Insurance solutions

Under legislation, we’re required to stop maintaining the insurance cover held through a member’s super account from 1 July 2019, if:
 

• your client’s account becomes inactive for a continuous period of 16 months, because it hasn’t received any amounts such as a contribution or a rollover, and
• your client hasn’t elected to retain your insurance cover even in these circumstances.

To comply with the legislation, we’re required to contact your clients when their account has been inactive for certain specified periods and provide them with the opportunity to confirm they want to continue with the insurance cover.

This legislation was passed to ensure that superannuation account balances are not eroded by insurance premiums for cover that members are not aware they hold or no longer need.

There are no changes to the insurance options as part of the launch of Consolidator / Manager II products. The insurance menu is the same as the closed Consolidator product, with four independent providers offering retail insurance policies (OnePath, AIA, TAL and Zurich).

There is no difference in the insurance options offered between the Consolidator II – Engage and Consolidator II – Elevate Investment Menus. If clients perform a product switch or move between Engage and Elevate Investment Menus, their insurance arrangements are maintained.

From 1 July 2019, if your client’s super account becomes inactive for a continuous period of 16 months their insurance cover won’t continue.  

If the insurance ceases on or after 1 July 2019 and your client would like to obtain cover again, they’ll need to reapply for cover by contacting their insurer. Please note, the new insurance application may be subject to underwriting and acceptance by the Insurer.