Super funds ignored complaints as death benefit delays mounted
ASIC found that a quarter of superannuation trustees don't review complaints data to spot big problems.
The Australian Securities and Investments Commission reviewed all 45 superannuation trustees and found widespread failures in complaints handling. A quarter did not regularly review complaints data to spot big problems.
Superannuation complaints rose 43 per cent in one year to the ombudsman. The regulator cracked down after finding delays in paying death benefits.
Some families waited years to get money owed to deceased members. ASIC Commissioner Simone Constant said super funds should treat complaints as warning signs.
The industry body said trustees heard the message and would improve handling.
- 45
- Superannuation trustees reviewed
- 3.4 trillion dollars
- Industry size
- 43 per cent
- Complaint increase rate
- Simone Constant
- ASIC Commissioner
Why it mattersSuper funds that ignore complaints miss early warning signs of problems. These problems harm members and their families. In retirement, mistakes are hardest to fix.
AustraliaMillions of Australians rely on superannuation for retirement income. Failures to handle complaints and process death benefits promptly put their savings and their families' inheritance at risk.
✓ Claims checked against the source. checked 3 h ago
