UniSuper has addressed longevity and sequencing risk with plans for its own comprehensive income products for retirement (CIPR).
The launch of FlexiChoice is designed to provide members with access to a default lifetime pension on retirement and greater flexibility during the accumulation phase.
UniSuper’s chief executive, Kevin O’Sullivan, said providing greater security of retirement income and protection against outliving one’s savings are key objectives for both the superannuation industry and the Government.
“UniSuper’s development of FlexiChoice represents a major shift in the way individual superannuation funds create products specifically to address how superannuation can deliver retirement solutions for members,” O’Sullivan said.
“With changing work patterns, there is a need for more flexible super and pension solutions to reflect individual priorities during different life stages.
“With FlexiChoice, members will be able to select the style that suits their current life stage and adjust that as circumstances evolve.”
This announcement follows the Federal Government’s support of the Financial System Inquiry recommendation that called on the super industry to develop CIPRs to improve outcomes for retirees.
Flexichoice is expected to open to members in 2017/18.
