|Significant Event Notices 2013 onwards|
|Notice date||Nature of event or change||Impact of the change|
|1 July 2019||Federal Government’s Protecting Your Super Package Act||
The Government has passed legislation which makes changes to insurance for inactive members, the transfer of inactive low-balance accounts to the Australian Tax Office (ATO) and fees.
Superannuation funds will no longer be able to provide insurance for members (this includes death, total and permanent disablement and income protection) whose account has been ‘inactive’ for more than 16 consecutive months. An account is considered inactive where:
a. we have not received an amount to the account within the last 16 months; and
b. the member has not communicated to us that they wish to continue to receive insurance benefits despite otherwise holding an inactive account.
We will notify the member at 9, 12 and 15 months of inactivity to provide them with the opportunity to elect to maintain their insurance cover.
Superannuation funds are required to transfer inactive low balance accounts to the ATO as at 31 October 2019 (or half yearly after that). The ATO will then try and reunite the account (within 28 days of matching) with an active account elsewhere if that balance exceeds $6,000. An account is to be transferred to the ATO if:
a. the account is less than $6,000;
b. we have not received an amount (such as a rollover from another fund or a contribution) to the account within the last 16 months;
c. we are not owed an amount in respect of that account;
d. the account has no insurance cover;
e. there has been no change to investment options in the last 16 months; and
f. a binding death benefit nomination has not been made or amended in the last 16 months.
There will be a 3% cap placed on administration fees and certain costs that members will be charged, if their account balance is less than $6,000.
Exit fees on all super accounts will be prohibited (Vision has not charged exit fees).
|May 2018||Changes to Income protection cover for ASU Vision Super members.||
From 1 July 2018, the following changes will be made:
Increase in income protection premiums: the cost of income protection cover payable by ASU Vision Super members will increase to 1.71% of a members annual salary.
The benefit payment period for income protection benefits will be up to 5 years. This will be the maximum period for which income protection benefits will be paid for any one income protection claim. The 5 year period commences once the 90 day period has expired.
An additional benefit may be payable by the Insurer for expenses associated with modifying the workplace of an ASU member in receipt of income protection benefits, to assist their return to work, up to a maximum of 2.5 times the member’s monthly benefit.
Currently, to receive a partial disability benefit a member must be totally disabled for a minimum period of the 90-day waiting period. The minimum period is currently 14 days out of the first 19 consecutive days of the waiting period. This will be reduced to 7 days out of the first 12 consecutive days of the waiting period.
The maximum period in total for which income protection benefits may be payable by the Insurer for an insured member while the member is outside Australia will increase from 6 to 12 months.
|May 2018||Cancellation of the City of Melbourne corporate income protection policy, effective 1 July 2018.||
From 1 July 2018, employees of City of Melbourne, who are Vision Super members will be required to fund their Income Protection Cover, it will no longer be subsidised by the City of Melbourne.
The Super Saver City of Melbourne Product Disclosure Statement (PDS) will be withdrawn and members who elect to continue their Income Protection cover will be covered under the Vision Super Saver PDS.