AIA Australia’s (AIAA) innovation has been designed to overcome barriers faced by financial advisers and clients whereby multiple super accounts are often retained in order to preserve insurance cover. In most cases, when an adviser is transferring a client's superannuation into a new wrap platform structure, they retain a nominal balance in the former fund to preserve default insurance cover.

 

While this practice maintains the client’s insurance, it results in multiple super accounts and associated fees eroding balances. This process also often encounters administrative issues and faces the ongoing risk of default cover automatically being cancelled if an account balance falls below $6,000 due to Protect Your Super and Putting Members First legislation.

 

The AIAA Retail Insurance Short Form Underwriting pathway enables the integration of an AIAA retail policy within the destination wrap platform thereby reducing the administrative burden for the practice accordingly.

 

In order to qualify for a transfer of insurance via this short form underwriting pathway, the client must:

 

 

AIAA's new Retail Insurance Short Form Application Form will be available through the AIA Adviser Portal. Terms and conditions apply.  Advisers who would like to learn more can speak to their AIAA Client Development Manager, or alternatively email au.grouptransfers@aia.com for assistance.