Building industry superannuation fund BUSS(Q) has extended its budget insurance cover to better cater for its apprentice members.
BUSS(Q) members can now access budget cover until the age of 26, up from 21.
"We introduced the budget under 21 insurance a few years ago because there were some apprentices who didn't have a large amount of contributions going into their account and the cost of insurance was eroding their contributions," BUSS(Q) chief executive David O'Sullivan said.
"But then there were a lot of members who even after they turned 21 didn't have dependants or financial commitments who would benefit from a lower level of insurance. As a result, we've given them the option to stay with the budget insurance."
Through its group insurer, ING, members who opt for the budget insurance option receive $50,000 in death and total and permanent disablement (TPD) cover for 85 cents a week.
For full insurance for blue collar workers the standard cover costs $7 a week for $200,000 of death and TPD coverage.
Meanwhile, BUSS(Q) has removed its Cash Plus investment option to provide more clarity to members.
"When we introduced Cash Plus we didn't have a cash-only option. We thought about renaming the options, but thought the clearest thing was to withdraw the option," O'Sullivan said.
Members were given the opportunity to switch out and if they did not, 50 per cent of their account was allocated to the cash option and the other half was put into the defensive option.
"Out of the 4000 in the Cash Plus option we only got two calls. We couldn't believe how few we got," O'Sullivan said.
The Cash Plus option included cash and some defensive assets such as bonds, property and infrastructure.
