Members can expect the following adjustments:
- Life cover premiums will rise by 20%.
- TPD cover premiums will see a substantial increase of 40%.
- Premiums for optional income protection insurance will escalate by up to 38%.
These changes come amid a broader trend of rising insurance costs within the superannuation sector. CareSuper, another prominent fund, has also signalled upcoming premium increases starting in April 2026. The primary driver behind these hikes is a surge in claims, particularly in the TPD category, which has placed financial pressure on insurers.
For members, these increases translate to higher deductions from their superannuation balances to cover insurance costs. This scenario underscores the importance of regularly reviewing one's insurance coverage to ensure it aligns with individual needs and financial circumstances. Members are encouraged to assess whether their current level of cover is appropriate and to consider adjusting it if necessary to manage costs effectively.
In light of these developments, it's advisable for members to stay informed about any further communications from their superannuation funds and to seek professional financial advice if uncertain about the implications of these premium increases on their retirement savings.
Please Note: If this information affects you or is relevant to your circumstances, seek advice from a licensed professional.
