Farm Insurance :: News
SHARE

Share this news item!

Superannuation Changes Shrink Insurance Coverage by Over a Third

Superannuation Changes Shrink Insurance Coverage by Over a Third

Recent findings uncover the significant consequences that successive government reforms, most notably the Coalition's initiatives aimed at fortifying superannuation, have had on Australians' insurance policies held within superannuation funds.

The investigation, conducted by the Association of Superannuation Funds of Australia (ASFA), has brought to light a startling 36% decrease in the number of individuals covered by life insurance within super funds for death benefits, along with a comparable decline in Total and Permanent Disablement (TPD) coverage.

ASFA CEO, Mary Delahunty, unveiled these findings ahead of a Sydney conference, emphasizing a worrying trend that smaller numbers of Australians now benefit from the safety net of group insurance tied to superannuation, leaving families potentially vulnerable.

The disruption is not just felt at the individual level but echoes across the economy. ASFA's research indicates the legislative reforms have resulted in approximately 5,000 death benefit claimants missing out on collective payouts amounting to A$655 million for the 2022-23 period alone.

The dive in insured lives aligns precisely with forecasts modelled by ASFA at the time these legislative adjustments took place, predicting that around 5 million policyholders could be affected.

Published:Wednesday, 28th Feb 2024
Source: Paige Estritori

Share this news item:

Insurance News

Clarification Call: Insurers Challenged on Confusing Terms Amid Crisis Clarification Call: Insurers Challenged on Confusing Terms Amid Crisis
11 Apr 2024: .Paige Estritori

For two consecutive days, the flood-affected residents of Queensland have been voicing their concerns during the ongoing deliberations of a federal inquiry, tasked with examining insurers' responses to the catastrophes of 2022. The inquiry, in its concluding phase, conducted its second public hearing in the Logan area on April 10th, 2024. - read more
Revamping Strategies Against Climate Threats After Sky-High Weather Losses Revamping Strategies Against Climate Threats After Sky-High Weather Losses
10 Apr 2024: .Paige Estritori

The undeniable escalation in weather-related calamities has thrust insurers and governmental bodies into the spotlight, urging a tactical shift in Australia's fight against nature's fury. A recent assessment by prominent insurance broker Aon sheds light on the nation's susceptibility to meteorological mishaps. - read more
Claims Handling Issues Propel Code Obligation Breaches Upward Claims Handling Issues Propel Code Obligation Breaches Upward
10 Apr 2024: .Paige Estritori

The Life Code Compliance Committee (Life CCC) has recently published findings indicating an upsurge in code obligation breaches among industry participants, marking this as the third year of escalating incidents. Their report, 'Annual Industry Data and Compliance Report,' highlights a notable 9% overall inflation in the quantity of breaches during the period spanning from the 1st of July, 2022 to the 30th of June, 2023. - read more
Insurer Held Accountable for Overseeing Claim Delays Insurer Held Accountable for Overseeing Claim Delays
09 Apr 2024: .Paige Estritori

Following a detailed review by the Australian Financial Complaints Authority (AFCA), it has been determined that the insurance giant QBE must compensate a policyholder to the tune of an additional $65,000. This ruling emerged on account of identified delays, by the insurer's assigned loss adjuster, that stalled crucial repairs to a fire-damaged bed and breakfast in Tasmania. - read more
NSW Builders Receive Warnings for Insurance Compliance Failures NSW Builders Receive Warnings for Insurance Compliance Failures
08 Apr 2024: .Paige Estritori

New South Wales' prolific construction sector recently came under scrutiny after a regulatory check by the state's insurance watchdog. The recent audit zeroed in on a regrettable pattern where several builders skipped procuring legally required home building compensation insurance (HBC), putting the financial stability of various homeowners in jeopardy. - read more
Insurance Snag Leaves Vacationers Uncovered Insurance Snag Leaves Vacationers Uncovered
05 Apr 2024: .Paige Estritori

In a recent case concerning the intricacies of travel insurance, a couple's abrupt return from their Bali getaway proved to be a financial disappointment when their insurance claim was rejected. The encounter highlights the importance of understanding insurance policy details, particularly regarding single-trip and multi-trip coverage. This incident serves as a cautionary tale to all adventurers to scrutinize their travel insurance policies thoroughly. - read more



Farm Insurance Articles

What You Need to Know About Crop Insurance for Your Farm What You Need to Know About Crop Insurance for Your Farm
Farming is a risky business. As a farmer, you are at the mercy of the weather, pests, and other challenges that can threaten your crops and your livelihood. That’s where crop insurance comes in. Crop insurance can provide financial protection in case your crops are damaged or destroyed, allowing you to recover from losses and move forward with your farm business. - read more
Is Your Farm Under-Insured? Tips for Assessing Bushfire Insurance Adequacy Is Your Farm Under-Insured? Tips for Assessing Bushfire Insurance Adequacy
The threat of bushfires looms large over the vast expanses of rural Australia, shaping the reality of farming in this sunbaked landscape. The risk, always present, escalates as the climate warms and dry conditions persist. It's not a matter of if, but when the land will be tested by fire's wrath. In this environment, the armor of insurance isn't just recommended; it's critical for survival. - read more
Livestock Insurance for Aussie Farmers: What You Need to Know Livestock Insurance for Aussie Farmers: What You Need to Know
Livestock farming is a significant part of the Australian agriculture industry. As with any business, farmers face numerous risks such as disease, death, theft or extreme weather events, which could cause damage or loss to their livestock assets. Livestock insurance provides cover against these risks, ensuring that farmers are financially protected from any potential financial losses, which could devastate their livelihoods. - read more
The importance of income protection insurance for hobby farmers The importance of income protection insurance for hobby farmers
As a hobby farmer, you may not rely on your farm for your main source of income. Perhaps you have a full-time job but enjoy farming as a way to supplement your income and pursue a passion. However, just because farming is a hobby does not mean there aren't risks involved. In fact, hobby farmers face many of the same risks as commercial farmers, such as injury, illness, loss of crops or livestock, and damage to property. - read more
How to Save Money on Your Farming Insurance Premiums How to Save Money on Your Farming Insurance Premiums
When looking for farming insurance, it is important to shop around for the best deals. Don't simply rely on the first insurance company that you come across. Take the time to research various companies and their policies. Compare them based on their coverage, premiums, and deductibles. - read more
Agribusiness Risk: Liability Issues Facing Australian Farmers Today Agribusiness Risk: Liability Issues Facing Australian Farmers Today
The agricultural sector in Australia carves a significant portion of the country's economy, contributing to its GDP and providing employment across rural and suburban areas. Thus, navigating the complexities of agribusiness is not just a matter of crop cultivation and livestock management, but also of understanding the intricate web of liability risks that come with the terrain. - read more

Need a Quote?
Start your free farm insurance quote comparison here.
Farm Type:
Postcode:

Knowledgebase
Disability Insurance:
A type of insurance protection that pays a portion of a person's income lost due to a total or partial disablement arising from either an accident or a sickness.