In this newsletter we review APRA’s latest quarterly statistics on the profitability of the superannuation insurance sector at an aggregate and a product level, as well as explore how to improve the member experience and Trustee claims capability.
Superannuation Group Lump Sum profits increased during the quarter, but remained below the result achieved in FY2016. This reflects that profits increased from $57m in the March 2017 quarter to $79m in the June 2017 quarter, compared with 2016 FY average of $111m.
Superannuation Group Disability Income profits remain volatile. The June quarter profit of $59m was high relative to experience in recent years.
In June 2017, ASIC released Report 529 looking at the “Member Experience of Superannuation”. The findings explored aspects of the superannuation lifecycle from a member’s perspective, and highlighted a number of significant recommendations for trustees to consider in order to provide a better member experience.
Many Trustee offices have started to re-assess the role they play for members in the claims process, including as advocates in the claims process. This has implications for the technical, interpersonal and communication skills expected of Trustee Claims teams.
The newsletter outlines why superannuation funds need to continue to invest in training and have the right capability frameworks in place for their Trustee Claims teams in order to reap the benefits of member engagement and satisfaction.