The life insurance industry supports the proposed approach to legislating the objective of superannuation. We welcome the strong recognition in the Explanatory Materials of the important benefits provided by insurance in superannuation and confirmation that access to affordable group insurance in superannuation would be within the objective.
Around 8 million Australians have life insurance provided through their superannuation in the form of death cover, total and permanent disability (TPD) cover and/or income protection (IP) cover. For many people, the life insurance they hold in superannuation is the only life insurance protection that they have, and therefore a critical financial safety net.