Consultation open
AFCA is consulting on proposed changes to its Approach to superannuation death benefits. The consultation is open Monday, 7 October 2024 to Friday, 25 October 2024. AFCA cares about the feedback and valuable insights of all stakeholders and invites them to provide comments or make a submission during the consultation.
Please note: All feedback and submissions on this Approach document should be sent to AFCA by Friday, 25 October 2024. Once the consultation period has closed, AFCA will consider and respond to feedback received in the submissions.
About the consultation
AFCA Approach documents provide greater clarity around what to expect from AFCA’s processes, greater transparency about the way we investigate complaints and make decisions and help to ensure consistent outcomes for complaints.
They outline how AFCA applies legal principles, industry codes, regulatory guidance and considers good industry practice when investigating and handling complaints. These documents are informed by feedback from our stakeholders, including government, regulators, financial firms, and consumer advocates.
This Approach document is critical tool that guides how AFCA resolves complaints about the distribution of superannuation death benefits, helping to deliver clearer outcomes and reducing disputes.
By participating in this consultation, stakeholders can contribute to creating more predictable and efficient resolution processes, which in turn can reduce the time and resources needed to handle complaints.
AFCA Approach to superannuation death benefits
The consultation on changes to AFCA’s Approach to superannuation death benefits is taking place from Monday, 7 October 2024 to Friday, 25 October 2024.
AFCA’s Approach to superannuation death benefit complaints emphasises that when a member of a superannuation fund dies, the trustee of the fund must pay a death benefit in line with the fund’s rules. The rules will set out the potential beneficiaries who are eligible to receive all or part of the death benefit and will also set out how the death benefit is allocated to or among the potential beneficiaries.
Changes to the Approach document include minor clarifications to our existing guidelines on handling complaints about the distribution of superannuation death benefits. These changes ensure that our methods remain clear and effective without altering the fundamental principles.
The revised Approach also includes greater detail about:
- how AFCA applies definitions of terms such as ‘dependant’ and ‘spouse’
- the circumstances in which AFCA might consider it appropriate to include adult children and legal personal representatives in distributions
- trusts for minor children, and
- how AFCA approaches cases where there has been violence or abuse in a relationship, or a claimant has been involved in the death of the fund member.
By clarifying certain aspects of the existing Approach, we aim to make our processes more predictable for all parties involved, reducing the potential for disputes and misunderstandings.
Approach document and Consultation Paper
- Read AFCA’s new draft Approach to superannuation death benefits. Please provide your feedback through one of the channels below.
- The Consultation Paper explains the purpose of the Approach document and supports stakeholders in their submission.
Provide feedback or make a submission
AFCA invites all stakeholders to provide feedback or make a submission through one of the following channels:
- email general questions and comments to us at consultation@afca.org.au
- send us a written submission by emailing consultation@afca.org.au
- post/mail us a written submission to:
Lead Ombudsman – Superannuation
Australian Financial Complaints Authority
GPO Box 3
Melbourne VIC 3001
Key dates
| AFCA’s joint consultation on Superannuation Approaches | |
|---|---|
| Date | Milestone |
| Monday, 7 October 2024 | Consultation on AFCA’s superannuation death benefits Approach document opens |
| Friday, 25 October 2024 | Consultation on AFCA’s superannuation death benefits Approach document closes |
| October – November 2024 | AFCA to consider and respond to consultation submissions and feedback |
| November 2024 | AFCA to publish submissions received |
| December 2024 | AFCA publish final updated Approach document (subject to external approval) |
Frequently asked questions
Answers to frequently asked questions about AFCA’s Approach to superannuation death benefits.
Contact us
If you have any questions about the draft Approach document or the consultation process, please email consultation@afca.org.au.
