To compound this problem, there are quite a lot of dealer groups where this particular expertise does not exist. Anecdotal evidence suggests that beneficiaries who are claiming death benefits seldom seek advice on whether a death benefit should be paid by way of lump sum or by way of income stream – yet this decision will affect whether or not they are paid a potentially handsome anti-detriment payment. Similarly, financial planning issues arise for members eligible for terminal illness benefits. If they could afford to do so, should such members postpone claiming so that their beneficiaries get the benefit of anti-detriment payments after their death? Funds should recommend that these members seek advice. But more importantly, how is the impact on an anti-detriment amount disclosed in PDSs or forms? How is anti-detriment disclosed in PDSs, full stop? The industry can and should do better. Maybe “anti-detriment” just needs a sexier title. My suggestion of “death bonuses” will never catch on, but at least I’m trying.

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