TAL and AustralianSuper provide life cover for members with empty accounts

3 June 2020

Members of AustralianSuper who empty out their balances via the Government’s hardship superannuation early release scheme will retain at least a portion of their life insurance cover for a further six months.

Major insurer TAL has confirmed the arrangement which will see those members retain life cover of $10,000 for a further six months at no cost.

Confirming the arrangement, TAL chief executive, Brett Clark said it was part of an arrangement between AustralianSuper and TAL.

Related News:

“TAL and AustralianSuper recognise that some members seeking financial hardship support through the early release of superannuation, may find themselves without any insurance cover when their superannuation account is reduced to zero and closed,” he said. “To help provide some protection to these members during these uncertain times, AustralianSuper has jointly developed an early release insurance product with TAL.”

Clark said the product provided free $10,000 death cover for a period of six months for members who were previously insured but no longer hold a superannuation account with AustralianSuper.




Recommended for you

Author

Comments

Comments

“To help provide some protection to these members during these uncertain times, AustralianSuper has jointly developed an early release insurance product with TAL.”

OR and alternative strategy

We want to keep the premiums flowing in when your SGC next arrives - keep them poor?

Hats off to australia super for the PR angle in this, but unless TAL has recently become a charity, I wonder who is carrying that risk and cost of this...likely the other members in their premiums.

I'd say they are both doing it for PR. I can't imagine that $10,000 of death cover only for members who just cleaned out their accounts would really amount to much in terms of risk. It's such a low amount of cover for very specific people (most likely young) who would need to die in the next 6 months and their beneficiaries would need to be aware of this arrangement and claim on it.

They probably spend millions on marketing for brand awareness so if this gets them some free media/marketing then it would definitely be worth it.

Add new comment