A more attractive suite of investment opportunities
and first-class administration services are just some of the benefits
your clients will enjoy thanks to our new partnerships.
As part of Aon’s strategy to position the Aon Master
Trust for long-term growth, these appointments offer our members access
to the scale and expert specialist resources that our new partners will
bring to the table.
Access to Russell’s world-class resources will
deepen the Aon Master Trust’s portfolio diversification. Members
will have access to a much broader choice of investment options and a
much deeper array of experts to manage their superannuation investment.
The move to Russell will also allow us to develop a new
menu of investment options aimed at streamlining our delivery of local
and globally-developed investment products. We expect the transition to
Russell will be completed in October 2008.
In an increasingly complex and competitive industry,
outsourcing to Pillar will enable us to continue providing excellent super
administration services and developing innovative and quality super solutions.
The transition will occur in the background and you will see minor changes
to letterhead, forms, website logins and email addresses later in the
year. The move to Pillar does not affect our Adviser Services Team and
so your contacts here will remain the same.
We expect the new arrangement will be completed in October
2008. More information will be available on the website shortly. We will
be writing separately to Tier 3 investors regarding the transfer of their
assets from terminating options and you will be copied in on any correspondence
to your clients.
Adviser online investment switches
You can now make online investment switches on behalf
of Corporate Super and Personal Super clients who have given you written
authority (there’s a declaration you’ll need to submit at
the end of the online switch request).
Insurance – increase to minimum level default
cover
Minimum level default cover for death and TPD will increase
by 5% from 1 July 2008. (The trustee’s policy is to increase cover
each year in line with the Consumer Price Index or by 5%, whichever is
the higher.) The new minimum cover will be $210,000 to age 42 reducing
to nil at age 65.
This minimum cover applies automatically to eligible
Corporate Super members. In Personal Super, minimum death (but not TPD)
cover was applied only to existing eligible members as at 30 June 2007.
Insurance – transfers from other funds
Eligible members can now apply to transfer death, TPD
and income protection cover with another super fund to the Aon Master
Trust, with no underwriting required. If accepted, the member will be
allocated the same level of cover and will be subject to the same underwriting
conditions provided by the previous insurer, including restrictions, exclusions
etc. For eligibility and other conditions, see
the Individual insurance transfer questionnaire.
Income protection – ‘own occupation’
extension to long-term cover
AIG has agreed to revise the definition of total disability
to extend ‘own occupation’ to long-term income protection
cover. This revision takes effect from 1 July 2008 and will ensure that
the same criteria apply through all benefit periods.
Income protection – agreed value policies
AIG has agreed to make agreed value policies available
in Personal Super from 1 July 2008 (subject to conditions). A 20% premium
loading will apply.
For self-employed people and others who have variable
earnings, an agreed value income protection offers certainty around future
claims. With income levels agreed at the application stage, the policy
holder knows that the agreed monthly benefit will be paid if they cannot
work in the future, regardless of their income level at the time of claim.
Binding death benefit nominations
From 1 July 2008, members will have the option to make
a binding death benefit nomination. This type of nomination can be a valuable
estate planning tool. A Binding death benefit nomination factsheet will
be available in June 2008.
Product Disclosure Statements
With the product enhancements above being introduced
from 1 July 2008, the trustee is updating the Product Disclosure Statements
(PDSs) for Aon Master Trust Personal Super, Corporate Super and Pension.
The new Personal Super and Pension PDSs will be available
by mid-June (online) and by the end of June (in print). The new Corporate
Super PDS will be available during July. We ask that you destroy any copies
of the current Aon Master Trust PDSs as soon as the new version is available.
Aon will accept applications from the current Personal Super and Pension
PDSs, provided they are signed and dated on or before 30 June 2008 and
received by us by 7 July 2008.
To order a supply of the new Aon Master Trust PDSs,
please contact the Adviser Services Team on 1800 659 152 or email us.
Pension online features
If you require a Centrelink/Department of Veterans'
Affairs schedule on behalf of your Aon Master Trust pension members, you
can now order them online through Adviser Access (see the list of new
features or go to forms). The schedule/schedules will be sent to you by
email to the address you have provided us.
Standard member fee
The trustee has been able to introduce recent product
enhancements with minimal impact on member fees. An increase of $3 per
annum in the standard membership fee (from the current $60 per annum to
$63 per annum) is in line with increases in Average Weekly Ordinary Time
Earnings and will apply from 1 July 2008. Details of all fees will be
set out in the 1 July 2008 product disclosure statements. Non-standard
membership fees that have been negotiated with individual employers will
not be increased without the agreement of those individual employers.
Members of these funds will be notified separately of any changes to fees
and you will be copied in on correspondence to your clients.
Continuing development and improvements
Insurance short form – electronic processing
and higher limits
In the coming months, we expect to offer electronic
short-form applications and acceptances. Through a web interface, you
and your clients will benefit from "clean skin" sorting that
will allow rapid processing where no underwriting is required.
To further fast-track and simplify the underwriting
process, we are negotiating with AIG to allow short-form applications
for:
- death-only cover up to $1 million
- death and TPD cover up to $800,000
- income protection cover up to $8,000 per month.
End of financial year transactions
Please note that, in order for your clients to be eligible
for a tax deduction or government co-contribution for the 2007/2008 financial
year (if applicable) and for contributions to be included on their 30
June 2008 member benefit statements, the monies must be in our bank account
by 30 June 2008.
All cheque deposits must be received in our
Contact Centre by no later than 10am on 23 June 2008. Contributions
received after this may not be banked and allocated until the new financial
year, so please allow enough time for the paperwork to arrive by the deadline.
Cheques should be made payable to the Aon Master Trust.
We thank you for your co-operation during this busy
period.
For feedback, questions
or more information…
Contact the Aon Adviser Team
- email
- phone 1300 880 588
- fax 1300 267 582
Disclaimer
The information in this document is general in nature.
Your personal objectives, needs or general situations were not taken into
account when preparing this information. You should consider the appropriateness
of any general advice before acting on it, having regard to your own objectives,
financial situation and needs. If the information relates to a financial
product, you should obtain and consider the relevant Product Disclosure
Statement before making any decision to purchase that financial product.
Depending on the terms of the particular plan, the
Trustee may receive remuneration in respect of the superannuation interests
that it issues. For providing personal advice that results in the issue
of an interest in the Aon Master Trust, Aon Consulting Pty Limited may
receive remuneration from the Trustee. Employees and directors of Aon
Consulting Pty Limited are remunerated by way of salary, but may receive
bonuses based on the quality and amount of services provided.
This document has been prepared by Aon Consulting Pty
Limited (ABN 48 002 288 646, AFSL 236667) a related body corporate of
the trustee of the Aon Master Trust (RSE R1000566), Aon Superannuation
Pty Limited (ABN 83 057 982 822, AFSL 237465, RSE L0000437). This is a
relationship that might reasonably be expected to be capable of influencing
Aon Consulting Pty Limited when the company provides financial advice
to clients in respect of the Aon Master Trust.
© 2008 This work is copyright. Apart from any
use permitted under the Copyright Act 1968, no part may be reproduced
by any process nor may any other exclusive right be exercised without
the permission of Aon Consulting Pty Limited.
