Is your insurance cover at risk?
Most likely, you have life insurance cover through your super fund – which is important for protecting your family, However, there are new ‘Protecting Your Super’ laws that came into effect 1 July 2019 to protect the super balances of all Australians being eroded by unnecessary fees and costs.
This means that your insurance can be cancelled if there are no contributions to your account for 16 months.
This could happen to you if:
- You’re self-employed and don’t make regular contributions, or
- You take the time off work for extended leave such as parental leave or an extended holiday
So what should you do?
- Find out what cover suits your needs
- Check the cover in your fund
- Consider setting up a regular contribution, even just a token amount
- Consider combining multiple funds
Need help? Talk to your advisor to arrange a meeting with a registered financial planner.
This article contains general information only. It should not be relied on as financial advice. You should obtain specific, independent professional advice from a registered financial planner in relation to your particular circumstances and issues.
