It’s time to take the opportunity to think differently about insurance in superannuation, AIA Australia chief executive Damien Mu has said.
Since the government’s Your Super, Your Future reforms were released with the October federal budget, Mu said he has been working with his team to develop ways to ensure the package is implemented in the best interests of super members.
“We support the work the government is doing to ensure Australians have only one account with default insurance in order to minimise the inappropriate erosion of balances through duplicate insurance premiums,” Mu said.
Mu added the Government’s policy to “staple” a person’s super account would be a catalyst for the industry to consider how it delivers default insurance cover and how it engages with super members.
“We are not shying away from this challenge,” he said, on the back of Investment Magazine’s recent Group Insurance Summit in November in which the challenges presented by the government’s proposals were raised.
“Together with our superannuation partners we want to deliver insurance that is appropriate and affordable for their members, and that helps them live healthier, longer, better lives,” said Mu.
Mu further noted that he hoped the industry could work collaboratively with the government and Treasury on the practical implications of the Your Super, Your Future reforms, to ensure the package was able to be implemented in the best interests of superannuation members.
