A second industry super fund has announced it will not renew its insurance partnership with CommInsure, marking the end of a 28-year relationship.
In a statement, NGS Super said it appointed TAL following a limited tender for its insurance offering. The move comes as the fund’s longtime partnership with CommInsure reaches an end.
“We have enjoyed a strong relationship with CommInsure over a long period of time, and acknowledge the enormous contribution they have made to the fund and its members,” said NGS Super chief executive Anthony Rodwell-Ball.
This is second fund in recent times to move on from CommInsure. In August, ifa reported that CareSuper will partner with MetLife once its existing contract with CommInsure expires at the end of this year.
NGS Super was one of nine CommInsure group insurance clients contacted by InvestorDaily in March 2016 in the wake of allegations of unethical claims handling by Fairfax Media and the ABC's Four Corners.
Speaking to InvestorDaily at the time, NGS Super executive manager of customer Dascia Bennett said it is a "massive concern ... where you see behaviour that doesn’t meet the ethical standards and the philosophy of putting the member first".
Ms Bennett confirmed to InvestorDaily yesterday that no NGS Super members were involved in the claims handling incidents raised by the ABC and Fairfax.
She added that there is "no connection" between the allegations against CommInsure and NGS Super's decision to switch to TAL.
According to the statement, NGS Super’s criteria for selecting an insurance partner included affordability for members; end to end services across underwriting and claims; innovation and technology strength; and cultural alignment and governance practices.
Mr Rodwell-Ball said the move to appoint TAL is part of a “wider strategic plan” to strengthen its insurance offering.
“Our goal is always to help members secure their financial futures. Insurance solutions play a significant role in achieving this,” he said.
“We believe that TAL, as one of Australia’s largest life insurers, has the expertise and capabilities to help us achieve this goal.
“We see a natural alignment with TAL to support our focus on digital and access channels for our members that ensures that we are delivering the best member experience possible.”
SUBSCRIBE TO THE IFA DAILY BULLETIN
- 18 Aug 2017ASIC permanently bans former AMP adviserBy Staff Reporter
- 18 Aug 2017IRESS announces first half resultsBy Jessica Yun
- 18 Aug 2017Banks the key to closing advice gap, Tria saysBy Larissa Waterson
- 18 Aug 2017Adviser ethics certification launchedBy Staff Reporter
- 18 Aug 2017Banks evade FOFA, industry funds claimBy Larissa Waterson
- 16 Aug 2017UBS appoints head of wholesale distributionBy Staff Reporter
- view all