Superannuation can often be a deceased person’s main asset. Sometimes when a deceased person dies unexpectedly, particularly if they die relatively young, the insurance component of their superannuation death benefit can be substantial.
If the deceased person dies without a valid binding death benefit nomination in place, the trustee of the superannuation fund has the discretion to decide which “dependents” receive the deceased’s entitlement and in what shares. The trustee also has a discretion to pay the death benefit to the deceased’s estate.
Claims are initiated directly with the relevant superannuation fund and there are internal review mechanisms which should be exhausted if there is a dispute. If a dependent is not satisfied with the decision of the superannuation fund, a complaint can be made with the Australian Financial Complaints Authority (AFCA).
We have experience in dealing with AFCA and advocating for our clients with a view to protecting their entitlements.
It is important to obtain the proper advice early to maximise your prospects of success. If you wish to make a claim in relation to a superannuation death benefit, contact our estate planning team now, headed by our Accredited Specialist in Wills and Estates, Manny Wood.
