Early access to super for people with terminal illness
The Assistant Treasurer has announced that, from 1 July 2015, the government will amend the provision for accessing superannuation for people suffering a terminal illness.
This has proven difficult for some people, including women with secondary breast cancer diagnosis. Understandably, they want access to their money as they may experience significant financial burden associated with treatment costs or want to make the most of their time with their family.
Under the current provision for early access to super, a person with a terminal illness is required to obtain a certification from medical specialists that they have less than 12 months to live.
The relevant regulations will be amended to change the life expectancy period from 12 months to 24 months. While this is a small regulatory amendment, it will make a big difference to the lives of those affected and that is why the Government has decided to act.
Condition of release
You can release super benefits to a member if they have a terminal medical condition. A terminal medical condition exists if:
- two registered medical practitioners have certified, jointly or separately, that the member suffers from an illness, or has incurred an injury, that is likely to result in the member’s death within 24 months of the date of certification
- at least one of the registered medical practitioners is a specialist practicing in an area related to the member’s illness or injury
- the certification period has not ended for each of the certificates.
The certification period is 24 months from the date of certification.
For more information please call the office on 1300 788 491.
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