Supplementary Explanatory Memorandum
(Circulated by authority of the Assistant Minister for Superannuation, Financial Services and Financial Technology, Senator the Hon Jane Hume)General outline and financial impact
Insurance for superannuation members (Schedule 1)
Amendments 1 and 5 to16 amend Schedule 1 to the Bill to delay the application of the insurance measures to 1 February 2020 and delay the obligation that a trustee notify potentially affected members until 1 December 2019.
Amendments 2 to 4 amend Schedule 1 to the Bill to allow trustees to provide opt out insurance to new members aged under 25 years and members with balances below $6,000 where the member is engaged in a dangerous occupation.
Date of effect: 1 February 2020.
Proposal announced: The amendments have not previously been announced.
Financial impact: The financial impact of the Amendments is estimated to be a cost of $55.1 million over four years to 2022-23.
Human rights implications: These Amendments do not raise any human rights issue.