Featured Product

    APRA Informs RSE Licensees About Reforms to Address Account Erosion

    June 28, 2019

    APRA published a letter informing the registrable superannuation entity (RSE) licensees about the change resulting from the recent passage of the Treasury Laws Amendment (Protecting Your Superannuation Package) Act 2019 (PYSP). PSYP will require all registrable superannuation entity licensees to implement a number of reforms to address account erosion due to excessive fees or unnecessary insurance. In this context, APRA also published a set of frequently asked questions (FAQs) addressed to the registrable superannuation entity licensees. The legislation to implement the PYSP reforms becomes effective from July 01, 2019.

    The letter states that the government indicated to APRA that it will pursue amendments to the Superannuation Industry (Supervision) Act 1993 (SIS Act) to ensure that the government’s policy intent, which underpinned the PSYP legislative reforms, is achieved in the two areas that have been raised by industry. APRA understands that the government will seek to amend the SIS Act to provide that: 

    • Legislative requirements allow for the aggregation of a members’ interests in one or more products held within a superannuation account
    • Rights of members under fixed term insurance cover are not affected and insurance cover is not inappropriately removed. This may affect conventional products where the switching off of cover would have a demonstrable adverse financial effect on the member, such as products that are already fully paid up or currently non-premium paying, whole of life and endowment products, and certain legacy products.


    Related Link: Letter and FAQs

    Effective Date: July 01, 2019

    Keywords: Asia Pacific, Insurance, SIS Act, FAQ, Superannuation, PSYP, Pension Funds, APRA

    Related Articles
    News

    ECA Recommends Actions to Enhance Resolution Planning for Banks

    EC published, in the Official Journal of the European Union, a notification that the European Court of Auditors (ECA) has published a special report on resolution planning in the Single Resolution Mechanism.

    January 20, 2021 WebPage Regulatory News
    News

    BoE Publishes Key Elements of the 2021 Stress Testing for Banks in UK

    BoE published a scenario against which it will be stress testing banks in 2021, in addition to setting out the key elements of the 2021 stress test, guidance on the 2021 stress test, and the variable paths for the 2021 stress test.

    January 20, 2021 WebPage Regulatory News
    News

    PRA Proposes Rules on Identity Verification of Depositor Protection

    PRA published a consultation paper (CP3/21) proposes rules regarding the timing of identity verification required for eligibility of depositor protection under the Financial Services Compensation Scheme (FSCS).

    January 20, 2021 WebPage Regulatory News
    News

    FSB Publishes Work Program for 2021

    FSB published the work program for 2021, which reflects a strategic shift in priorities in the COVID-19 environment.

    January 20, 2021 WebPage Regulatory News
    News

    FED Revises Capital Planning and Stress Testing Requirements for Banks

    FED finalized a rule that updates capital planning requirements to reflect the new framework from 2019 that sorts large banks into categories, with requirements that are tailored to the risks of each category.

    January 19, 2021 WebPage Regulatory News
    News

    ECB Releases Results of Bank Lending Survey for Fourth Quarter of 2020

    ECB published results of the quarterly lending survey conducted on 143 banks in the euro area.

    January 19, 2021 WebPage Regulatory News
    News

    Bundesbank Publishes Derivation Rules for Reporting by Banks

    Bundesbank published Version 5.0 of the derivation rules for completeness check at the form level, with respect to the data quality of the European harmonized reporting system.

    January 19, 2021 WebPage Regulatory News
    News

    ESAs Publish Reporting Templates for Financial Conglomerates

    ESAs published the final draft implementing technical standards on reporting of intra-group transactions and risk concentration of financial conglomerates subject to the supplementary supervision in EU.

    January 18, 2021 WebPage Regulatory News
    News

    EBA Publishes Report on Asset Encumbrance of Banks in EU

    EBA published the annual report on asset encumbrance of banks in EU.

    January 18, 2021 WebPage Regulatory News
    News

    FCA Proposes Guidance on Mortgage and Consumer Credit Repossessions

    FCA proposed two sets of guidance on the approaches to mortgage repossessions and consumer credit repossessions, with comment period ending on January 18, 2021.

    January 18, 2021 WebPage Regulatory News
    RESULTS 1 - 10 OF 6481