Changes to Insurance
As a member of Elevate Super you can apply for insurance cover through your super. Insurance through super can be tax effective and potentially cheaper than insurance funded through after-tax salary or savings. However, premiums deducted for unnecessary, unwanted, or unsuitable insurance cover can inappropriately reduce your balance and the savings available for you upon retirement.
To prevent this from happening, changes were made to superannuation law, known as Putting Members' Interests First, to encourage members to review their insurance needs before taking out insurance through super.
These new laws will take effect from 1 April 2020.
If you’re thinking about taking out insurance and are either under 25 years of age, or your account balance is below $6,000, you should read carefully the Insurance Guide and consider whether the insurance is right for you.
You should also consider any other insurance cover you might have, including with other super accounts. For information on how to keep track of your super, you can visit the ATO website at https://www.ato.gov.au/Individuals/Super/Growing-your-super/Keeping-track-of-your-super/.
To ensure the insurance cover will meet your needs, you may wish to speak to a licensed financial adviser, and/or other professional as appropriate.
You should take the time to review your insurance cover on a regular basis or if your circumstances change and can vary or cancel your cover at any time.
If you have any questions in relation to this update, the PDS, or any other documents in relation to Elevate Super, please feel free to get in touch at firstname.lastname@example.org or by calling 1800 875 148.
If you took out insurance cover through Elevate Super after 1 November 2019 and prior to the application forms being updated on 31 March 2020 you will have received separate correspondence outlining the potential impact of these changes on you, and your options in relation to the same.
This update provides important information in relation to Elevate Super and should be read in conjunction with the Elevate Super PDS. The information and/or advice in this update is general only, and does not take into account your personal objectives, financial situation or needs. Before making any decision in relation to Elevate Super, you should consider whether it is appropriate for you, and you may wish to consult with a licensed or authorised financial adviser.