Retirement Benefits Fund (RBF) has made another step towards its goal of becoming a registrable superannuation entity (RSE) with the announcement of a contract with CommInsure.
CommInsure will underwrite death and incapacity insurance for the 62,000 members of RBF’s Tasmanian Accumulation Scheme.
RBF chief executive Philip Mussared said the transition from self-insurance to external group insurance with CommInsure would "modernise" the fund’s offering.
"An immediate advantage for members is that the diagnosis of a terminal illness will now be grounds for payment of insured death and permanent incapacity benefits," Mussared said.
The agreement with CommInsure is part of RBF’s "progressive transformation" to an RSE, he added.
"RBF is currently an exempt public sector superannuation scheme and is in the process of preparing an application for an RSE licence," Mussared said.
The fund moved its administration services over to Mercer in May 2011, and a managed IT services contract commenced in October 2011, he added.
"Further significant changes are planned at RBF over the next 18 months," said Mussared.
RBF currently has $3.8 billion in funds under management and 77,000 members.
