Beginning on April 1 2020, the Government’s Putting Members’ Interests First (PMIF) legislation will take effect. PMIF aims to protect members’ retirement savings from being unnecessarily eroded by insurance premiums for cover that they may not want or need.
What are the changes and who will be affected?
The Putting Members’ Interests Firsts legislation means superannuation funds will no longer be providing insurance to members from 1 April 2020 where the member has an account balance below $6,000 (active low balance accounts) or the member is a new member who is under the age of 25.
Will you be affected by the changes?
On 1 April 2020 the legislation will force funds to cancel insurance cover for members with balances of less than $6,000, unless you communicate to them in writing that you wish to keep your insurance cover.
Find out more
If you want to learn more about these changes, visit the APRA website: https://www.apra.gov.au/putting-members-interests-first-legislative-amendments-implementation
