ASIC Initiates Legal Proceedings Against Australian Super for Claim Delays

ASIC Deputy Chair Sarah Court expressed concern over the impact of these delays on beneficiaries during periods of distress. The regulator is seeking civil penalties and declarations, emphasizing the necessity for superannuation funds to process claims promptly and fairly.

In response, Australian Super acknowledged the backlog, attributing it to a sharp increase in member deaths post-COVID-19. The fund has since brought some processing functions in-house to enhance efficiency and has committed to addressing the issues raised by ASIC.

For superannuation members, this development underscores the importance of understanding the claims process and the potential challenges in accessing benefits. It's advisable to stay informed about fund policies and to seek assistance if experiencing undue delays in claim processing.