METLIFE ON A MISSION TO MAKE SURE EVERY WORKING AUSTRALIAN KNOWS THEY HAVE INSURANCE
SYDNEY May 29, 2017
MetLife Australia has embarked on a national campaign to raise awareness and understanding of group insurance, which the leading insurer sees as essential for working Australians and their loved ones.
MetLife wants more Australians to understand the default insurance that automatically comes with their superannuation can provide a valuable safety net, should the worst happen.
“One in five Australian families will be impacted by the death of a parent, or a serious accident or illness resulting in that parent being unable to work*. Without insurance inside super, the vast majority of working Australians would have little to no form of lifestyle protection,” said MetLife Australia CEO Deanne Stewart.
“We have spoken with many claimants who were not aware they had insurance until either a friend, a work colleague or a financial adviser told them. We regularly hear from superannuation fund members who tell us this insurance has made a significant difference to their life.
“There are also people working in high-risk occupations, such as mechanics, abattoir workers, and forestry workers who, without access to group insurance, simply would not be able to obtain affordable cover,” Ms Stewart added.
MetLife is working with superannuation fund trustees and asking them to join in this campaign. “We have been speaking with our super fund partners about how we can work together in true partnership to raise awareness of the importance of insurance inside super,” Ms Stewart said.
“It’s also not widely recognised that group insurance makes an economic contribution by reducing costs that would otherwise have to be drawn from the public purse.” In 2016 insurers paid out $8.6 billion in claims**, taking pressure off the social security system, to Australians dealing with difficult situations such as injuries sustained in a major accident or treatment of cancer.
“Default insurance inside super is the most efficient way to provide affordable insurance cover to almost all working Australians, who may not consider or be able to afford a retail insurance product.” Ms Stewart said.
MetLife part of the Insurance in Superannuation Working Group
While MetLife is an advocate of the value that insurance inside superannuation delivers to members, the organisation believes there is still more work to be done.
“We have been working closely with our super fund and corporate partners, and the Insurance in Superannuation Working Group to further enhance product design, ensure balances are not unduly eroded and provide trustees with more flexibility so they can tailor support to meet members’ needs.” Ms Stewart said.
Notes to editors
* The Lifewise/ NATSEM Underinsurance Report February 2010 Page 2
** APRA Statistics, Quarterly Life Insurance Performance, December 2016 (issued 14 February 2017)
MetLife Insurance Limited (MetLife), an affiliate of MetLife, Inc., is a specialist provider of life insurance to affinity partners, superannuation trustees and employers in Australia. MetLife has expertise in designing and executing direct insurance programs for partners’ customers and insurance solutions to meet the needs of specific member groups. MetLife has been a specialist provider of life risk insurance products in Australia since 2005. MetLife, Inc. (NYSE: MET), through its subsidiaries and affiliates, is a leading global provider of insurance, annuities and employee benefit programs. It holds leading market positions in the United States, Japan, Latin America, Asia, Europe and the Middle East. For more information, visit www.metlife.com.
About the ISWG
The Insurance in Superannuation Industry Working Group (ISWG) was established in November 2016 by the major superannuation and life insurance peak bodies – the Association of Superannuation Funds of Australia (ASFA), the Australian Institute of Superannuation Trustees (AIST), Industry Funds Forum (IFF), Industry Super Australia (ISA) and the Financial Services Council (FSC). The ISWG was set up to deal with problems with group insurance in superannuation, to develop a Code of Practice, and to design policies and products that are affordable, sustainable, and provide value for money.