage calculation.
Between 15 and 19 days’ device use will contribute 50% usage toward the Bonus Coverage calculation.
Fewer than 15 days’ device use will contribute 0% usage toward the Bonus Coverage calculation. This means any health scores calculated during this time will not be taken into account. As a result, no Bonus Cover will be awarded.

Specific patterns of device usage are also recommended to optimize your bonus cover. For example, it is preferable that you wear your device for 80% of each day, rather than 100% for eight days and then not at all for two days. The usage targets have been designed to compensate for device charging time, so you will not be penalized for removing the device to charge it.

How do I get my scores?

Please see:

How does this affect my insurance coverage?

Bonus Coverage informs a bonus life cover that can be rewarded to you every month for living a healthy lifestyle. This bonus is determined by the following key variables of your insurance plan:

Variable

Value

Contract Period

Duration of contract in months. Typically 24 months.

Contract Start Date

The first day that is to be considered for reward calculation for the user.

Currency

Determined by the Retail Insurer.

Maximum Life Cover Value

The maximum cover value that can be earned. This is not an independent variable. This is equal to Base Life Cover Value + (Contract Period - 1) * Maximum Monthly Bonus Cover Value

Base Life Cover Value

Configurable per user. Must be an integer smaller than the Maximum Life Cover Value.

Maximum Monthly Bonus Life Cover Value

The maximum life cover a user can earn per month as a bonus.
A portion can be earned each month over the Contract Period: i.e. LifeQ Score Component + Device Utilization Component

Maximum Device Utilization Component

The maximum monthly life cover engagement bonus value. I.e. Maximum(Device Utilization Reward Cover Value)

Maximum LifeQ Score Component

The maximum monthly life cover health bonus value. I.e. 4*(Maximum(Health Score Reward Cover Value))

Device Utilization Component

The value earned by the user in a month based on device utilization.

LifeQ Score Component

The value earned by the user in a month based on the values earned for the four health scores.

Device Utilization Reward Bands and Components

Defined Reward Bands

#	Range (Days)	Reward Cover Value
1st	[0, 14]	0
2nd	[15, 19]	500
3rd	[20, 31]	1000

The Reward Cover Values provided here are typical values. They can be configured by the Retail Insurer.

LifeQ Score Reward Bands and Components

Defined Reward Bands

#	Range	Reward Cover Value
1st	[0, 25]	0
2nd	[26, 40]	0
3rd	[41, 60]	150
4th	[61, 75]	200
5th	[76, 100]	250

The actual Reward Cover Values are provided by the Retail Insurer.

LifeQ Score Component Modifier

For each of the scores, the reward component is determined by the reward band by using the individual score value.

The modifier is 0 if the Device Utilization is less than 15 days, otherwise it is 1. The LifeQ Score Component is multiplied by this value.

Individual LifeQ Score Component Value

Each of the four scores (Activity, Fitness, Heart and Sleep) contribute equally to the LifeQ Score Component.

For each of the scores, the individual component value is determined directly from the score and the corresponding LifeQ Score Reward Cover Value.

Earned Monthly Bonus Coverage

The result of the following:
Device Utilization Component + (LifeQ Score Component * LifeQ Score Component Modifier)

Monthly Accumulated Bonus Cover.

The accumulated Bonus Cover for a month is the Monthly Accumulated Bonus of the previous month plus the Earned Monthly Bonus Cover.

For the first contracted month, the Monthly Accumulated Bonus is equal to the Earned Monthly Bonus Cover, unless the Contract Start Date is not on the 1st of the month, then the Monthly Accumulated Bonus Cover is equal to 0.

No bonus is earned for the last contracted month.

Alternatively stated, the accumulated Bonus Cover is the sum of the Earned

Monthly Bonus Cover values over the duration of the contract to date.

Bonus Coverage

The Bonus Coverage is equal to the Monthly Accumulated Bonus Cover for the month, plus the Base Cover Value. The Base Cover Value is added right at the end to allow for updates to this value.

An example of an insurance plan including all these variables is provided below.

Example 1

This example uses the reward values as reported above.

Variable	Value
Contract Period	24 months.
Contract Start Date	1 August 2019
Currency	USD
Maximum Life Cover Value	92,000 = 46,000 + 2000 * (24 - 1)
Base Cover Value	46,000
Maximum Monthly Life Cover Value	2000 = 1000 + 1000
Maximum Device Utilization Component Value	1,000
Maximum LifeQ Score Component Value	1,000 = 4 * 250
Month 1
Device Utilization	17 days
Device Utilization Component	500 (Device Utilization Reward Band: 2nd band)
Heart Health Score	63
Sleep Health Score	76
Activity Score	32
Fitness Score	35
Heart Health Score Component Value	200 (4th band)
Sleep Health Score Component Value	250 (5th band)
Activity Health Score Component Value	0 (2nd band)
Fitness Health Score Component Value	0 (2nd band)
LifeQ Score Component	450 = 200 + 250 + 0 + 0
LifeQ Score Component Modifier	1 (Device Utilization >= 15 days)
Earned Monthly Bonus Cover	950 = 500 + (1 * 450)
Monthly Accumulated Bonus	950 = 0 (this is the first month) + 950
Total Coverage	46950 = 950 + 46,000
Month 2
Device Utilization	22 days
Device Utilization Component	1000 (Device Utilization Reward Band: 3rd band)
Heart Health Score	65
Sleep Health Score	78
Activity Score	61
Fitness Score	56
Heart Health Score Component Value	200 (4th band)
Sleep Health Score Component Value	250 (5th band)
Activity Health Score Component Value	200 (4th band)
Fitness Health Score Component Value	150 (3rd band)
LifeQ Score Component	800 = 200 + 250 + 200 + 150
LifeQ Score Component Modifier	1 (Device Utilization >= 15 days)
Earned Monthly Bonus	1800 = 1000 + (1 * 800)
Monthly Accumulated Bonus	2750 = 950 + 1800
Total coverage	48750 = 2750 + 46,000
Month 3
Device Utilization	14 days
Device Utilization Component	0 (1st band)
Heart Health Score	67
Sleep Health Score	79
Activity Score	77
Fitness Score	59
Heart Health Score Component Value	200 (4th band)
Sleep Health Score Component Value	250 (5th band)
Activity Health Score Component Value	250 (5th band)
Fitness Health Score Component Value	150 (3rd band)
LifeQ Score Component	850
LifeQ Score Component Modifier	0 (Device Utilization < 15)
Earned Monthly Bonus	0 = 0 + (0 * 850)
Monthly Accumulated Bonus	2750 = 2750 + 0
Total Coverage	48750 = 2750 + 46,000

Troubleshooting

User reports they can only see their base cover

Is this the user’s first month of using the product?
- The user will not earn a Bonus Coverage contribution during the first month, unless they started their contract on the first day of the month.
Has the user reached the device usage requirement?
- The user must wear the device for 15 days or more each month to earn a Bonus Coverage contribution. We also recommend that, on usage days, the user should wear the device for at least 75% of the time, or 18 hours.
Does the user have the required scores?
- The scores are calculated based on the data uploaded by the user. Each of the four scores (heart, sleep, activity, and fitness) contributes 25% to the Bonus Cover. For optimal Bonus Coverage, all four scores should be present. This is determined by the usage requirements for each score.

User reports their Total Coverage is not increasing

How many days does the user wear the device each month?
- Half of the Bonus Coverage contribution is determined by the user’s monthly device usage. A user must wear the device for a minimum number of days to achieve a usage reward and for the Bonus to be earned. Beyond this threshold, the more days a user wears the device, the higher their usage component of the Bonus will be. There are three device usage reward bands:
  - Wearing the device for 20 - 31 days each month will result in a 100% device usage reward.
  - Wearing the device for 15 - 19 days each month will result in a 50% device usage reward.
    - Wearing the device less than 15 days will result in a 0% device usage reward. As a result, no Bonus Coverage will be allocated.
    - Did the user wear the device for a sufficient amount of time?
      - To ensure that sufficient data is collected from the user and that the scores are as accurate as possible, we recommend that the user should wear the device for at least 75% of the time, or 18 hours per day.
    - Does the user have scores?
      - Half of the Bonus Coverage contribution is determined by the user’s scores for the month. Ideally, the user should generate all four scores each month to maximize the score Bonus Coverage contribution. However, the user will receive a reward for every score calculated.
      - Each of the four scores (heart, sleep, activity, and fitness) contributes a 25% reward to the score component of the Bonus. The reward from each score is based on the value of the scores, which are given out of 100. The higher the score, the higher the reward will be. There are four score reward bands:
        A score of 75 - 100 will result in a 100% reward for that particular score.
        A score of 60 - 74 will result in an 80% reward for that particular score.
        A score of 40 - 59 will result in a 60% reward for that particular score.
        A score of 0 - 39 will result in a 0% reward for that particular score. If the minimum device usage requirement of 15 days is not reached, all scores will be reduced to 0, resulting in a 0% score component. As a result, no Bonus Cover will be allocated.