MLC Life needs system upgrade to compete in group

MLC Life may soon be positioned to have a greater presence in group life space servicing industry superannuation funds.

A Parliamentary Committee has been told that, up to now, MLC Life has not been in a position to service more than the needs of National Australia Bank (NAB) aligned superannuation entities, but this was likely to change.

Answering questions during a public hearing of the Parliamentary Joint Committee on Corporations and Financial Services, NAB chief customer officer, consumer banking and wealth management, Andrew Hagger confirmed that MLC Life had achieved little success where industry funds were concerned.

“We are proud to be the group insurer for QuickSuper, but MLC has not been in a position to pursue business in the group market for the very big industry super funds,” he said.

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Hagger said Nippon Life, which had acquired 80 per cent of the MLC Life business, needed to make significant system upgrades before that could happen.

“I think we will see that over time,” he said.

Hagger noted that in his time overseeing the business, it was not an area that was pursued strongly in circumstances where 65 per cent of the business of MLC Life was through retail advice.