These are challenging times for all of us as we come to terms with the recent changes in the way we are living and working.
We understand that the impact of COVID-19 is creating real challenges for members and the broader community, and we are all adjusting to the changes in our daily lives as a result.
AustralianSuper has adopted a strong and considered approach to managing the impact of COVID-19 based on three key priorities:
- the health and safety of our team
- the ongoing operation of the Fund
- the provision of service for members
We’re closely monitoring advice from the World Health Organisation (WHO), the Australian Government Department of Health, Department of Foreign Affairs and Trade (DFAT) and state health authorities in respect to appropriate responses to COVID-19 (Coronavirus).
Below is some information on a number of steps we’ve taken to manage the potential impact of the pandemic, both on members and our staff. We’ll continue to keep you updated on this page as the situation evolves.
As you may imagine we’re receiving significantly increased levels of enquiries and we ask for your understanding as we manage the health and well-being of our staff and respond as quickly as possible.
Ian Silk.
Chief Executive
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Coronavirus and accessing super early
On March 24, 2020 the Government announced changes to allow:
- members impacted by Coronavirus (COVID-19) to make withdrawals of up to $10,000 from their super account up until 30 June 2020.
- Plus, make withdrawals up to $10,000 from 1 July 2020 to 24 September 2020.
Eligible members will be able to apply to access their super early through the Australian Taxation Office (ATO) via MyGov from mid-April 2020. They will not need to pay tax on amounts released under this new measure.
Note: You’ll have to meet different ATO eligibility criteria to apply to access your super based on Financial Hardship. See below for details.
We’ll update you as more information becomes available.
Important note
- You can only apply for this early access via MyGov with effect from mid-April. You can’t apply via AustralianSuper.
- If you’re applying to access your super based on Severe Financial Hardship, you’ll have to meet different ATO eligibility criteria. Financial Hardship payments will be paid and taxed as a normal super lump sum. If you are under 60 years old, this is generally taxed between 17% and 22%. If you are older than 60 years old, you will not be taxed. Find out more from ato.gov.au
Are there any other options besides withdrawing my super?
The Government is providing a range of financial assistance to Australians. This assistance includes income support payments, payments to support households and temporary early releases of superannuation. Find out more
The Department of Social Services is also supporting individuals and families affected by Coronavirus through a range of measures. Find out more
Latest alerts - COVID-19 phishing scams
There are currently COVID-19 (Coronavirus) themed phishing emails and SMSs in circulation. Find out how you can protect yourself.
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Reduced minimum limits for super drawdown
As of 24 March 2020, the Government announced changes to temporarily reduce the super minimum drawdown requirements for account based pensions by 50% for the 2019-20 and 2020-21 financial years.
You can get details on the ATO webpage Minimum annual payments for super income streams under the section ‘COVID-19 (novel coronavirus) – temporarily reducing superannuation minimum payment amounts’.
We’ll update you as more information becomes available.
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Revaluation of unlisted assets
The COVID-19 market downturn is impacting the valuation of the Fund’s investment portfolio. In response, AustralianSuper has revalued its unlisted assets.
For unlisted assets, which are typically valued by an independent valuer on a quarterly basis, the speed at which the COVID-19 pandemic has impacted global investment markets has meant that existing valuations were no longer reflective of market value.
In response, we have determined that it is both necessary and prudent to revalue our unlisted asset portfolio to ensure fair market value. This action has been taken immediately and is now reflected in member account balances, ensuring that member equity is maintained should some members choose to switch between investment options or exit the Fund.
The revaluations have resulted in an average fall in the value of unlisted assets of approximately 7.5%. We believe that the size of reduction in value is appropriate for each portfolio, and is and modest compared to the fall in equity markets.
The revised valuations reflect our best current understanding of investment markets, taking into account valuation movements in relevant listed markets and the outlook for specific sectors and individual assets. We will continue to monitor investment markets closely to ensure that valuations remain fair and reflective of prevailing economic and market conditions.
For members in the balanced plan, this has resulted in a drop of approximately 2.2% in their account balance
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Insurance
Are members covered now that the World Health Organisation has declared COVID-19 a pandemic?
Yes. AustralianSuper members are fully covered for death, TPD and income protection claims resulting from COVID-19. There are no pandemic-related exclusions. Normal terms and conditions and waiting periods apply. For example, for income protection insurance you have to be in active employment.
Before making decisions, please see Insurance in your super guide for details.
Can you claim Income Protection benefits if you lose your job because your employer closed their business or you don’t get any shifts?
No, income protection covers total or partial disablement only. Insurance against loss of income from business closure or lack of shifts cannot be provided by super funds.
Can I get additional insurance cover and will it cover COVID-19?
Yes. In particular we are pleased to support our members who are healthcare workers as they support the community through the COVID-19 pandemic. Normal terms and conditions and waiting periods apply. Before making decisions, please see our Insurance Guide for details.
I hear TAL is adding COVID-19 underwriting questions for their retail (non-superannuation policies), will that affect my cover with AustralianSuper?
No. There are absolutely no COVID-19 exclusions for AustralianSuper members for existing or new cover.
For more information about Insurance please visit the Insurance section of the website.
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Contacting us
Our team is working hard to support you as quickly as they can, but they’re receiving a high number of calls and emails.
You can find out more about accessing your super or our investment performance online and keep checking this page for the latest information and updates.
Although it’s taking us much longer to respond than usual, you can message us via our mobile app. Right now, this is the easiest way to get in touch and you’ll get a notification alert once we’ve had a chance to reply to your question. You can download the app now.
Thank you for your patience.
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Member services
Although the full impact of COVID-19 is unknown, AustralianSuper have responded quickly to implement comprehensive plans designed to minimise disruption to member services.
Business Continuity Plans are in place with AustralianSuper’s administrator Link and insurer TAL. We continue to work closely with them to review their day-to-day management of member enquiries and services.
Additionally, we have implemented the following measures:
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In the interests of the health and safety of staff, members and the broader community we have decided to suspend all face-to-face seminars until at least the end of April. There’s still plenty of ways to learn more about managing your super and retirement in our online webinars.
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Remaining calm when faced with investment market volatility
In these times of uncertainty and significant investment market volatility we encourage members to remain calm. The news often dramatises the daily movements of the investment markets and economic conditions. Headlines that highlight short-term market volatility can create anxiety and distract members from focusing on the benefits of maintaining a longer-term investment view that is appropriate for their objectives, situations and needs.
Members who would like to know more about how we are managing their investments or are unsure if they should change their investment option/s are encouraged to review our Investments page. There you will find a range of updates and links to articles about the investment markets, what we are doing to manage members’ money during this time, as well as information about the potential implications of switching investments.
We also have a range of help and guidance options. Please visit our Contact us page for a range of ways to get in touch.
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Ensuring staff health and safety
AustralianSuper has adopted a flexible workplace approach and has in place the technology and processes to support staff working from home. All colleagues have been preparing for the potential of office closures at short notice to ensure they are well equipped to work from home and most are now working from home.
Staff will be working from home unless working in the office is absolutely essential for business continuity where a physical presence is required and there are no appropriate alternative arrangements. A visitor screening process has been put in place to safeguard staff working in offices.
Whether working remotely or in an office we are committed to maintaining ‘business as usual’ as much as possible at all times and ensure our focus on member outcomes continues.
