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MTAA Super to adopt Insurance in Superannuation Voluntary Code of Practice
MTAA Super is amongst the first of superannuation providers to adopt the new Insurance in Superannuation Voluntary Code of Practice.
MTAA Super was a key member of the working group tasked with development of the Code, joining with other superannuation providers, insurers, and industry associations to ensure it addressed member needs and improved insurance products.
Leeanne Turner, CEO of MTAA Super, said: "Overall, insurance in super has been a great success. It has provided cover for millions of Australians who would otherwise have not chosen or been able to afford insurance."
"That said, there are a number of areas that need attention and the Code will go a long way to ensuring Australians continue to have access to affordable and appropriate protection. It will also reduce any unnecessary erosion of member’s retirement savings."
The new Code is a first for the superannuation industry. It sets out a range of measures including:
· making it simple and easy for members to opt out of insurance,
· reducing the number of members paying unnecessary fees for multiple or inappropriate policies, and
· better support for members when they make a claim.
Starting from 1 July 2018, complying funds have until 30 June 2021 to fully implement the requirements.
On the 2021 deadline, Ms Turner said: "MTAA Super already meets many of the requirements. The Code will help us ensure members understand their insurance offer and the important protection it provides. Last year alone we paid $141 million in claims to beneficiaries. As part of our commitment to the Code, I am confident we will meet the remaining standards well before then."
Details about how MTAA Super will implement the Code, including a timetable of changes, will be posted on the MTAA Super website in the coming months.
