Most members in dark on insurance

12 April 2018
| By Mike |
image
image
expand image

Most superannuation fund executives and trustees do not believe their members have an adequate understanding of the insurance they receive within superannuation.

That is the bottom line of a survey conducted by Super Review during last month’s Conference of Major Superannuation Funds in Brisbane where more than 80 per cent of the mostly industry fund trustee and executive respondents pointed to a lack of member understanding of insurance.

Asked whether they believed superannuation fund members had an adequate understanding of the insurance they received within superannuation 81.4 per cent of respondents said “no” with just 14.8 per cent believing members were adequately informed.

The importance of the survey finding is that it comes in the wake of the recommendations of the Insurance inside Superannuation Working Group (ISWG) and amid a general acknowledgement that members need to be better informed about their insurance and, particularly, their ability to opt-out.

The survey, sponsored by EISS Super, also revealed that most respondents believed the insurance within superannuation code of conduct would serve to better protect members.

Asked whether they believed fund members would be better protected by the new insurance within superannuation code of conduct, 55.5 per cent of respondents answered yes, with 37 per cent answering no.

Read more about:

AUTHOR

Recommended for you

sub-bgsidebar subscription

Never miss the latest developments in Super Review! Anytime, Anywhere!

Grant Banner

From my perspective, 40- 50% of people are likely going to be deeply unhappy about how long they actually live. ...

11 months ago
Kevin Gorman

Super director remuneration ...

11 months 1 week ago
Anthony Asher

No doubt true, but most of it is still because over 45’s have been upgrading their houses with 30 year mortgages. Money ...

11 months 1 week ago

Jim Chalmers has defended changes to the Future Fund’s mandate, referring to himself as a “big supporter” of the sovereign wealth fund, amid fierce opposition from the Co...

1 day 7 hours ago

Demand from institutional investors was the main driver of growth in Australia’s responsible investment (RI) market in 2023, as the industry continued to gain momentum....

1 day 7 hours ago

In a new review of the country’s largest fund, a research house says it’s well placed to deliver attractive returns despite challenges....

1 day 8 hours ago