16 March 2022
LGIAsuper regularly keeps all its members informed about changes to our products and services, which may impact their retirement savings. These will generally include changes to fees, charges, insurance cover and investment options.
The last year has been a period of significant change for our products and services, following our merger with Energy Super, adapting to the impact of COVID-19, and complying with new legislation.
To help you stay on top of it all, here is a quick summary of the changes we’ve made so far this financial year.
On 1 July 2021 we created a single MySuper investment option following the merger of LGIAsuper and Energy Super. This option is available to all members.
We changed the investment strategy for MySuper to adapt to changing investment market conditions, as we aim to generate the solid long-term returns that our members need.
Changes have been made in response to current and expected economic conditions to help meet our return objective of 3% per year above inflation (after fees and taxes) over the next ten years.
Read more: Changes to our products, 1 July 2021
In September 2021, we removed our weekly administration fee of $1 per week ($52 per year) per account.
This means you are only be charged the annual percentage-based administration fee, which you were already paying. This fee is 0.18% of your account balance per year (capped at $900 per year*).
We are now one of the few super funds that do not charge a weekly or monthly flat-rate administration fee as well as a percentage-based administration fee.
Read more: Changes to our products, 8 November 2021
From 1 February 2022, members receive a tax refund of 15% of the annual percentage-based administration fee. As this fee is deducted from members' investment returns, the tax refund will also be applied to the investment returns.
After applying the tax refund, the net result for every member is a net administration fee of 0.15% per year.
Read more: Changes to our products, 9 December 2021
In February 2022, LGIAsuper launched its first-ever mobile app, which is now available to download from Apple and Google app stores.
The LGIAsuper mobile app gives you an easy, convenient and secure way to manage your super. It's a great way to see how your super is tracking towards your future retirement goals.
The app also gives you quick access to your account in Member Online, where you can make many other requests and updates.
On 31 March 2022, LGIAsuper will be reducing the investment fee and Indirect Cost Ratio for the default MySuper investment option, which the majority of our members are invested in.
Investment fees are paid to external providers for managing your investments. Indirect costs are expenses incurred by external providers in managing your investments, such as brokerage and stamp duty. Investment fees and indirect costs are not charged to you as a fee, and instead are deducted from investment earnings as they are applied to your account.
We have been able to make these reductions due to improvements that we have made to our investment managers and asset class mix. Full details of the reductions will be sent to members over the coming weeks.
As a profit-for-members fund, we only charge fees and costs to run the fund and provide services to our members. We remain committed to keeping our fees and costs as low as possible.
From December 2021, members with LGIAsuper Pension accounts can change their reversionary beneficiary nominations at any time.
Previously, members could only make a reversionary beneficiary nomination when starting a Pension account, but they could not change their nomination unless they started a new Pension account.
LGIAsuper has joined the Government’s scheme to make it easier to notify multiple organisations about a death of a loved one.
The Australian Death Notification Service (ADNS) is a new service from the Government in partnership with all Births, Deaths and Marriages registries across Australia.
It aims to let people notify multiple government and private organisations that someone has died through a single, secure online platform. Once the family member or the person handling the estate has a copy of the death certificate, they can enter the relevant details and choose the organisations they wish to notify.
LGIAsuper is an early adopter of the service, hoping that it helps our members during a difficult time in their lives. We are one of nine super funds that have joined the scheme.
LGIAsuper members can now make non-lapsing death benefit nominations.
Unlike a binding death benefit nomination, a non-lapsing nomination will not expire after three years. However, changes in your circumstances may affect the validity of your nomination, such as a new
de-facto relationship or marriage breakdown. We recommend that members regularly review their death benefit nominations.
To make a non-lapsing death nomination, you can download and complete a Binding Death Benefit Nomination Form (M10), which is available at lgiasuper.com.au/forms.
Further information on non-lapsing death benefit nominations can be found in the LGIAsuper member guide.
If you have any questions about any of the changes that we have made recently, please call us on 1800 444 396.