PMIF FAQs for new or current members

If you’re affected by PMIF, there’s a number of things you should consider before 1 April 2020.

Info for members
How do I find out my super account balance?

You can check your account balance in MemberOnline, your latest annual statement or by calling us on 1300 360 149.

What insurance cover do I have with CareSuper?

To check what type and the amount of insurance cover you currently have with CareSuper, log in to MemberOnline or call us on 1300 360 149.

How much does my insurance cover cost?

The cost of your cover depends on your age and gender.

You can check the cost of your cover through MemberOnline, by checking your relevant Insurance Guide or by calling us on 1300 360 149.

How do I let CareSuper know I want to keep my cover?

Existing CareSuper members with an account balance under $6,000 as at 1 November 2019 must let us know if they want to keep their insurance cover by 31 March 2020, or their insurance cover will be cancelled.  

If you’re affected by the PMIF laws, you would have received a letter or email from us. You can elect to keep your cover through the online portal or by completing the relevant form. Check your email or letter for more details on how to make an election or call us on 1300 360 149 for help.

What will happen if I take no action to keep my cover by 31 March 2020?

Your insurance will be cancelled on 1 April 2020 and fees will no longer be deducted from your account. We’ll write to you to let you know your cover has been cancelled.

Bear in mind, cover may switch on again in the future if your balance reaches $6,000. See this fact sheet for details on the reinstatement or recommencement of cover if it is cancelled due to PMIF.

If I reach a balance of at least $6,000 by 31 March 2020, what will happen to my insurance cover if my balance drops below that amount in future?

You only need to reach a balance of $6,000 once after 1 November 2019. Once you’ve met this requirement you are exempt from the PMIF laws and you’ll retain your insurance cover regardless of whether your balance drops below this amount in future.

If my balance reaches $6,000 at any time between 1 November 2019 and 31 March 2020 but is below this amount on 1 April 2020, what will happen to my insurance cover?

You only need to reach a balance of $6,000 once after 1 November 2019. Once you’ve met this requirement you are exempt from the PMIF laws and you’ll retain your insurance cover regardless of whether your balance drops below this amount in future.

Do these laws also affect my income protection cover?

The PMIF laws affect members with standard cover.

If you have income protection cover that you applied for in addition to your standard cover, you’re exempt from the laws and will not lose any of your cover on 1 April 2020.

If your income protection cover was provided automatically due to your employer's insurance arrangements with CareSuper, you will need to let us know if you want to keep your cover.

My employer pays the full cost of my insurance cover. Will I be affected by the PMIF laws if I leave the employer in the future or my employer ceases paying my insurance fees?

In the event you are no longer employed by your current employer or your employer stops paying your fees and you haven’t already made an election to keep it, your cover will be cancelled. You have a second opportunity to get your cover back if you make an election within 30 days of the date when you become responsible for your fees.

If you do decide to have your cover reinstated, you will be responsible for covering the cost of your cover and insurance fees will be deducted from your super account. There will be a gap in cover so you won’t be covered for an insurable illness or injury that occurs between the date your employer stops paying the cost of your fees and the date your cover starts again. This cover will be subject to an active employment test and may be restricted to limited cover.

How do I cancel my insurance cover?

If you no longer want your cover from 1 April 2020 and your account balance has not reached $6,000 since 1 November 2019, you don’t need to do anything. Your insurance will be cancelled on 1 April 2020 and fees will no longer be deducted from your account. (Bear in mind, it may switch on again if your account reaches $6,000 in the future.)

You can also cancel your cover at any time through MemberOnline, by completing the relevant form or by calling us on 1300 360 149. By cancelling your cover, cover will not switch on again later.

I have super in a few funds. Do the rules around the $6,000 balance apply to each individual account?

Yes. Each of your super accounts, provided they have standard insurance cover, will be assessed individually. If any account has a balance less than $6,000, your cover on that account will be switched off from 1 April 2020 unless you elect to keep it.  

This is a good opportunity to review your cover for each account and consider consolidating them if it’s the right move for you. This means you’ll have one super account balance and pay one set of fees.

If I make a change to my insurance cover between now and 31 March 2020, am I still affected by the PMIF laws?

You can tailor your insurance cover at any time to suit your needs.

The PMIF laws will only affect members with standard cover.

If you choose to increase, decrease or alter your cover in some other way (e.g. change your occupational category, add income protection cover) you will not be affected by the PMIF laws and will not lose your cover on 1 April 2020.

CareSuper has recently let me know my insurance cover may be cancelled under the PMIF laws as well as the Protecting Your Super (PYS) laws. If I elect to keep my cover under one set of laws, does this count as an election for both?

Yes. If you choose to keep your cover under either the PMIF or PYS laws, it is counted as an election for both. Your cover will continue irrespective whether your account has a balance of less than $6,000 or becomes inactive, and insurance fees will continue to be deducted from your account.

You can cancel or apply to tailor your cover at any time through MemberOnline or by completing the relevant form.

Learn more about PYS here.

I’m under 25 and currently have insurance with CareSuper. Will I lose my insurance at 1 April 2020?

No. Existing members who joined prior to 1 April 2020 and are under 25 will keep their insurance cover as long as their balance is over $6,000.

New members under age 25 who join CareSuper after 1 April 2020 will not receive standard insurance cover, unless they elect to have it.

Where can I get some help to make the right decision for me?

Not sure what cover’s right for you? You may like to speak to a financial planner. As a CareSuper member you have access to financial advice over the phone as part of your membership^. Request a call back at caresuper.com.au/advice or call us on 1300 360 149.

^ Financial advice obtained over the phone, or through MemberOnline, is provided by Mercer Financial Advice (Australia) Pty Ltd (MFAAPL) ABN 76 153 168 293, Australian Financial Services Licence #411766

What other information should I consider when deciding whether to keep my cover?

You should consider whether having insurance cover within your super is right for your circumstances.

If you have more than one super account, this is a good opportunity to review your cover for each account and consider consolidating your accounts if it’s right for you. One balance means one set of fees.

Your cover remains active up until the PMIF laws come into effect. This means you are covered for any insurable events that happen prior to 1 April 2020. The PMIF laws apply from 1 April 2020.

How will Employee Plan members get insurance cover if they join from 1 April 2020?

From 1 April, as long as your account is active, standard insurance cover will commence from the later of you:

  • Receiving an on-time employer contribution
  • Reaching a balance of $6,000, and
  • Reaching age 25.

If you’re under age 25 when you join the fund or if you join with a balance less than $6,000 and want cover to commence as soon as you become eligible, you can make an election. See your relevant Insurance Guide available from 1 April for more details on cover eligibility.

I have an insurance claim in progress. Will these laws affect my claim?

No, your current claim will not be affected.

Insurance claims are assessed based on the date the claimable event occurred. You are still covered for any insurable events that happened prior to 1 April 2020. Any claims that are in progress will not be affected and assessment will continue until a decision has been reached.

The PMIF laws apply from 1 April 2020.

If you don’t take action to keep your cover before 31 March 2020, you will lose your current cover on 1 April 2020 and will no longer be covered for events that occur after this date. These laws will also affect you if your pre-1 April claim is declined.

What happens if my cover is cancelled on 1 April 2020?

You will have no insurance cover from 1 April 2020 and will no longer be covered for insurable events that occur from this date. However, if your balance reaches $6,000 after 1 April 2020 your insurance will recommence (conditions apply).

You are still covered for any insurable events that happen prior to 1 April 2020. The PMIF laws apply from 1 April 2020.

If your cover is cancelled on 1 April 2020, you can apply to have your cover reinstated or apply for new cover. Your application will need to be assessed and approved by our insurer and medical evidence may be required.

I joined CareSuper between 1 November 2019 and 31 March 2020 and have an account balance less than $6,000. How am I affected and what action(s) do I need to take?

How you may be affected by these new laws depends on whether you meet the eligibility criteria for insurance cover before or after 1 April 2020.

Employee Plan members who meet the eligibility criteria before 1 April

Standard cover will commence from the date you become eligible to receive it. You must do either of the following before 1 April 2020 if you want to keep your cover:

  • Make an election online or by completing the form provided with your recent letter from us, or
  • Increase your account balance to at least $6,000 (by either making personal contributions or transferring other super into your account)

If you don’t elect to keep your cover and your balance is still less than $6,000 by 31 March 2020, your cover will be cancelled on 1 April 2020.

Employee Plan members who meet the eligibility criteria after 1 April

Standard cover will commence when your balance reaches $6,000. This cover may be limited cover if we’ve not received an employer contribution for you that covers the date your balance reached $6,000 and if the initial employer contribution is not received within 120 days of when you first became eligible for cover.

If you’d like cover to commence as soon as you meet the eligibility criteria and before your balance reaches $6,000, you can make an election.

I joined CareSuper before 1 April 2020 but my standard insurance cover hasn’t started yet. Why is this, and what will happen if it doesn’t start before 1 April 2020?

Your standard cover will commence after you receive an employer contribution, provided you meet the eligibility criteria. Bear in mind, if you receive cover on or prior to 31 March and your balance is less than $6,000 at 1 April, your cover will be cancelled unless you’ve already elected to keep it. You should have received a letter or email advising how to elect to keep your cover if it’s right for you. If you’ve lost this communication, please contact us.

If you don’t receive an employer contribution until after 1 April 2020, your standard cover will start once your balance reaches $6,000. This cover may be limited cover if we’ve not received an employer contribution for you that covers the date your balance reached $6,000 and if the initial employer contribution is not received within 120 days of when you started working for your employer (or the date your employer chose CareSuper as it’s default super fund to pay compulsory contributions to employees).

I have joined CareSuper before 31 March 2020 but my cover hasn’t started yet. How can I ensure my cover starts as soon as I become eligible?

You can let us know you want your cover to start as soon as you become eligible and even if your balance is less than $6,000 by making an election online or by completing and returning the form we may have sent you in the mail. If you choose to let us know online, you’ll need your unique code which can be found in a recent letter or email from us.

If I decide to keep my cover, how will I know it will continue after 1 April?

We will write to you to confirm you’ve elected to keep your cover. Due to the high number of online and paper forms currently being received, there may be a delay in you receiving your written confirmation.

If I lose my cover on 1 April due to these laws, how will I get cover again?

If you lose your standard insurance cover on 1 April due to these laws, it will start again once your balance reaches $6,000. This cover may be limited cover, see this fact sheet for further details.

The level of cover that is applied to your account depends on whether your account balance reaches $6,000 before or after 1 October 2020.

I recently received a letter or email advising that, if my cover is cancelled on 1 April 2020, I can still elect to keep my cover until 30 April 2020. How do I make an election after 1 April?

If your cover is cancelled on 1 April 2020 under the PMIF laws, you have a second opportunity to keep your cover if you let us know by 30 April 2020.

You will need to make an election through our online portal using the unique code which can be found on your relevant letter or email from us. If you have lost this communication, please contact us.

Cover will start again from the date we receive your request. There will be a gap in cover so you won’t be covered for an insurable illness or injury that occurs between 1 April and the date your cover starts again. This cover will be subject to an active employment test and may be restricted to limited cover. See your Insurance Guide for more information on active employment and limited cover.

If my cover is cancelled on 1 April due to PMIF and it starts again later, what cover will I receive?

If your balance reaches $6,000 within six months of cancellation, cover will be reinstated from the date your balance reaches $6,000. You will receive the same type of cover you held immediately prior to it being cancelled. Cover will be subject to an active employment test and may be restricted to limited cover.

If your balance reaches $6,000 on or after six months of cancellation once you meet the criteria for cover, you will receive standard cover at the level applicable to a new member from the date your balance reaches $6,000 It will be subject to an active employment test and may be restricted to limited cover.

What happens if I post my form before 31 March 2020, but it is not received by 1 April?

If you’re affected by PMIF before 1 April 2020, we must receive your form no later than 31 March 2020 if you don’t want your standard insurance cover to be cancelled on 1 April. If your form is posted before this date but received after 1 April, your insurance cover will be cancelled.

If your form is received between 1 April and 30 April 2020, your standard insurance cover will be reinstated, however, there will be a gap in cover between 1 April and the date the form is received. It will be subject to an active employment test and may be restricted to limited cover.

If you lost your cover due to PMIF and your form is received after 30 April 2020, regardless of posting date, your form will not be accepted.

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