VicSuper has renewed its insurance mandate with AXA Australia, which has provided insurance cover to the fund for 17 years.
Under the new agreement, members will receive an increase of insurance cover by 33 per cent on average, while premiums have been reduced.
The agreement also includes the introduction of additional features such as Life Events cover, which gives members access to higher levels of cover when they experience a major life change.
AXA head of group insurance Robert Bergin said members often want to increase their insurance cover when going through a major life event, like buying a house or having children.
He said this new feature would facilitate more cover without needing additional health evidence.
The new agreement will also mean members receive default income protection cover, which the fund stated was a critical step forward in addressing insurance adequacy.
VicSuper chief executive Michael Dundon said the decision to continue with AXA was not based solely on additional benefits and the competitiveness of premiums.
“We also took into account AXA’s track record in paying benefits to members in a timely and fair manner,” Dundon said.
